The bitter truth awaiting retirees in 2025: Will pensions fall? Answer given…

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Lerato Khumalo

News about the pension increase continues to find a place in current news and economic news.

Pensions are calculated and updated each year using the update coefficient of the insured’s premium-based earnings from the relevant year until the retirement application date.

When the public claims that those retiring in 2024 will be in a more advantageous position than those retiring in 2025 and that their pensions will be higher received widespread attention, those considering submitting a retirement petition began to seek answers to questions such as “Will pensions decrease after 2025, will pensions decrease in 2025?”

WILL PENSION PAYMENTS DECREASE AFTER 2025?

The Confederation of Rights Trade Unions made a written statement to citizens who will be applying for retirement for the first time and responded to the confusion:

The update coefficient to be used in calculating the salary of retirees in 2025 is expected to be 1.366. This means that retirees in 2025 will receive significantly lower salaries than retirees in 2024 due to the significant decrease in the inflation difference between the years.