FOURTEENTH PENSION MADE PERMANENT!

Starting this year, under the Act of 26 May 2023 on another additional annual cash benefit for pensioners, which will enter into force on 8 August 2023, the additional annual benefit, popularly known as the fourteenth pension (Polish: czternasta emerytura), will become a permanent benefit paid to pensioners once a year.

As the Minister of Family and Social Policy Marlena Maląg announced, the fourteenth pensions will be paid in September. The money will be paid to seniors together with their regular pension or annuity (Polish: renta). An additional money supply is to be expected on the day when pensions are usually received.

However, in all likelihood, some of pensioners will receive their first payments of the additional benefit as early as 25 August.

Who is entitled to the fourteenth pension?

An additional pension will be available to persons, who are entitled to one of the long-term benefits, i.e. those receiving pensions and annuities under the general scheme, pensions and annuities of farmers, uniformed services, bridging pensions (Polish: emerytura pomostowa), pre-retirement benefits and allowances, social pensions, teachers’ compensation benefits, parental supplementary benefits, cash benefits due to civilian blind victims of warfare and pensions of war and military invalids.

Its payment is to continue to depend on the amount of the basic benefit received. Only those whose basic benefit does not exceed PLN 2 900 will receive the full amount. For others, the payment will be reduced by the difference between the amount of the pension or annuity and the criterion amount, according to the “one zloty for one zloty” principle.

Important announcement from the Social Insurance Institution

As the Social Insurance Institution (Polish: ZUS) indicated in its announcement of 27 July 2023, no application will have to be made to receive the fourteenth pension. The Social Insurance Institution will pay the benefit ex officio. The fourteenth pension will be paid together with the pension and annuity in the same way as the main benefit (by transfer or cash transfer).

The full fourteenth pension will be at least PLN 1588.44 gross, which is the amount of the current minimum pension. In the case of people with a main benefit between PLN 2900 and PLN 4438.44, the fourteenth pension will be reduced. For example, a pension of PLN 3,200 will be entitled to a fourteenth pension of PLN 1288.44.

For the fourteenth pension to be eligible, its minimum amount must be at least PLN 50.

The fourteenth pension will be free from deductions, such as bailiff seizures (Polish: zajęcie komornicze). It will not count as income when applying for social assistance, alimony or the 500+ for persons needing long-term care. The benefit will be reduced only by a health contribution and an advance on income tax.

The fourteenth pensions will not be awarded to persons with a benefit, a payment of which will be suspended at the date of determining the right to fourteenth pensions, e.g. due to exceeding the limits of earning extra money while being paid a pension. This will be the case, for example, for pensioners who have exceeded the limits (130% of average salary) and whose benefit has been withheld for this reason.

If there is a coincidence of entitlement to more than one main benefit, the entitled person will be entitled to one further additional annual cash benefit, and the sum of the benefits paid will be taken into account in determining entitlement and its amount.

There will also be a single benefit for a survivor’s pension (Polish: renta rodzinna) to which more than one person is entitled. This benefit will be divided proportionally among entitled persons.

Hopefully, real support for pensioners in terms of regular valorisation of benefits will be independent of political aspects and will only be part of an effective social policy.