Scientists at the Financial University under the Government of the Russian Federation have developed new measures to support older people
The standard of living of older people should be increased not only by indexing pensions, but also by using alternative measures to support pensioners. This is the main idea of the work of scientists from the Financial University under the Government of the Russian Federation, published in the journal “Social and Pension Law”. Among such measures, they propose organizing social fairs for pensioners, arranging free shelves in stores with products that have an expiration date, and digital certificates for purchasing medicines. As for the indexation of pensions, scientists believe that it should be carried out according to different principles.
One of the main problems of older people is modest pensions, which are periodically indexed to inflation. In 2022, early pensions for unemployed people were indexed by 10%, and since the beginning of this year by another 4.8%. Thus, the increase in payments exceeded the official inflation of the past year, which amounted to about 12%.
However, the authors of the work argue that this mechanism is of a compensatory nature and does not allow improving the quality of life of pension recipients. As an alternative, they propose linking indexation to the growth of wages in the country.
As a rule, in recent years this figure has significantly outpaced inflation. According to calculations by scientists at the Financial University, the new mechanism will allow the elderly to replace up to 60% of lost earnings with pensions; at the end of 2022, it replaced less than 30%. And if wage growth turns out to be below the inflation rate, then the National Welfare Fund should compensate the difference from its income, the authors of the idea believe.
Another important support measure described in the work is the free distribution or sale of products with large price discounts with an expiring date.
This problem has been widely discussed in society for many years. But the cart, as they say, is still there. Every year in Russia about 18 million tons of products are disposed of, which, according to all medical standards, are still quite suitable for consumption for some time.
“Discounts on products for those in need do not involve the participation of the federal budget at all,” he answers. — The main problem here is that today the state does not allow trading organizations to sell products with an expiring date. Based on the current legal regulation, stores are required to pay VAT on them, so it is cheaper to take such goods to a landfill than to give them away for charity for free or for a symbolic price. This is wrong; in Western countries the practice of implementing them is widespread.
— The issue is resolved simply. On the shelf or in the department where products with expiring dates are sold, indicate the deadline before which this product can be consumed. The person decides whether to take it or not. If a bottle of kefir sits in his refrigerator for a month, this does not mean that the store sold him a spoiled product.
— To avoid speculation on this topic, access to such shelves or departments should be allowed using a QR code, which is provided by local authorities. Municipalities have a database of such people.
We must take into account that we are dealing with older citizens who are not very informed and not very mobile. Let's inform them about such products and about social fairs where they can buy cheap goods. Send them QR codes with the address and opening hours of the sale. Veterans will not have to go to many stores, weighing the prices in each with their pension.
— There is a list of free prescription drugs in the country. But there are also conventional medicines, which are also not cheap. In our opinion, it is necessary to create a range of drugs for seasonal diseases — such as influenza, acute respiratory infections. So that the owners of such electronic certificates can shop in pharmacies without much damage to their pockets.
— This process usually takes place after the fact, once a year, at the level of last year. Abroad, inflation is constantly monitored and indexation is carried out periodically, so to speak, as needed. We suggest setting the bar. For example, if annual inflation is below 4%, pensions should be indexed once a year. And if it is higher than this value, the budget should mechanically switch to periodic indexation. Yes, this will require different budget discipline and additional expenses. However, it will contribute to the growth of veterans' incomes in conditions of high inflation.
— Let's not forget that the money paid to pensioners is not handouts, they finance our economy and the growth of consumer demand. .Create jobs and prevent a reduction in production volumes. These funds are returned to the state through taxes. The better a pensioner lives, the more stable the country’s economy.