INSS pensions change in 2023; see the new rules

by

Workers planning to retire in 2023 should be aware that the new year also brings stricter rules for entitlement to the benefit. Since November 13, 2019, when the Social Security reform came into effect, the requirements change annually and the insured person needs to plan to make the request on time.

Those who were already in the labor market can fit into any of the five transition rules — 50% toll, 100% toll, minimum score, progressive minimum age or old-age retirement. They were created with the aim of minimizing losses to people who already accumulated contributions before the new law.

“The insured person needs to do a lot of math. Although Meu INSS has a simulator with such scenarios, the result is not always reliable. It is recommended to carry out an individual pension plan to verify the best rule, including forecasting present and future scenarios”, says Rômulo Saraiva, social security lawyer and columnist for Sheet🇧🇷

minimum score

The scoring rule is one of three that change annually. In it, the insured person needs to reach a minimum score, the result of the sum of age and contribution time, to be able to retire. In 2023, men must have at least one hundred points, while women will need to accumulate at least 90 to be entitled to the benefit.

In this case, it is necessary to have at least 30 years of payments to the INSS, in the case of women, and 35 for men.

The minimum score goes up by one unit each year until 2028, when the requirement will be 105 points for them. The requirement continues to rise for women, reaching 100 points in 2033. When calculating, one point is considered for each year of age and each year of contribution.

For example, a 50-year-old insured person with 35 years of contribution has 85 points. So, even fulfilling the amount of Social Security payments, he could not retire by this rule in 2023, since the sum does not reach 100.

progressive minimum age

The progressive minimum age rule allows the worker to retire before completing the minimum age required by the 2019 constitutional amendment. This is another modality whose requirements change each year, as six months are added to the minimum age that entitles to retirement.

To apply for the benefit in 2023, the insured person must have at least 30 years of contribution, in addition to being 58 years old. The insured person must have 35 years or more of payments and have completed 63 birthdays.

In the case of women, the modality will undergo changes until 2031, when the minimum age to retire will be 62 years. For men, the annual changes run through 2027, bringing the minimum age of 65 to ‘hang up your boots’.

Retirement by age

Old-age retirement is an exclusive benefit for private sector workers. “It is the most advantageous rule for seniors who have less contribution time”, says Roberto de Carvalho Santos, from Ieprev (Institute of Social Security Studies). The requirement is 15 years of withdrawal, and men must be at least 65 years old, and women, 62, in 2023.

Next year is the last time that this criterion will change, since the minimum age for women established by the Social Security reform will be reached. Between 2019 and 2022, the required minimum age of insured persons rose by six months each year, as well as the progressive minimum age rule.

However, even though this is the criterion with the least requirements, it may not be the most advantageous for the insured. “The more contribution the insured has, the better the calculation of the final benefit will be, especially for those who pay more than the minimum wage”, guides Saraiva.

50% toll

The 50% toll is valid only for workers who were up to two years away from retirement when the social security reform came into force, that is, men who had at least 33 years of contribution and women who made the payment to the INSS (National Institute of Social Security) for at least 28 years by November 13, 2019.

This rule says that the person needs to fulfill half of the contribution time that was missing on the retirement start date, and a minimum time of 35 years of payment to Social Security is required, for men, and 30, for women. In this case, there is no minimum age and the value of the benefit considers the average of all wages since July 1994 and includes the social security factor.

“Usually, the rules involving the payment of tolls penalize more policyholders who have little age and/or contribution time. That is, if the insured person has little contribution time or low age, it is suggested to use another transition rule”, says Santos, from Ieprev.

100% toll

The insured person needs to work twice as long as it took to retire when the new rules came into effect. In this case, it is also necessary that men be at least 60 years of age and 35 of contributions, and that women be 57 years of age and 30 of payments to the INSS.

An insured person who was 55 years old and had contributed 30 years in November 2019, for example, needs to contribute to Social Security for another ten years in order to retire. Under the old rules, he only had to work for another five years to file.

In this modality, the value of the benefit considers the average of all wages from July 1994 and there is no application of the social security factor.

How to order

The simulation and request for retirement can be made through the Meu INSS website or application. However, specialists recommend that the insured person carry out social security planning before filing the application to avoid frustration or, if the application is accepted, to ensure that the benefit granted is correct. The tip is to seek a social security lawyer to assist.

“In this analysis, the entire work history of the insured person is taken into account and a document or opinion is drawn up that reveals what are the best retirement conditions and what are the best transition rules for each individual case”, says Santos.

Today, the request can take from 30 days to six months to be evaluated, indicate the lawyers. However, the assessment time depends on the volume of applications and the availability of INSS servers. In addition, if it is necessary to rectify the CNIS (National Social Information Register) or the institute requests extra documents, the waiting time may be longer.

Therefore, the recommendation is to have at hand, in addition to the professional card, all proof of payments made throughout life, without forgetting optional contributions or as self-employed, periods as a rural worker or military service, and work under other social security regimes, such as municipal and state.

“In general, policyholders must prove that they have carried out remunerated work activities, under which social security contributions are levied and which, consequently, are part of the legal assets of the insured person and guarantee their retirement at the time of implementation of the legal requirements for the granting of benefits”, recommends Ieprev’s lawyer.

When to go to court

The recommendation is that the worker exhausts all administrative channels before resorting to Justice to retire. Remember that even if the INSS denies the request, it is still possible to appeal to the Social Security Appeals Council, which is an autonomous body.

“In any case, it is necessary for the insured person to keep in contact with his trusted lawyer, to understand the extent of his right and what will be his retirement time, based on current legislation”, guides Santos. As for Saraiva, it is also recommended to go to the courts when there is excessive delay in the institute’s response.

You May Also Like

Recommended for you