Pensions, full equalization starts again from January 2022

In January, a pension of 2,000 euros gross per month will benefit from a (gross) increase of 34 euros per month, a pension of 2,500 euros gross per month, ie between 4 and 5 times the minimum INPS, will get almost 42 euros per month more . In fact, the full equalization of pensions will restart from 2022, de facto frozen in 2020 in the face of negative inflation of 0.3%.

The decree of the Mef

The decree of the Ministry of Economy of 17 November, published in the Official Gazette of 26, has in fact provided that the percentage of variation for the calculation of the equalization of pensions for the year 2021 will be determined at +1.7 from 1 January 2022, except for adjustment to be made on site equalization for the following year. The equalization of pensions consists in the annual revaluation of the amounts of pension treatments to adjust them to the increase in the cost of living.

The criterion

Depending on the amount of the pension allowance, different percentages of adjustment to the increase in the cost of living are applied, based on different bands, calculated in relation to the minimum benefit. In particular, as the allowance increases, decreasing percentages are applied, established by law, according to a scale that has been modified several times over the years. As a result of this mechanism, only the lower portions of the pension are fully guaranteed against inflation, while the higher bands are destined to gradually lose, at least in part, their purchasing power.

How treatments change

To provide the first estimates on the impact that the solution will have on treatments was a INPS dossier. The amount pensions up to 4 times the minimum treatment (equal to that of 2021 which is 515.58 euro), that is up to 2,062.32 euro, will get the 1.7% increase; pensions greater than 4 and up to 5 times the minimum INPS treatment, ie between € 2,062.33 and € 2,577.90, will obtain a revaluation of 1.53%, without prejudice to the revaluation of 1.7% of the bracket up to € 2,062.32. The amount pensions more than 5 times the minimum INPS, i.e. over 2,577.90 euros, will obtain an increase of 1.275%, without prejudice to the revaluation of 1.7% of the bracket up to 2,062.32 euros and of 1.53% of the range between 2,062 , 33 and 2,577.90 euros.

Provisional adjustment for 2021

In order to ensure the renewal of pensions in time for 2022 and make it possible to pay the first pensions with effect from January next year, INPS used the equalization index available as of October 15, 2021, prepared by the General Statistical Actuarial Coordination, equal to 1.6%. With a subsequent processing, on the March 2022 installment, the equalization differences will be paid where due.


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