Rivalutazione delle pensioni

Pensions, December 2023 revaluation adjustment: how much is due between the new amount and arrears

With the legislative decree n.
145 of 18 October 2023, connected to the Budget Law as it contains "urgent measures in economic and fiscal matters, in favor of local authorities, to protect employment and for non-deferrable needs", the adjustment of the revaluation of pensions is brought forward by one month which otherwise would have been scheduled for January 2024.
No longer in November as had been announced, but in December (check due on Friday 1 December) in order to give INPS sufficient time to recalculate the checks and pay the arrears .
From December therefore the pension amounts will be revised slightly upwards, applying the definitive revaluation rate (8.1%) on the amount received in December 2022 instead of the provisional one (7.3%) that the INPS last January used to adjust allowances to cost of living.
And at the same time, since the recalculation takes effect from the beginning of the year, the arrears will also be recognised.
What is the adjustment of the revaluation scheduled for December As most people know, every beginning of the year pensions are adjusted to the trend of inflation: however, in the first instance the so-called revaluation is carried out on the basis of a provisional rate, only to then be recalculated in January of the following year using the definitive rate.
And possibly, should the latter prove to be higher, we proceed with an adjustment of the sums and the payment of the arrears in a single solution.
In 2023 exactly this happened: the provisional rate was 7.3%, the definitive rate was 8.1%.
Therefore, the increase in pensions carried out at the beginning of 2023 is almost one point missing, a 0.8% which the Meloni government, as already done by Mario Draghi in 2022, chose to return with an advance adjustment in December (while last year taken in November).
How much do pensions increase with the additional 0.8% revaluation? At this point all that remains is to get an idea of what the increase will be due once the missing revaluation for the 0.8% of the rate is also carried out.
However, the 0.8% will not be applied in full to all pensions as the same revaluation percentages established by the 2023 Budget law will be respected: consequently, the rate of 0.80% will be applied in full only to those who have a pension that does not exceed 4 times the minimum salary, therefore approximately 2,100 euros gross.
Above four times the minimum payment, however, the percentages as revised by the 2023 Budget Law will apply, i.e.: between 2,101.53 and 2,626.90 euros: 85% of the rate, therefore the increase will be 0.68%.
For example, a pension of 2,500 euros will enjoy a further increase of 17 euros; between 2,626.91 and 3,152.28 euros: 53% of the rate, therefore 0.424%.
Those with a pension of 3,000 euros, for example, will be entitled to 12.72 euros more; between 3,152.29 and 4,203.04 euros: 47% of the rate, therefore 0.376%.
The definitive increase for those who receive 3,500 euros of pension will be 13.16 euros; between 4,203.05 and 5,253.80 euros: 37% of the rate, therefore 0.296%.
Anyone with a pension of 5,000 euros will therefore enjoy an increase of 14.80 euros per month; above 5,253.81 euros: 32% of the rate, which therefore drops to 0.256%.
The increase, for those who receive a pension of 6,000 euros, is 15.36 euros per month.
In this regard, here is a table that helps to understand how pensions increase thanks to this new revaluation, without taking into account the fact that in January 2024 there will be a further adjustment due to the inflation recorded in 2023 (for which in the update note a rate of 5.4% is estimated at the Def).
Gross monthly pension December 2022 Gross monthly pension January 2023 Gross monthly pension December 2023 Increase between November and December 2023 Gross arrears (11 monthly payments) €1,000 €1,073 €1,081 €8 €88 €1,500 €1,609 €1,621 €12 €132 €2,000 2,146 €2,162€16€176€2,500€2,655€2,672€17€187€3,000€3,116€3,128€12€132€3,500€3,620€3,633€13€143€4,000€4,137 €4,152 €15 €165 €4,500 €4,621 €4,634€ 13€ 143€ 5,000€ 5,135€ 5,149€ 14€ 154€ Therefore, for those who receive 1,000 euros of pension there is a further increase of 8 euros per month, with an allowance of 88 euros in arrears which will be paid at the same time with the November check.
However, the arrears for those who receive 2,500 euros of pension rise to 187 euros, in fact the group that will benefit most from the adjustment of the revaluation with the definitive rate.
As regards the minimum pension, however, the definitive value rises to 567.94 euros, to which must be added the extraordinary revaluation of 1.5% applied to those under 75 years of age and 6.4% for those over this threshold.
Attention, all the aforementioned figures must be considered before taxes: the net amount that will therefore actually be recognized on the payslip will obviously be lower.
read also Net pension calculation explained in a simple way: taxes, deductions and examples

Author: Hermes A.I.

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