Insurance experience critically affects the pension: what needs to be done.

According to research by the Kyiv School of Economics in Ukraine, about 60% of citizens rely on receiving a state pension after reaching retirement age. However, a significant portion of people work unofficially or pay minimal insurance contributions, which negatively impacts their future pension payments.

'Pension provision is based on insurance rules: your future pension in the solidarity system directly depends on how much you contribute while you are actively working,' emphasizes the Ministry of Social Policy of Ukraine.

Ministry specialists explain that the amount of future pension payments directly depends on the amount of the single contribution that is paid monthly from employees' salaries.

Larger contributions and a longer payment period guarantee a higher pension after reaching retirement age. However, the situation worries experts, as citizens' insufficient awareness about forming pension savings may lead to serious financial problems in the future.

Previously, the Pension Fund of Ukraine explained how periods from 1998 to 2024 are taken into account in the insurance experience for pensions.