Case: A transfer from a pension based on years of service to an age pension was made with an increase in the pension by UAH 5 729.

Client: pensioner, 61 years old

Region: Mykolaiv

The essence of the case (problem): to transfer from a pension based on years of service to an old-age pension and take the correct average salary.

Desired result: correct calculation of the pension when transferring to an old-age pension.

Responsible lawyer: Chmona Alona

A pensioner, who was initially assigned a pension based on years of service on the basis of the Law of Ukraine “On Pension Provision”, contacted the Law Office “Prikhodko & Partners”.

In 2023, pensioner Olena Anatoliivna applied to the Pension Fund of Ukraine with an application for transfer to an old-age pension in accordance with the Law of Ukraine “On Compulsory State Pension Insurance”.

The PFU made a transfer from a pension based on years of service, assigned on the basis of the Law of Ukraine “On Pension Provision” to an old-age pension in accordance with the Law of Ukraine “On Mandatory State Pension Insurance”, however, it applied the average wage (income) in Ukraine from which insurance contributions were paid, calculated as the average for 2014-2016. The amount of the pension was UAH 10,728.36.

During the consultation, it was explained to pensioner Olena Anatolyivna that she has the right to a proper calculation of the pension amount using the average salary (income) in Ukraine, from which insurance contributions were paid, for the three calendar years preceding the year of applying for a pension, namely for 2020, 2021, 2022. Attention was drawn to the practice of the Supreme Court in this category of disputes.

An agreement was concluded between JSB “Prikhodko & Partners” on the provision of legal assistance for case support regarding judicial support of the case for the purpose of proper calculation of the pension, taking into account the application of the average salary (income) indicator upon retirement by age.

In order to properly provide legal assistance, we:

• sent an application to the PFU body for the recalculation and payment of an old-age pension using the average salary (income) in Ukraine, from which insurance contributions were paid, for the three calendar years preceding the year of applying for a pension, namely for 2020, 2021, 2022, starting from the date of pension assignment;
• received a refusal to the specified application;
• prepared and sent a statement of claim to the court.

By the decision of the Mykolaiv District Administrative Court of 08/19/2024 in case № 400/6146/24, the claim was satisfied, the court:

1. recognized the actions of the Main Department of the Pension Fund of Ukraine in the Mykolaiv region as unlawful in refusing to recalculate and pay the old-age pension using the average salary (income) in Ukraine, from which insurance contributions were paid, for the three calendar years preceding the year of the application for the assignment of the pension, namely for 2020, 2021, 2022, starting from the moment of the application;
2. obliged the Main Department of the Pension Fund of Ukraine in the Mykolaiv region to recalculate and pay the old-age pension using the average salary (income) in Ukraine, from which insurance contributions were paid, for the three calendar years preceding the year of the application for the assignment of the pension, namely for 2020, 2021, 2022, starting from the moment of the application.

After the court decision entered into force, our lawyer filed a lawyer’s request for the execution of the court decision by the PFU body.

At the lawyer’s request, the PFU body provided evidence of voluntary execution of the court decision, according to which:

1. the client’s pension was recalculated by age using the average salary (income) in Ukraine, from which insurance contributions were paid, for the three calendar years preceding the year of the application for the assignment of a pension, namely for 2020, 2021, 2022, starting from the moment of the application;
2. the amount of the pension is UAH 16,457.36;
3. the amount of the debt was calculated.

Thus, our experienced lawyer on pension cases Alona Chmona achieved an increase in the client’s pension by UAH 5,729. Agree that this is a significant difference.

So if you have questions about pension law or want to claim a fair pension, contact our specialists. You will receive advice on the possibility of recalculating your pension and can count on our legal support.