New Retirement Requirements Enforced in Bulgaria

Starting January 1, 2011, men's retrement age will be 63 and the years of service will be 37, while women;s retirement age will be 60 and the years of service 37. Photo by Sofia Photo Agency

The much debated amendments to Bulgaria's Social Insurance Code, which deal with retirement requirements, enter into force on January 1.

Starting from this year, the new retirement requirements for men will include simultaneously minimum 37 years of service and age above 63. Women should be 60 years of age and should have 34 years of service.

Up to now, thew so called "point system" has been implemented in Bulgaria's retirement system, according to which every person who reaches a certain overall "score" meets the pension criteria. This score is the sum of age and the total years of service.

For example, men are allowed to retire upon reaching 63 or a total of 100 points (i.e. a 64 year-old man with 36 years of service is able to retire in the current situation). The current requirements for women are 60 years of age or 94 points.

To put it in other words, a 64 year old man with 36 years of service or a 61 year-old woman with 33 years of service has to either retire by the end of 2010 or work for one more year.

From 2012, the years of service for retirement will additionally start increasing by 4 months a year.

Experts have warned that eliminating the "point" system has impacted 10 000 people by the end of 2010.

Meanwhile data showed that the number of Bulgarians willing to retire is constantly increasing mainly due to the amendments to the Bulgarian retirement system. Since October last year, the retirement declarations have grown with 19% year on year, reaching 23 550.

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