INSS (National Social Security Institute) retirees and pensioners who earn more than the minimum wage will have their benefits readjusted as of February. The values will be replaced by inflation, but for those who are not exempt, there will be a IR (Income Tax) discount.
Not updated since 2015, the Treasury table increases the Lion’s bite in benefits at the limit of a larger contribution range. Beneficiaries aged up to 64 will feel this difference in their pockets.
At the request of the report, lawyer Wagner da Silva e Souza, partner at Roberto de Carvalho Santos Advogados Associados, calculated the real amount that retirees and pensioners will receive from the INSS this year, based on the current IR table.
Those who receive up to R$ 1,903.99 do not pay the tax and retirees and pensioners who are over 65 years of age have an advantage: regardless of income, the Federal Revenue exempts a portion of R$ 1,903.99 from the benefit from the collection.
According to the specialist’s calculations, a retiree aged up to 64 who received R$ 6,800 last year will pay R$ 110.89 more in Income Tax this year, according to the specialist. The monthly IR discount on the benefit will be R$ 1,111.53.
In another example, a 66-year-old pensioner who received BRL 5,600 last year will have a real increase of BRL 61.89. With the readjustment by INPC, even with the extra installment of exemption, your benefit will have a discount of R$ 270.19 direct at source.
The calculations are valid for everyone who already received retirement or pension until January 2022. Those who started receiving INSS payments in February last year will have their benefit corrected in proportion to the accumulated inflation from the month the benefit started until December.
SEE HOW THE FINAL VALUE OF YOUR RETIREMENT LOOKS LIKE IN 2023
Income Tax has been higher each year for retirees and workers because the table used to calculate discounts is not updated by the government — the most recent correction is from 2015.
According to calculations by Unafisco Nacional, if there were full correction based on inflationary losses, all taxpayers with taxable income of up to R$ 4,723.77 would be exempt. A lag of 148.10%.
This Tuesday (17), Minister Fernando Haddad (Finance) on a panel about Brazil at the World Economic Forum that the government intends to vote on an Income Tax reform in the second half of this year.
According to Haddad, this would mean “rebalancing the Brazilian tax system to improve income distribution”.
The payment date depends on the last benefit number, regardless of the digit number. For example, if it was 987,654,321-0, the payment would be on the date established for the number 1. This year, benefits worth one minimum wage ending in 1 will be paid on January 25th.
The benefit is available for withdrawal for approximately 60 days. If the insured does not make the withdrawal within this period, the corresponding amounts will be returned to the INSS.
HOW TO CONSULT YOUR PAYMENT STATEMENT
- Access the website www.meu.inss.gov.br or the official Meu INSS application on your cell phone
- Enter CPF number and password
- If this is your first time, you will need to register and answer a few questions about your contribution history.
- On the home screen, in the center, after clicking on the icon with an eye, the system will inform the benefit number, competence, amount and payment forecast
- If the competence of January 2023the new extract is available and the system will already show the value of the new benefit after discounts
- If it is released, click on “Detail” and the benefits already requested from the INSS will appear
- Select the benefit that is active and, on the next screen, go to “Payment Statement”
- Click on competence 01/2023. This line already shows the amount to be received (with discounts, if any) and the payment date
UNDERSTAND THE EXTRACT:
- Total amount of mr for the period: It is the value of the benefit with the annual readjustment, before discounts
- Consignment bank loan (if any): payroll loan discount that the insured person has
- Deduction for beneficiaries over 65 years old: Retirees and pensioners from 65 years of age have an extra income tax exemption quota on the value of the benefit
- Withholding income tax: tax deduction, if any
- The INSS also informs the bank and the paying agency
I have over 10 years of experience working in the news industry. I have worked for several different news organizations, including a large news website like News Bulletin 247. I am an expert in the field of economics and have written several books on the subject. I am a highly skilled writer and editor, and have a strong knowledge of social media. I am a highly respected member of the news industry, and my work has been featured in many major publications.