What are the major changes to pension amounts that nobody talks about but are very serious? While the minimum pensions increase, all pensions have increased since the beginning of the year due to the usual annual revaluation of the amounts and we are moving towards further innovations and changes to the pension amounts both as a result of the new tax reform, which is preparing to change the Irpef rates of income taxation, and both for the new measures being examined by the government between the tax reduction of thirteenths of pensions and new increases in pensions in general, there are also important changes to serious pensions that are not mentioned.
What are the important changes to the amounts of pensions that are not talked about but serious And what else could happen
What are the important changes to the amounts of pensions that are not talked about but serious
The important changes to the amounts of pensions that are not mentioned but serious concern the real revaluation of pensions that should have taken place but which has been decidedly reduced and lower than expected.
As is well known, in fact, the annual revaluation of pensions takes place on the basis of the trend of inflation and Istat consumer prices. At the end of last year 2022, inflation was almost 11% and to guarantee purchasing power for retirees it would have been necessary to revalue pensions by at least 10%, and these were the expectations, later disappointed by a lower revaluation index.
The revaluation index for 2023 pensions was, in fact, established (provisionally) at 7.3% and, among other things, not fully for everyone. If, in fact, over the last few years the revaluation of pensions has been blocked on and off for the higher amounts, a decision on which the Constitutional Court has expressed itself several times, for this year the Meloni government has revised the percentages of revaluation of pensions compared to those in force last year.
There were three previous revaluation percentages and they were as follows:
100% for pensions up to three times the minimum, up to 2,062 euros gross; 90% for pensions between three and five times the minimum, up to 2577.90 euros gross; 75% for checks over five times the minimum, over 2,577.90 euros gross. This year the revaluation of pensions has not been calculated in full at 7.3% for everyone but on different percentages based on the six new income brackets decided by the government which are: 100% for checks up to 4 times the minimum, equal to 2,100 euros gross per month; 85% for pensions up to 5 times the minimum, up to 2,626 euros gross per month; 53% for pensions up to 6 times the minimum, up to 3,150 euros; 47% for pensions up to 8 times the minimum, equal to 4,200 euros; 37% for pensions up to 10 times the minimum, up to 5,250 euros per month; 32% for pensions over 10 times the minimum.
With the new pension revaluation percentages, the revaluation of all pensions is reduced except for the lowest ones, so the amounts are lower than expected and expected. Therefore, the serious change in the amounts of pensions does not depend only on the lowest revaluation index established but also on an incomplete revaluation for all which certainly contributes to reducing the amounts of all pensions, except the lowest ones.
And what else could happen
Probably the same ‘problem’ of an annual pension revaluation for 2024 that is lower than necessary could arise again next yearhelping to further change the actual pension amounts to be paid compared to those due.
It is true, in fact, that compared to the last few months of last year, inflation has decreased, and it is hoped that this will continue. But the estimates on the trend of inflation itself speak of a year that will certainly close us with another inflation: today it is around 6-7% and it could either remain at these levels, settling at 7% at the end of the year, with the I hope it shrinks again.
However, the 2024 pension appreciation index will hardly be set again at 7% or even 8%, considering that 7.3% this year was already a record rate of pension appreciation and that since 1 January 2024, together with the new annual revaluation, it will first be necessary to recalculate pensions on the definitive index of this year at 8.1%, already established but which, contrary to previous years in which the recalculation of pensions took place at the end of the year with payment adjustments within December, will only apply from next year.