The basis of the future pension for each citizen of the Russian Federation is contributions to the pension fund, which the employers transfer to the employee’s personal account. These contributions are called "insurance premiums." Each employee is an insured person with an insurance certificate with an 11-digit personal account number. Contributions are monthly transferred to it, which in 2012 amounted to 22% of the annual employee wage fund.
Payments to the pension fund are made if Russian citizens and foreigners living in Russia:
- work under the terms of an employment contract;
- work outside the country, but regularly pay contributions to the PF;
- are clergymen;
- consist in small communities of the peoples of the North and are engaged in traditional sectors of the economy.
The law allows you to independently provide yourself with a place of work, engaged in individual entrepreneurship or private practice. In this case, FE makes contributions to the pension fund on its own and pays a fixed amount, which in 2012 was paid on two receipts: 922.2 rubles per month was the insurance part of payments and 276.66 rubles was the funded part. An individual entrepreneur can pay contributions once a quarter or once a year by filling out the PD-4sb tax form in the Pension Fund.
Contributions to the pension fund from salaries grow along with the amount of payments to the employee at the place of professional activity. So the size of the future pension can be increased. If a working person works in several places, then contributions to the pension fund are made from each of them and are sent to a single personal account. A specific amount is recorded on the account, but not real money. This amount is a guarantee of future retirement. The transferred money is used to pay pensions to those pensioners who have already reached retirement age. The state annually indexes that part of the pension, which is called insurance.
Contributions to the pension fund can be made by the insured and additionally, upon a written application of the employee. So the funded part of the pension will grow. People born after 1967 have such an opportunity, which enables the young generation to take care of themselves to increase their pension. These amounts do not go to the payment of pensions of today's pensioners, but can be invested in stocks, securities, i.e. be invested to increase your investment.
Management of pension contributions:
- work in organizations contributing contributions to the PF of Russia;
- in the absence of such payments by the employer, to make contributions to the pension fund independently;
- control your personal account through the Internet portal or through the notification system by letters that the PF annually sends to insured citizens;
- control the savings that are placed in the management company. If the result of using the funded part of the pension is unsatisfactory, you can change the management company;
- increase your seniority, as for persons who have worked for 30-40 years, the pension is much higher than for those who have a minimum guard of 5-10 years;
- use the opportunity to participate in the State Co-Financing Pension Program , which guarantees a 100% return on investments: when paying 12 thousand rubles, the state adds the same amount, which ultimately amounts to 24 thousand per year;
- to participate in non-governmental pension schemes is the creation of an additional pension that a citizen can receive, even if he does not have the funded part of the pension in the Russian PF.
Contributions to a pension fund are a guarantee of a future pension. It can begin to shape any young man who first went to work and received his first salary.