MPs adopt social security budget for 2020
On December 4, the MPs conclusively adopted the State Social Security budget for next year. The minimum pension from July 1 next year ...
On December 4, the MPs conclusively adopted the State Social Security budget for next year. The minimum pension from July 1 next year will be BGN 250 and the maximum pension will be BGN 1200.
The budget envisages an increase of the minimum wage to BGN 610 from January 1, 2020. From then on, wages in the budget sector will increase by 10%, teachers’pay will go up by 17.5% and social workers’ by 15%.
The social budget envisages an increase of all pensions since July 1 by 6.7%. The minimum pension will go up to the size of BGN 250. Currently it is BGN 219.43. The minimum social pension for old age will increase to 141.63 BGN. The maximum pension or the so-called ceiling is maintained at the level of BGN 1200.
The minimum monthly amount of the insurable earnings goes up to BGN 610, which is the size of the minimum wage in the country. The minimum monthly amount of insurable earnings for farmers will be 420 BGN. The maximum monthly amount of insurable earnings remains at the level of BGN 3000.
The poverty line next year will be BGN 363 per month.
The opposition Bulgarian Socialist Party (BSP) criticized the proposed budget on the grounds that the planned increases were not sufficient. They offer the minimum insurable income to reach BGN 650, and the maximum - BGN 3900. BSP also insist that the minimum pension next year should be BGN 300, not BGN 250.
The increase in pensions from next year caused a serious discussion. BSP, Volya and Ataka called for fulfilment of the United Patriots' promise since the beginning of the term for increase of the minimum pension to BGN 300.
BSP has even demanded that if the minimum pension is increased, other pensions should increase by more than the pledged 6.7%.
The MRF commented that BGN 80 million will required for the minimum pension to become BGN 250, but explained that such funds are not budgeted, which creates a risk for violating the Public Finance Act.
Eventually, the MPs adopted the minimum pension from July 1 to be BGN 250. Unemployment and maternity benefits are maintained at the same levels. In the second year od maternity leave, mothers will receive BGN 380 per month. The MPs rejected the BSP's and Volya's proposals for raising these benefits to BGN 650 and BGN 610, respectively.