Chernivtsi: Voluntary participation in system of obligatory state social insurance – this is a chance to non-working citizens to retire

a Lot of Ukrainian citizens do not quite understand the main principles of the pension system: the pension is not a Dole from the state and the individual the result of years of work. Today, the state provides the opportunity for citizens to take care of their future pension, namely to acquire pension rights on the level with the citizens, for whom the participation in social insurance is mandatory by voluntary participation in system of obligatory state social insurance. Right to voluntary participation in system of obligatory state social insurance defined in article 10 of the law of Ukraine "On collection and accounting of single contribution for obligatory state social insurance". Voluntary participation enables citizens who are not subject to compulsory state social insurance, to purchase the necessary insurance yourself. Insurance period – a period (term) during which the person is subject to compulsory state pension (social) insurance and monthly insurance premiums are paid (single) contributions in the amount of not less than the minimum premium. The minimum premium is the sum of the single contribution, which is calculated as the product of the minimum wage on the size of the payment established by law for the month for which accrued wages (income), and is payable monthly. The agreement on voluntary participation may be provided a one-time payment by the person of the single payment for previous periods in which an individual was not subject to compulsory state social insurance (including period since 1 January 2004 to 31 December 2010). The amount paid a single fee for each month of such period may not be less than the minimum premium and more than the amount of the single payment, calculated on the basis of the maximum value of the base charging a single fee, established at the date of conclusion of the contract. The period for which paid a single social contribution in accordance with the agreement on voluntary participation in an amount not smaller than minimum insurance premium credited to the insurance period. The possibility of voluntary participation in system of obligatory state social insurance have the right to: – members of the farmers and personal farm; – individuals who have attained 16 years of age and not consisting in labour relations with employers, including foreigners and persons without citizenship who permanently reside or work in Ukraine, citizens of Ukraine who work or permanently reside outside Ukraine, unless otherwise stipulated by international treaties agreed to be binding by the Verkhovna Rada of Ukraine. Persons wishing to participate in the system of obligatory state social insurance, for the conclusion of contract on voluntary participation for acquisition of insurance must apply to the territorial body of the State fiscal service of Ukraine in the region. This was reported in the Chernivtsi city Council

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Source: http://uzinform.com.ua/

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