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In response to inquiries from its affiliates, the Caja de Profesionales answers questions about the draft law that it presented to the Executive Power

In response to inquiries from its affiliates, the Caja de Profesionales answers questions about the draft law that it presented to the Executive Power

In response to inquiries from its affiliates, the Caja de Profesionales answers questions about the draft law that it presented to the Executive Power

Economy and Business > Pension reform

The Caja de Profesionales made available to affiliates information on the draft law submitted to the Executive Power to provide answers to frequently asked questions regarding the pension reform.

The Caja de Profesionales opened the information on the draft law referring to the pension reform

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January 20, 2023 at 11:14

The Caja de Profesionales opened the information on the draft law referring to the pension reform.

Among the most frequent queries is how the new replacement rate would be calculated if the project is approved. In this sense, the Fund explained that the common retirement allowance would be the result of applying a minimum replacement rate of 45% to the corresponding basic retirement salary for those who, on the date of entry into force of the law, have 50 or less years of age.

Meanwhile, for those between 51 and 56 years of age, the minimum replacement rate would be 47% and for those aged 57 or over it would remain at 50%.

Another of the usual queries is what would be the minimum age to set common retirement grounds.

The Fund affirmed that the minimum age, if the project is approved, to establish common retirement grounds would be 65 years for those who on the date of entry into force of the law are 50 years of age or less. Affiliates who are between 51 and 56 years old on that date would gradually be required between 64 and 61 years of age and for those who are 57 years of age or older, the current minimum age requirement (60 years) would be maintained.

Other questions that have been repeated are whether the calculation of retirement for old age takes all the years of contributions; what will the regime of categories be like; what would be the contribution rate of the liabilities; and if it is possible to access a future retirement simulator.

All these responses are available to affiliates in the website of the Professional Fund.

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