INFORMATIONAL MESSAGE
Thresholds of minimum sufficiency of pension savings for 2023
In accordance with the requirements of the legislation, one month before the new year, the EPPF published in the media and on the website the thresholds of minimum sufficiency (PMD) for 2023 as part of the early use of pension savings for alternative purposes. It should be noted that the PMD for 2023 amounted from 3 to about 10 million tenge, depending on age.
Some changes in the threshold values are explained by the fact that social indicators such as the minimum wage, minimum pension, and the subsistence minimum are used in their calculation, which are indexed annually.
For 2023, it is envisaged that the minimum wage will be 70 thousand tenge, the minimum pension 53,076 tenge, the minimum amount of the state basic pension payment will be 24,341 tenge, the subsistence minimum - 40,567 tenge. Other socially significant indicators have also been increased, which are taken into account when calculating thresholds.
Recall that the law "On Pension Provision in the Republic of Kazakhstan" defines that the threshold of minimum sufficiency of pension savings is the minimum amount of pension savings formed at the expense of mandatory types of pension contributions required to ensure a monthly pension not lower than the minimum pension established by the law on the republican budget.
The methodology for calculating the PMD was approved by the Decree of the Government of the Republic of Kazakhstan No. 1042 dated October 2, 2013 (with amendments and additions dated January 6, 2021).
According to the approved Methodology, the PMD values are reviewed annually for each age and take into account the increase (indexation) of future pension payments and pension contributions.
In other words, the minimum sufficiency threshold is the minimum that must remain in the account so that the depositor, upon reaching retirement age, receives, taking into account the minimum basic pension, cumulative payments of at least the minimum pension.
The UAPF was established on August 22, 2013 on the basis of JSC "NPF "GNPF". The founder and shareholder of the UAPF is the Government of the Republic of Kazakhstan represented by the State Property and Privatization Committee of the Ministry of Finance of the Republic of Kazakhstan. The trust management of pension assets of the UAPF is carried out by the National Bank of the Republic of Kazakhstan. Since January 1, 2016, the functions of developing proposals to improve the efficiency of pension assets management have been transferred to the National Fund Management Council. In accordance with the pension legislation, the UAPF attracts mandatory pension contributions, mandatory occupational pension contributions, voluntary pension contributions, pension payments, individual accounting of pension savings and payments, provides the depositor (recipient) with information on the status of his pension savings (more on www.enpf.kz ).