A few years ago I opened an account in a pension fund, but I never went to work. After that, for three years I officially did not work anywhere and did not make contributions. Now that I'm officially employed, I've been told that I don't have an individual retirement account. Where did it go and how do I reopen it?
Since 01.03.2021, the Rules for Keeping Records of Pension Savings at the Expense of Mandatory Pension Contributions, mandatory occupational pension Contributions and Voluntary Pension Contributions on Individual pension accounts (IPS) of Depositors (Recipients) approved by Resolution No. 27 of the Board of the Agency of the Republic of Kazakhstan for Regulation and Development of the Financial Market dated February 12, 2021, according to which the IPS is closed after 1 (one) month, provided there are no pension savings.
Thus, the IPS, which was previously opened, including in cases when a person, applying for a job, applied for an account or concluded a pension provision agreement, but for some reason did not start making deductions, as well as IPS, for which there were pension savings and payments and transfers of the entire amount of pension savings were made and after the payment or transfer was made within 1 (one) month, contributions were not received, all these accounts are closed automatically.
In case of further employment, your IPS will be opened automatically upon receipt of the first payment from the employer:
- from January 8, 2019 in respect of mandatory pension contributions;
- from May 1, 2021 in respect of voluntary pension contributions;
- from October 26, 2021, in respect of mandatory occupational pension contributions.
The identification of the individual in whose favor the contributions are transferred is carried out according to his personal data (full name, IIN, date of birth) indicated in the electronic format of the payment order when transferring the payment order, and all the necessary information: about the details of the valid identity document of the individual, about the place of permanent residence, other information, the UAPF receives from the relevant information systems of state bodies.
In August of this year I retired, but it was calculated differently for me than for my husband, who retired last year. What is the reason for this?
You are right, since April 1, 2021, the methodology for calculating the monthly payment from the UAPF has changed.
In accordance with the new Methodology for calculating the amount of pension payments, the annual amount of pension payments in the first year is calculated as the product of the amount of pension savings by the rate of pension savings payments – 6.5%.
In subsequent years, the amount of the monthly pension payment will be recalculated by an annual increase in the amount of the monthly pension payment for the previous year at the rate of indexation of pension payments – 5%.
For example, your pension savings amount is 6 000 000 tenge.
Annual amount of pension payments in the first year: 6 000 000*6,5%=390 000 tenge;
The amount of monthly pension payment in the first year: 390 000/12 months =32 500 tenge;
The amount of the monthly pension payment for the second year: 32 500+ 32 500*5%=34 125 tenge.
In addition, the Methodology for calculating the amount of pension payments provides for correction increasing coefficients for recipients of certain categories: people with disabilities of group 1 or 2, established indefinitely, as well as people who worked in harmful and dangerous industries, whose savings were formed due to mandatory occupational pension contributions in aggregate for at least sixty months. At the same time, for persons satisfying more than one of the above conditions, the correction factor with the highest value is applied.
It should be noted that the specified methodology for calculating the amount of pension payments applies to relations that have arisen since April 1, 2021.
Persons who have exercised their right to receive pension payments from the UAPF before January 1, 2018, the annual pension payment amount is at least thirty times the minimum pension amount (in 2021, 30 x 43,272 = 1,298,160 tenge). Payments are made according to the previously selected schedule.
Persons who have exercised their right to receive pension payments from the UAPF from January 1, 2018 to March 31, 2021 (inclusive), according to the new Methodology for calculating the amount of pension payments, from January 1, 2022, monthly pension payments will be increased by the indexation rate of pension payments in the amount of 5%, followed by annual indexation.
Thus, the new Methodology for calculating the amount of pension payments takes into account the specifics of the working conditions and health of recipients, and will also contribute to an increase in the annual amount of payments from the UAPF.
I am 50 years old and I would like to start receiving payments from voluntary pension contributions. How do I do this?
In order to improve the quality of services provided, for the convenience of recipients and to save their time, since August 2021, the UAPF has implemented the possibility of submitting an application for the appointment of pension payments formed at the expense of voluntary pension contributions and investment income accrued on them, which have been in the UAPF for at least five years, remotely - through a personal account on the corporate website of the Fund.
Recall that in your personal account on the enpf website.kz the service for submitting applications for the appointment of pension payments is provided to recipients who have pension savings in the UAPF:
- at the expense of mandatory pension contributions and (or) mandatory occupational pension contributions: persons with disabilities of group 1 or 2 indefinitely;
- at the expense of DPV:
persons who have reached the age of 50;
persons with disabilities;
persons who have pension savings within the limits of the amounts of the DPV and the investment income accrued on them, who have been in the UAPF for at least five years.
To submit an application, recipients must have an electronic digital signature.
Is it true that some pension services can be obtained without an identity card?
Since October of this year, pension services can be provided even without presenting an identity card. To do this, it is enough to have its digital (electronic) version on your smartphone in the eGovMobile application.
This opportunity is available only to citizens of the Republic of Kazakhstan and only by personal contact directly to the office of the UAPF.
What services can be obtained at the same time:
obtaining an extract from an individual retirement account;
making changes and/or additions to additional details;
change (definition) of the method of informing about the state of pension savings.
For example, when a depositor (recipient) applies to the office of the UAPF who does not have the original identity card with him, he will be able, by informing the representative of the UAPF of a unique digital code generated in his personal account in the eGovMobile mobile application, to provide an employee of the UAPF with access to view this document in electronic format.
It should be noted that if the person who applied has an identity document that is invalid, then the electronic version of the document will not be available in the eGovMobile mobile application.
I have heard that from 2022 new sufficiency thresholds for withdrawal of pension savings will be taken into account. If so, what is the reason for this?
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 pension contributions and (or) mandatory occupational pension contributions necessary to ensure a monthly pension not lower than the minimum pension established by the law on the republican budget and effective on January 1 of the corresponding financial year, determined in accordance with the Methodology approved by the Government of the Republic of Kazakhstan."
The methodology for determining PMD was approved by the Decree of the Government of the Republic of Kazakhstan dated October 2, 2013 No. 1042 (with amendments and additions dated January 6, 2021). This Methodology is an open regulatory legal act and is freely available on the Internet, including on the UAPF website. The Methodology describes in great detail the algorithm for calculating the PMD.
First of all, when calculating the PMD, such social indicators as the minimum wage, the minimum state basic payment are used, which are indexed annually in accordance with the Law of the Republic of Kazakhstan "On the Republican Budget". In this regard, the size of the PMD will change annually with an increase in these indicators.
On December 2, 2021, the Law of the Republic of Kazakhstan on "On the Republican Budget for 2022-2024" was signed, which provides for an increase in a number of socio-economic parameters from January 1, 2022. The minimum wage will be increased from the current 42.5 thousand tenge to 60 thousand tenge. The size of the minimum pension, the minimum basic pension and other social parameters that are used in calculating the Methodology have also been increased.
According to this Methodology, the PMD for each age is calculated in such a way that by reaching retirement age, the monthly minimum pension payment from the UAPF is the highest value between the MP (43,272 tenge in 2021, 46,302 tenge in 2022) and the minimum wage (42,500 tenge in 2021, 60,000 tenge in 2022), minus the minimum amount of the basic pension payment (MBP) (18,523 tenge in 2021, 19,450 tenge in 2022).