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The subsistence minimum (LS) is the cost of the minimum set of products, goods and services that a person needs per year for life without the risk of loss of ability to work and health. This indicator is used in determining the minimum wage (SMW), financing current areas of state social policy and other socially important goals.

The cost of living is determined per person using rules and methods approved by law. The indicator is established both for the Russian Federation as a whole and in each specific subject of the Russian Federation. In the article we will figure out what the cost of living was established in St. Petersburg in 2021 from January 1, and what is currently in effect.

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The legislative framework

Definitions of terms and general provisions on the purpose and functions of the indicator should be found in the Federal Law on PM No. 134 of October 24, 1997.

Regions set their own subsistence levels by separate resolutions of local authorities. Subjects of the Russian Federation also have their own laws and regulations on the procedure for determining the subsistence minimum, the consumer basket, etc. Thus, the size of the living wage in St. Petersburg must be sought in the decrees of the city Government.

Laws and by-laws regulating the procedure for forming a PM in St. Petersburg are currently:

Law No. 761-135 of December 25, 2013 about the consumer basket;
Resolution of the City Government No. 479 of March 30, 2004. on the establishment of PM;
Law No. 542-63 of October 24, 2000 on the procedure for determining the subsistence minimum and the consumer basket.

How will the minimum pension increase in 2021 under the new law?

Earlier, Russian President Vladimir Putin signed a law on a new methodology for calculating the minimum wage (MROT) and the subsistence level from January 1, 2021, which will affect the amount of the minimum pension in 2021.

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What will be the size of the minimum pension in Russia after indexation in 2021 for those who are already retired

In some constituent entities of the Russian Federation, the cost of living increased slightly or did not change at all compared to the standard established for 2021. For example, the subsistence minimum wage was not increased in the Voronezh and Smolensk regions, in the Tver region it was increased by only 70 rubles, and in the Chuvash Republic by 82 rubles .
In some regions there has been a significant increase in the minimum pension. For example, in the Khabarovsk Territory its value was increased by 1,758 rubles, in the Jewish Autonomous Region - by 1,129 rubles, and so on.

To receive payments, you must contact the territorial office of the Pension Fund and fill out an application. Supporting documents must be attached to it, for example, a certificate of the student’s studies at a university or documents on guardianship of minor grandchildren.

Why is the cost of living calculated?

Essentially, the living wage is the amount of money that, in the opinion of the legislator, should be enough per month to support a person’s life. Article 1 of Federal Law-134 gives a very simple definition of the subsistence minimum - this is the cost of the consumer basket, the minimum set of products, goods and services that a person needs per year for life without the risk of loss of ability to work and health.

The consumer basket in the constituent entities of Russia is established by a separate act with the participation of the commission for regulating social and labor relations. So, according to St. Petersburg Law No. 761-135, it includes: bakery products, milk, meat and fish products, etc. Need is established in kilograms per year for the main socio-demographic groups (adults, children, pensioners). For example, according to the authorities of St. Petersburg, adults need 58.9 kg of meat per year, pensioners – 54.2 kg and children – 44.1 kg.

The consumer basket also includes non-food products, their cost is determined in relation to the cost of food products.

The cost of the consumer basket in 2019-2020 in Russia - official data

Features of the formation order

As mentioned above, the cost of living is calculated per capita and separately for workers, pensioners and children at average consumer prices, based on statistical data on the product market. This is done quarterly. Data on the PM indicator must be published at the official level.

At the same time, the Methodological Recommendations for establishing a consumer basket, approved by Decree of the Government of the Russian Federation No. 54 of January 28, 2013, indicate that when forming an indicator for pensioners, it is necessary to take into account the age-related decrease in needs. That is, the cost of living of a pensioner will always be lower than the monthly minimum wage of a child or an able-bodied adult. This rule applies not only in St. Petersburg, but also in other regions of the Russian Federation.

The federal and regional PM differ only in the territory of action: the federal one is valid throughout the Russian Federation, the regional one is valid only within a specific subject of the Russian Federation. The procedure for forming the indicator is almost identical at both levels.

What is the minimum wage (minimum wage) in St. Petersburg in 2019-2020?

Payments to rural residents

The amount of payments is calculated individually. It depends on the average salary in the Russian Federation, the average salary of a specialist, and length of service. Last year, the average bonus was 7,470 rubles for pilots and 3,845 rubles for miners. The amount of payments is adjusted every three months.

Payments for special merits

These benefits are available to pensioners of all constituent entities of the Russian Federation. In addition, each region develops a list and scope of additional benefits for pensioners. You can find out about them at the territorial office of the Pension Fund.

A minimum pension at the PMP level is usually the case for those who have just reached retirement age and who have received a small pension. They were given an additional payment, and they will only be able to go beyond the PMP after the next indexation.

There may be some confusion with the term “living wage” in relation to pensioners. There is a real living wage - the statistical data that Rosstat receives by analyzing prices for basic consumer goods in each region. This subsistence minimum exists in four types: per capita, per person of working age, per child and per pensioner.

Minimum pension in Russian regions from January 1, 2021

Now everything is a little more complicated, but in favor of pensioners. The amount of their additional payment is fixed, and during annual indexations the main part of the pension is increased by a percentage common to all. As a result, recipients of social supplements from the same region today receive slightly different pension amounts.

For the working population, this amount will be 13,073 rubles, for pensioners - 9,664 rubles, and for children - 11,607 rubles. When assessing the standard of living of St. Petersburg residents, the authorities will rely on these figures. Also, the amount of scholarships, benefits and other social benefits will be determined based on the cost of living.

The basis for calculating the cost of living is not the cost of the consumer basket for the past period, but the average per capita income. In addition, now the cost of living will not be recalculated quarterly. It is set for the entire next year.

Each region of Russia has the right to independently set its own subsistence level. However, at the same time, the cost of living established by the authorities of the constituent entities should not fall below the level of this indicator in the second quarter of last year.

From January 1, 2021, the federal cost of living is set not for one quarter, as was done previously, but for the entire calendar year. Before the adoption of the regulation, the level of the subsistence minimum depended on the cost of the consumer basket , and since the adoption of the regulation, its size depends on the average per capita income in the country .

What is a living wage?

On December 31, 2021, Prime Minister of the Russian Federation Mikhail Mishustin signed Resolution No. 2406, which sets the average per capita living wage at 11,653 rubles for the Russian Federation as a whole for 2021. You can view the published document on the official website of the Russian Government.

May 04, 2021 vektorurist 151

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Functions of the living wage

The indicator is of great importance for regulating social relations:

according to Art. 6 FZ-134, if the level of income for each family member is lower than the level of subsistence minimum, it is considered low-income, with all the ensuing consequences;
according to Federal Law-305 dated 08/02/2019. from January 1, 2021, the cost of living per child will have a direct impact on benefits for children under 3 years of age. This benefit has been increased from 50 rubles to the level of monthly subsistence for children, but only for a certain category of families whose average per capita income is less than twice the subsistence minimum per working person. In this case, the indicators of the region are taken into account. Also in 2021, Vladimir Putin announced the introduction of benefits for children from 3 to 7 years old for families whose income per family member is less than the minimum monthly wage established in the region. The amount of this benefit is equal to 1/2 the monthly minimum wage per child in a given subject of the Russian Federation. The corresponding presidential decree No. 199 was signed and published on March 20, 2020.

In addition, at the federal level, the PM plays the role of determining the minimum wage, in accordance with the provisions of the relevant law. In the region, trade unions, employers and authorities can agree on their own minimum wage, taking into account, among other things, the PM (Article 133.1 of the Labor Code of the Russian Federation).

What is the minimum cost of living for a pensioner in St. Petersburg for 2020?
In order to ensure an adequate level of material support for pensioners, a separate subsistence minimum is also established annually for this category in order to make social supplements to pensions in accordance with Art. 12.1 Federal Law-178. The official cost of living for a pensioner in St. Petersburg for 2021 is 9,514 rubles.

By what percentage will pensions be increased in St. Petersburg and the Leningrad region in January 2021?

• Social pensions are paid to disabled people and other disabled citizens of Russia. Including the right to receive a social pension are persons who have reached the ages of 70 and 65 years (men and women, respectively).

What kind of increase awaits pensioners in April 2021?

Of course, this is the average temperature in the hospital. For some, the pension will increase by a smaller amount, for others by a larger amount. Well, the easiest way to calculate your pension based on the results of the January indexation of 2021 is to multiply its current value by 1.063.

January 1 – fixed payments to non-working pensioners will increase by 6.3% . In total, 40.2 million people fall into this category, and the size of the basic old-age pension after indexation will be 6,044 rubles .
August 1 – indexation of payments for employed pensioners is planned. The amount of the increase will depend on the number of pension points they have earned during the past year. The minimum increase in monetary terms will be 3 pension points. The recalculation will be made automatically, and working pensioners will not need to provide any certificates or statements to the Pension Fund.
August 1. This month it is also planned to index the funded pension for those citizens who have it. There is no exact information yet about the specific amount of indexation.
October 1st. There will be an indexation of pensions of former employees of law enforcement agencies - the Ministry of Internal Affairs, the Ministry of Defense, the Ministry of Emergency Situations, the FSB, etc. Monthly payments for security officials who have retired will increase by 3.7%.
From February to November, pensions for pilots and miners will be indexed separately. The increase in payment will occur on an individual basis, depending on a number of parameters, such as total insurance experience, harmful experience, etc.

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The amount of pension payments is directly influenced by the cost of living established for each region of the Russian Federation separately. This procedure is associated with significant differences in the cost of the food basket, essential goods and services in different regions of the Federation.

Living wage for pensioners in St. Petersburg in 2021

In St. Petersburg, the cost of living will increase in 2021. provided for by Legislative Assembly Resolution No. 1003. For people of retirement age next year, its amount will be 9,757 rubles against the current 9,514. Thus, this figure will be increased by 243 rubles . A more significant increase is envisaged in the Leningrad region. The minimum wage for regional pensioners will increase from 9247 to 9832 rubles . All persons whose total pensions received are below the specified values can contact the social security authorities at their place of residence with an application for additional payments.

the indicator is determined once a quarter;
the indicator can be federal and regional, determined as a whole for the Russian Federation and for a specific region, subject of the Russian Federation;
The consumer basket or set of necessary products and services is used as the basis for calculation. Their list is determined by law, and prices are calculated based on actual values by Rosstat;
determined by the main socio-demographic groups of the population (it is established for pensioners, children, adults and able-bodied citizens);
in the current period, the last accepted PM indicator is valid (and not for the current quarter).

The cost of living in St. Petersburg in 2021 for non-working pensioners was established by the regional legislative assembly in the amount of 9,757.10 rubles. Based on this value, the minimum income of a pensioner is determined; in fact, this is the minimum pension in St. Petersburg in 2021.

Living wage for non-working pensioners

That is why it is so important for the state to make the procedure for establishing the living wage transparent and up-to-date. Legislators believe that the definition of the consumer basket does not reflect the real needs of the population; it is necessary to take into account the income of the population, not expenses.

According to the PFR budget, old-age insurance pensions for non-working pensioners in 2021 will be indexed by 6.3%. This applies to all of Russia, and, accordingly, including residents of St. Petersburg and the Leningrad region. A detailed article on pension indexation in 2021 can be read here.