How pension rules affect self-employed citizens and individual entrepreneurs in Russia
Self-employed individuals and solo business owners can influence the size of their future pension through several mechanisms. This topic came up in a discussion where a deputy from United Russia, Alexey Govyrin, commented on pension accrual for non‑employees.
Govyrin explained that there is no mandatory contribution to the pension insurance system for the self-employed, which means service time is not earned in the form of points. Consequently, self-employed people can only claim a social pension five years after reaching retirement age. At the same time, to accumulate experience and points, they may enter into a voluntary insurance contract and make payments to the Russian Social Fund.
For those who hold the status of an individual entrepreneur, there is a mandatory contribution to the system. Govyrin stated that for the 2024 service period the minimum contribution amounts to 50,798 rubles, equating to 1,036 points, while the maximum contribution is 406,391 rubles and 8,292 points. These figures were provided to illustrate the scale of required payments and potential pension credits.
The deputy also highlighted the option to defer retirement in order to raise the eventual pension. If an individual delays applying for retirement beyond the reached retirement age, the pension increases are applied to both fixed payments and accumulated points.
According to Govyrin, the highest possible deferral—up to ten years—can lead to significant growth. He claimed that a postponement of this length could multiply the pension by more than twofold, depending on the combination of increased fixed payments and higher point totals.
Earlier, discussions in the State Duma revealed that many Russians are concerned about upcoming laws that are scheduled to take effect in April. Debates have also touched on potential changes in the structure of pension funds in the country, prompting questions about how these shifts will impact future retirees.
Overall, the policies around self-employment pensions emphasize a mix of voluntary participation, careful planning of retirement timing, and awareness of statutory contribution requirements for entrepreneurs. These factors collectively shape the prospects for pension growth among those who operate outside traditional employment models. (Source: Rossiyskaya Gazeta)