Origin of the Right to a Pension
The basis for the origin of the right to a pension is the attainment of pension age — 65 years; at the same time, the right to a pension arises for women from the age of 60. Where a person has simultaneously acquired the right to benefits provided by this law and by the Law on State Compensation and State Academic Stipend, he has the right to claim the benefit granted by only one law, at his own choice. The right to a pension does not arise, and an arisen right ceases, during a person's exercise of public activity.
Funding, Amount and the Calculation Rule
The source of pension funding is the state budget of Georgia, and the amount is determined annually by the law on the budget, in accordance with the calculation rule and conditions established by this law: in the draft budget the pension is determined as the pension fixed by the current year's budget law, increased for pensioners under 70 — by the average inflation of the last 12 months, but by not less than 20 lari; for pensioners of 70 and above — by the sum of inflation and 80 percent of the arithmetic mean of GDP real growth over the last 6 quarters, but by not less than 25 lari.
Further rules apply: if the increased amount is less than a multiple of 5, it is rounded up to the nearest multiple of 5; the increase takes place from the very first month of the budget year; the indicators are calculated under the procedure of the Budget Code, relying on the official data of the National Statistics Service; and it is impermissible to determine the pension amount by a procedure different from this rule — a guarantee that is decisive in a dispute.
Application and the Delivery Procedure
The application for the assignment of a pension, together with all necessary documents, is submitted to the competent organ; the list of necessary documents and the assignment procedure are determined by a normative act of the Minister. Two provisions of the delivery procedure are particularly important: the pension is paid on the territory of Georgia, at any place according to the pensioner's wish, and the pension for the current month is paid no later than the end of the following month. A pensioner living abroad must take these norms into account when planning: the place of delivery is tied to the territory of Georgia, though the place is chosen by the pensioner's wish.
Suspension and Renewal
The pension is suspended from the first day of the month following the origin of a ground: upon the person's non-receipt of the pension for 6 consecutive months; upon his being in pre-trial detention; or on another ground following from the law. Renewal occurs from the first day of the following month, and the unreceived sum is compensated for the past period, but for not more than 1 year from the day of suspension: in the case of non-receipt — after the submission of an application for renewal; in the case of detention — upon the rendering of an acquittal; in the other case — after the elimination of the ground.
Grounds for Termination
The pension terminates from the first day of the following month: upon a personal application; during the exercise of public activity; upon entry into legal force of a convicting judgment imposing imprisonment — from the day of suspension; upon the expulsion of a foreign citizen or a stateless person from Georgia; upon leaving or losing Georgian citizenship; upon death; after the lapse of 3 years from the day of suspension; or on another ground. One source of pension termination is the information of the electronic database of civil-acts registration, which is supplied to the competent organ automatically.
Frequently Asked Questions
At what age does the right to a pension arise?
Pension age is 65, for women from 60; during public activity the right does not arise.
How is the pension increased?
Under 70 — by inflation of not less than 20 lari; 70 and above — by inflation and 80 percent of GDP growth, not less than 25 lari; the amount is rounded to a multiple of 5.
Where and when is the pension paid?
On the territory of Georgia, at any place according to the pensioner's wish; the current month's pension — no later than the end of the following month.
What follows non-receipt of the pension?
After 6 consecutive months the pension is suspended; upon renewal the unreceived sum is compensated up to 1 year from suspension, and after 3 years the pension terminates.
How We Help on Legal.ge
The Legal.ge team assists with pension planning and practical receipt issues: the assignment procedure, planning the place of delivery, suspension-renewal disputes and verifying the amount. Write to us — we will plan your pension strategy together with every deadline of the law.