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ECONOMIC RESEARCH

TITLE

Analysis of Pension Indexation Methods in Order to Achieve the Well-Being of Older Generations

Arkadii K. Solov'ev

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INDEX

RAR (Research Article Report)

JEL G280

https://doi.org/10.52180/1999-9836_2025_21_1_4_59_71      

AUTHOR

Arkadii K. Solov'ev

Financial University under the Government of the Russian Federation, Moscow, Russia

e-mail: This email address is being protected from spambots. You need JavaScript enabled to view it.

OCRID: https://orcid.org/0000-0002-8563-9836

SPIN-code: 6165-1300

RSCI AuthorID: 440273

Scopus Author ID: 57200797260

FOR CITATION

Solov'ev A.K. Analysis of Pension Indexation Methods in Order to Achieve the Well-Being of Older Generations. Uroven' zhizni naseleniya regionov Rossii=Living Standards of the Population in the Regions of Russia. 2025;21(1):59-71. https://doi.org/10.52180/1999-9836_2025_21_1_4_59_71 (In Russ.)

Abstract

The relevance and novelty is due to radical changes in the mechanism of indexation of all types of state pensions for the current budget, planned and long-term periods. Practical decisions of public administration bodies require theoretical understanding and critical analysis of the final social and economic results from the perspective of solving the most long-standing problem of socio-economic development of our country - the poverty of pensioners as the most vulnerable category of citizens. The purpose of the study is to identify the causes and substantiate the conditions for reducing pensioner poverty. The subject of the study is the state pension provision in Russia. To identify the causes of pensioner poverty, the study uses actuarial and statistical analysis methods based on open information sources: Rosstat, the Ministry of Labor of the Russian Federation, the Federal Tax Service, etc.  As a result of a multifactorial analysis of the methods of indexing insurance pensions, the main problems and factors determining the size and forms of increase in various pensions have been identified, and theoretical and practical tools for improving the forms and methods of indexing have been substantiated. It is proved that the indexation of insurance pensions should be considered as an economic mechanism for preserving the pension rights of insured persons in conditions of insured risks during the onset of insured events of old age, disability, loss of breadwinner.  Indexation should ensure the purchasing power of insurance pensions throughout the life of pensioners. Different indexation methods have different effects on maintaining the adequacy of pension payments in the long term, especially in conditions of rising life expectancy and volatile inflation.

Keywords

pension indexation, pension rights of insured persons, insurance pension, compulsory pension insurance, inflation, working pensioners, individual pension coefficient

Acknowledgements

the research was carried out at the expense of the grant of the Russian Science Foundation No. 24-28-00306.

AUTHOR'S BIOGRAFY

Arkadii K. Solov'ev

Doctor of Economics, Professor, Honoured Economist of Russia, Director of the Scientific Research Center for the Development of the State Pension System and Actuarial and Statistical Analysis of the Financial University under the Government of the Russian Federation

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