As of January 1, nine out of 10 women and seven out of 10 men are close to reaching retirement age (60 for women, 65 for men) they will not be able to retire because they will not reach the 30 years of required contributions.
It is because December 31st the current moratorium expires for women and the bill that should start from 1 January, approved by the Senate, which concerns both women and men, has not been addressed by the Chamber of Deputies.
The Government is analyzing the inclusion of this project with an average fine in extraordinary sessions with the aim that the opposition enables the quorum for Deputies and it can become law.
Others argue that since there is no guarantee that the opposition will provide the quorum, the government approves it through a DNU (Decree of necessity and urgency) o extend the current moratorium for women.
Meanwhile, the moratorium law 24.476 of Difficult access because the periods to be included must be between 01/01/1955 and 09/30/1993 and “inclusion in this moratorium is subject to prior socioeconomic assessment“, according to ANSeS.
According to official reports from the Congressional Budget Office and ANSeS, without the validity of a moratorium, between 720,000 and 800,000 men and women could not retire in 2023 and 2024 because even if they meet the age requirement (60 for women and 65 for men) they would not meet the 30 years of contributions.
According to the OPC, in the first year there would be “494,242 people, of whom 78.3% were women. For the second year, the enrollments would be around 225,409 people”, in total 719,651 people who accumulate many years without contributions for having worked informally or being unemployed, and are in a situation of socio-economic and financial vulnerability.
Meanwhile, ANSES director-general of planning, Ignacio Amigorena, had estimated that the interim debt-payment plan could “bring about 800,000 people of retirement age into the system over the next two years, around 60 percent of whom are women.” .
In case of men with 65 yearsthe only variant would be access PUAM (Older Adult Benefit) which guarantees 80% of the minimum salary (currently $40,099), regardless of salary and years actually paid (5, 10 or 25 years) and she is not entitled to her spouse’s widow’s pension.
Meanwhile, women would have to wait until the age of 65 to also access the PUAM under the same conditions.
The moratorium with medium sanction of the Senate allows to regularize the remaining periods up to the month of December 2008 (included) through the application of a method of installment payment which will be deducted directly from the pension credit they obtain. The number of installments can reach up to 120, according to the conditions established by the law.
The installments to be disbursed for the monthly installments to be regularized will be calculated according to the so-called “Pension Debt Payment Unit”, the value of which will be equal to 29% of the minimum taxable base of wages in force on the date of the request for the pension… Currently , 29% equals $4,896. You can pay, for example, one or more installments per month, depending on the chosen plan.
But that tax to pay it will only be used to access the pension. It will not affect the credit, which will be calculated on the basis of the contributions actually paid without a moratorium.
In short, whoever retires with the moratorium will have a discount” of your pension because you will only receive the years paid and you will also have the discount on the credit quota during the months or years that the moratorium lasts.
For examplefor an employee with an average gross salary updated in the last 120 months of 180,000 dollars (average taxable salary of the system), the pension and the shares that will be deducted for access to the moratorium.
Thus, with 15 years of effective contributions and another 15 years of moratorium, before December 2008, he would retire with a starting salary of $63,430 (35.2% of gross salary) and $9,791 would be deducted in 90 installments or $7,344 in 120 installments. During those 10 years, the pension in hand would be $56,086 equal to 31.1% of the salary.
NEITHER
Source: Clarin
