Amendment to the Social Insurance Act introduces the so-called assignment of contributions to the parental pension
The approved amendment to Act No. 461/2003 Coll., on Social Insurance, introduces a new pension benefit – parental pension from January 2023. Every child who works in Slovakia or is voluntarily insured for a pension, will have the opportunity to assign part of their paid social insurance contributions to the persons who raised them and are retired.
The Social Insurance Institution will automatically pay a parental pension to parents of their own or adopted children who are recipients of an old-age, invalidity or retirement pension paid after reaching the retirement age. However, the child may decide that they do not want the parent to be granted a parental pension or prefer to contribute to the surrogate parent. This decision must be notified to the Social Insurance Institution by 28th February 2023 using the published form.
The paid parental pension of one parent will be 1.5% of the child’s social insurance assessment base from two years ago. This means that the year 2021 will be the relevant year for the payment of the parental pension for 2023. The parental pension will be calculated from a maximum of 1.2 times the average salary in the Slovak economy two years ago. The entitlement to a parental pension will be assessed each calendar year. In 2023, a retired parent who has brought up one child will get a maximum increase of EUR 264. The amount of the parental pension may increase depending on the number of children brought up.
