Pension payments with new update values and new IRS rates begin Monday, for Social Security pensions. Next week, on the 19th, Caixa Geral de Aposentações (CGA) will be paid.
Overall, the value of 2.704 million pensions in the two systems is subject to change, according to updated data requested by businesses to the Ministry of Social Security (MTSSS), which was published in December. janitor which determine the increments.
All the updates are due to the application of the formula based on the value of growth in the past two years (which fell to less than 2%) and inflation (without housing) recorded last year (1%).
Pensions up to 886.4 euros (2 Social Support Indexes), it will update by 1%. There are over 1.7 million and they correspond to the majority of existing fixes (79%).
It is also due to the formula that makes updating the values of economic growth dependent, which in the past two years has punished the recession caused by the epidemic, the highest levels, which cover 556,000 pensions, are updated without the recorded inflation rate. .
like business to explain Recently, in sixteen years, pensions at these levels, which include those of one thousand euros, have lost 9% or more of their purchasing power.
Thus, when the pension is above €886.4 (2 IAS) and up to €2659.2 (6 IAS), the recorded inflation rate is deducted half a point, with updates of 0.49%. The subject of the dispute, according to official data, is 487 thousand pensions.
When the pension is above € 2,659.2 (6 IAS) and up to € 5318.4 (12 IAS) of recorded inflation, 0.75 points are deducted, with updates of 0.24%. The subject of the dispute, according to the same official data, is 69 thousand pensions.
This year, unusual increases in January will not be paid to lower pensioners. And led by the state budget, they depend on the decision of the next government.
If Social Security pensions are paid on Monday, the 10th, with the new IRS schedules, Caixa Geral de Aposentações’ pensions will be paid out on the 19th, next week, Lusa recently revealed.
For the values shown above, which are considered total, it is then necessary to apply retention fee.
This Monday the audience explain Pensions up to €710 are exempt from withholding tax. However, in accounts payable at the end of the year (for tax payable in 2023), since the final exemption threshold is in line with the minimum wage (705 euros), the annual exemption will only apply to pensioners of up to 705 euros.
“Writer. Analyst. Avid travel maven. Devoted twitter guru. Unapologetic pop culture expert. General zombie enthusiast.”