- •§ 1. Scope of application of Act
- •§ 2. Definition of state pension
- •§ 3. Insured persons
- •§ 4. Right to receive state pension
- •§ 5. Types of state pension
- •§ 6. Right to choose type of pension
- •§ 7. Right to receive old-age pension
- •§ 8. Deferred old-age pension
- •§ 9. Early-retirement pension
- •§ 11. Amount of old-age pension
- •§ 12. Annual factor of insured person
- •§ 13. Average amount of pension insurance part of individually registered social tax
- •§ 14. Right to receive pension for incapacity for work
- •§ 15. Pension qualifying period required for grant of pension for incapacity for work
- •§ 16. Permanent incapacity for work
- •§ 161. Term for conduct of examination
- •§ 17. Results of examination for establishment of incapacity for work
- •§ 18. Calculation of pension for incapacity for work
- •§ 19. Transfer from pension for incapacity for work to old-age pension
- •§ 20. Right to receive survivor’s pension
- •§ 21. Calculation of survivor’s pension
- •§ 22. Right to receive national pension
- •§ 23. Amount of national pension
- •§ 231. Transfer from national pension to pension for incapacity for work
- •§ 24. Right to receive pension supplements
- •§ 25. Recalculation of state pension
- •§ 26. Indexation of state pensions
- •§ 27. Pension qualifying period
- •§ 28. Time included in years of pensionable service
- •§ 29. Calculation of years of pensionable service
- •§ 30. Calculation of accumulation period
- •§ 31. Claim for state pension
- •§ 32. Grant of state pension
- •§ 33. Pension committee
- •§ 34. Decision to grant pension
- •§ 35. Pension certificate
- •§ 36. Payment of state pension
- •§ 41. Grant and payment of survivor's pension
- •§ 42. Specifications of calculation and payment of state pensions if pension rights arise pursuant to international agreement
- •§ 421. Calculation and payment of old-age pension upon employment by institutions of European Community
- •§ 43. Payment of state pensions to persons who are employed
- •§ 44. Payment of state pension on basis of authorisation document
- •§ 45. Unreceived pension
- •§ 46. Payment of state pensions to sentenced pensioners
- •§ 47. Withholding amounts from state pension
- •§ 48. Reclamation of pension amounts
- •§ 49. Organisation of state pension insurance
- •§ 50. State Pension Insurance Register
- •§ 51. Purpose and chief processor of register
- •§ 52. Entries in register and receiving data from register
- •§ 53. Composition, sources and registration of data
- •§ 54. Notification of insured persons
- •§ 55. State pension insurance funds
- •§ 56. Sources for covering expenditure prescribed for state pension insurance
- •§ 57. Expenditure prescribed for state pension insurance
- •§ 58. Previously determined categories of disability
- •§ 581. Specifications for increasing deferred old-age pension
- •§ 582. Differences in recalculation of old-age pension coefficient and permissibility of transfer of pension rights
- •§ 59. Calculation of accumulation periods and insurance components of state pensions for years 1999, 2000 and 2001
- •§ 60. Retention of previously granted pensions
- •§ 61. Value of base amount of pension, year of pensionable service and national pension rate
- •§ 611. Enrolment in full-time study
- •§ 612. Grant and recalculation of pension retroactively
- •§ 613. Allocations prescribed in state budget for specific purposes paid into pension insurance reserve and emergency reserve
- •§ 614. Payment of pensions
- •§ 62. Amendment of Superannuated Pensions Act
- •§ 63. Amendment of Old-Age Pensions under Favourable Conditions Act
- •§ 64. Amendment of Defence Forces Service Act
- •§ 65. Amendment of State Compensation of Victims of Crime Act
- •§ 66. Amendment of Social Benefits for Disabled Persons Act
- •§ 67. Repeal of legislation
- •§ 68. Entry into force of Act
§ 26. Indexation of state pensions
(1) By 1 April of each calendar year, state pensions calculated pursuant to this Act shall be indexed by an index the value of which depends to the extent of 20 % of the yearly increase of the consumer price index and to the extent of 80 % of the yearly increase in receipt of the pension insurance part of social tax. The indexing shall be carried out pursuant to the procedure provided by subsection (7) of this section.
(28.11.07 entered into force 01.01.2000 - RT I 2007, 62, 395)
(11) Upon calculation of the index, the yearly increase of the consumer price index shall be multiplied by 0.2, the yearly increase in receipt of the pension insurance part of social tax shall be multiplied by 0.8 and the results shall be added together.
(28.11.07 entered into force 01.01.2000 - RT I 2007, 62, 395)
(2) The yearly increase of the consumer price index shall be calculated by dividing the value of the consumer price index of the previous calendar year by the value of the consumer price index of the year before the previous calendar year, on the basis of the value of the consumer price index officially published by the Statistical Office.
(3) The yearly increase in receipt of the pension insurance part of social tax shall be calculated by dividing the total amount of the pension insurance part of social tax of the previous calendar year by the total amount of the pension insurance part of social tax of the year before the previous calendar year, on the basis of information of the Ministry of Finance concerning the receipt of the pension insurance part of social tax.
(4) The yearly increase of the consumer price index and in the receipt of social tax shall be expressed to the accuracy of three decimal places.
(5) A state pension shall not be indexed if the value of the index is less than 1.000.
(51) The Government of the Republic may approve a lower value of the index than the one provided for in subsection (1) of this section if:
1) the estimated real growth of the gross domestic product of the same year is negative, or
2) the difference between the expenditure prescribed for state pension insurance specified in subsection 57 (1) of this Act and the estimated income from social tax transferred into the state pension insurance funds exceeds 1% of the estimated gross domestic product of the same year.
(52) The Government of the Republic shall add or clear the part of index which was not increased or reduced together with the approval of the new value of the index within five years as of the application of subsection (5) or (51) of this section.
(6) The Government of the Republic shall approve the index with the value of at least 1.000 and the part of the index to be added or cleared on the basis of subsection (52) of this section not later than by 20 March of the given year.
(7) By 1 April of a calendar year, the Social Insurance Board shall calculate the national pension rate, new values of the base amount of a pension and the value of a year of pensionable service by:
1) multiplying the national pension rate by the index approved pursuant to subsection (6) of this section;
2) multiplying the base amount of a pension by the index approved pursuant to subsection (6) of this section whose incremental part has been multiplied by the coefficient 1.1;
3) multiplying the value of a year of pensionable service by the index approved pursuant to subsection (6) of this section whose incremental part has been multiplied by the coefficient 0.9.
(28.11.07 entered into force 01.01.2000 - RT I 2007, 62, 395)
(8) At least once in every five years, the Government of the Republic shall prepare an analysis concerning the effect of the bases for calculation of state pensions provided by subsections (1) and (7) this section on the financial and social sustainability of the pension insurance system and where necessary, shall submit a proposal to the Riigikogu on alteration of the terms of application of the methods for calculation of the index of state pensions and application of the index.
(28.11.07 entered into force 01.01.2000 - RT I 2007, 62, 395)
Chapter 8
Pension Qualifying Period