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How much will pensions rise after the publication of a key index for the pension formula

February 7, 2024 – 12:52

The pension benefits will increase in March taking into account the evolution of salaries that were recorded in the last quarter of last year.

It was published on index RIPTE (Average Taxable Remuneration of Stable Workers) and that is data that is used to calculate the readjustment of the retirements and pensions of the General System (SIPA) of the National Social Security Administration (ANSES). According to these data, the income of registered workers presented a rise of barely 8.3% in December last year and in fourth quarter of 2023 they advanced 28.6%.

That involved a drop of more than 13% compared to inflation forks the steepest decline since this indicator existed (created in 1993). But, in addition, workers lost heavily in the quarter, when inflation rose to 53.3%.

That is bad information for retirees and pensioners as well, given that affects the calculation used to set the adjustment in retirements (based on the current mobility formula for) of March: the formula valid from 2021 Take it quarterly variation in salaries and the interannual evolution of tax collection in charge of the ANSES.That is combined with the RIPTE or that of salaries published by INDEC (the one that throws the biggest raise). And, on the other hand, it takes into account the inflation data (the CPI), which will be released by the National Institute of Statistics and Censuses (INDEC) on February 14.

But previous estimates indicate that the pensions will rise between 26.5% and 30%according to the RIPTE, published this Tuesday by the Ministry of Labor, Employment and Social Security.

It will be key for the sector that the Government defines a additional increasegiven that this rise, would barely cover December inflationwhich was from 25.5%. For January alone, private companies estimate a price increase of 20% and, for the current first quarter, the Survey of Market Expectations (REM) of central bank (BCRA) hopes that the inflation reach around 60%. Thus, if there is no adjustment outside the formula that has been applied until now, the pension assets will suffer a loss of purchasing power even greater than what they have been suffering in recent years.

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