There is an assumption that when you reach a certain age, you automatically receive a pension from the state. However, the truth is that it is not that simple. For example, many people do not realize that when they talk about an average pension, they may not get that much. And then there is also the question of those who have not worked for a large part of their lives, or even all of it. How much do they actually get?
Automatic money?
In the Czech Republic, the opinion has spread that people who refuse to work will receive just the average pension, which many see as unfair, because if you worked for a lower wage, you will only get to 15,000 crowns, for example.
You may be surprised to find that it is not like that at all. The pension is not a state benefit, but the result of your pension insurance. It is an ongoing system, not a model of separate accounts for individual policyholders, which means that you are currently paying for the current pensioner, but you can rightly expect that someone else will pay for you afterwards. It has a number of flaws, such as the fact that today’s workers do not have such good prospects for the amount of the pension, but the principle of insurance is preserved here.
However, this means that unemployed people who do not take out pension insurance should be excluded from the game. And so it really is to a large extent. Despite what people imagine, the pension system in the Czech Republic is quite strict. In addition to reaching the retirement age, which is currently set at 65, you must also fulfill the minimum period of participation in the pension insurance. And that’s a pretty high 35 years.
Forget about retirement
Therefore, if you have not worked for thirty-five years, or if you were not in the so-called excluded period, you are simply unlucky. It is not the case that the state pays for your insurance when you are at the employment office. This is a misconception of many people.
Also read: It’s here. The state is going to collect money from pensioners in the Czech Republic. They will have to humble themselves
That is, they pay it, but only for a period of one year and after reaching the age of 55, then for a period of three years. However, this is still very little for a long-term unemployed person to be entitled to a pension. It thus happens every year that thousands of people who reach retirement age end up not receiving any pension. And they won’t do anything about it. Then they are only entitled to various benefits, but that is simply not a pension and they are far from being that generous.
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2024-04-02 19:00:00
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