Participants in the state pension co-funding program credited 5.7 billion rubles of voluntary contributions to their accounts last year. The government contributed 5.5 billion rubles to the program in May 2017.
The total volume of co-funding is always smaller than overall contributions, as some program participants contribute either less than 2,000 rubles or more than 12,000 rubles, and only contributions varying from 2,000 to 12,000 rubles are co-funded.
Voluntary contributions of employers, which are the third party to the program, amounted to 107.4 million rubles in 2016. The government does not co-fund contributions of employers.
All those funds were recorded in personal accounts of citizens and handed over to management companies and private pension funds listed in the system of pension savings’ guarantee.
Same as other types of pension savings, the money will be paid upon the citizen’s retirement (or to the citizen’s survivors). By late 2016, 14,300 retired participants received more than 159 million rubles worth of funds accumulated in the program.
By now, co-funding program participants have contributed 51.1 billion rubles to their future pensions and received governmental support at an amount of 49.8 billion rubles. Employers’ contributions stood at 788.3 million. Thus, the aggregate pension savings formed in the program exceeded 101.7 billion rubles.