Pension system of the Russian Federation: the history of formation

The pension system of the Russian Federation is constantly being improved regardless of the political system in the country. The first information about the pension provision of citizens in Russia dates back to the middle of the 17th century, when cash payments of a medical nature were assigned to wounded soldiers. The stronger the injury, the greater the retirement benefit.

During the reign of Peter the Great, care for the injured and wounded was strengthened by the fact that they were trying to arrange them so that they received means of subsistence. Acts of that time obliged the state to provide assistance to people with disabilities from the state budget. The Russian pension system at that time extended only to military and civil servants. Later, Catherine II allocated monetary support to retirees of the civil service from the state budget. Only in the second half of the nineteenth century, private entrepreneurs were able to support the pension provision of citizens in the country.

The law came into force, which obliged the owners of privately owned railroads to form cash desks that issued sickness benefits and as a result of disability from work. Cash accumulated at the box office due to deductions from the earnings of workers in their personal accounts. Upon receipt of a professional illness or injury, the employee received the allowance accumulated in his account. This system is called insurance, because his deductions from wages were insurance in the event of disability.

After the 1917 revolution , the pension system of the Russian Federation underwent changes over the course of 10 years: decrees and decrees were issued on pensions for military personnel, on the payment of pensions to workers and teachers of labor schools, on the appointment of a pension for long service to village and city teachers. The size of payments depended not only on earnings, but also on the severity of labor, on the size of the family of the retiring employee.

At the same time, in the twenties, the pension system was transformed into a social insurance system. She obeyed the following principle: from the general budget of the country, which was formed from the tax deductions of all enterprises, funds were allocated for all the needs of the state, including for pension payments. Such a pension system of the Russian Federation existed before the collapse of the Soviet Union, but by 1991, when market-based methods of managing the economy appeared, it lost its rights and opportunities.

Until 2000, the country experienced a decline in the birth rate and an increase in the prices of essential livelihoods. Statistical data showed that by 2010-2015, the number of retirees will exceed the number of young people starting their career. This may cause a shortage of funds in the country to pay the appropriate benefits. Therefore, the pension system of the Russian Federation required revision, rethinking, recalculation. It was decided to implement pension reform in order to increase pensions. It was important to create such a model so that every citizen was sure that his modern salary is the guarantor of his future pension, that with an increase in contributions to the pension fund , the benefit of the future pensioner also increases.

The pension reform, which has been implemented since 2002, has a three-level basis: compulsory insurance of citizens, state security for all categories of pensioners and additional non-state security. Information about this model is distributed among citizens of Russia, who can long before the start of a pension begin to form its size so that they can then receive monthly payments in accordance with their needs.

Source: https://habr.com/ru/post/F2300/


All Articles