Minimum and non-contributory pensions will rise “clearly above” the general 2.8% increase for all pensions. This was confirmed this Tuesday by Minister Elma Saiz’s ‘number two’. The Secretary of State for Social Security, Borja Suárez, has maintained that the figure has not yet been finalized, but that it will be “clearly” higher than the average inflation that is generally applied for the annual revaluation of pensions.
Suárez recalled that in the second phase of the pension reform it was agreed that the lowest pensions in the system, the minimum and the non-contributory, would rise in the coming years based on the poverty thresholds, with the intention of improving their amounts. above the rest.
Thus, the ‘number two’ of Minister Elma Saiz has explained that “the calculation of this increase is still pending”, but in any case, he added that “it can be advanced that they will clearly rise above” 2.8 %. A data that is still provisional, but is expected to be confirmed on December 13, when the CPI data for November is closed.
This 2024, for example, minimum and non-contributory pensions increased between approximately 5% and 7%, although some modality reached an increase of 14%, compared to the general increase of 3.8%, according to the average CPI .
At this time, the minimum contributory pension at 65 years of age and a dependent spouse reaches 14,466 euros per year (1,033 euros per month in 14 payments). In the case of non-contributory retirement pensions, they are 7,250.6 euros per year (517.9 euros per month in 14 payments).
The Government made estimates until 2027
It must be remembered that the Ministry of Social Security made its estimates in 2023 on how much minimum and non-contributory pensions would increase until 2027, as agreed with parliamentary partners. The calculations, at that time by the José Luis Escrivá team, when he was in charge of Social Security, are those illustrated in the following graph.
In the case of minimum contributory pensions, it was agreed that they will reach “60% of the median income” corresponding to a household with two adults, “taking as a reference the evolution of the minimum pension with a dependent spouse.” The deadline to start these increases started in 2024 and must be reached in “2027”.
In addition, an upward path was established for non-contributory pensions, for people without the minimum contribution for a pension. In this case, the goal is to reach “75% of the poverty threshold calculated for a single-person household,” also in the year 2027. These pensions are relevant in another area, the minimum vital income, since their increase is the reference for the annual increase in the state minimum income.
The maximum pension is expected to be 3,267 euros
On the other hand, although there is no official confirmation from the Ministry of Social Security, it is estimated that the maximum pension reaches 3,267 euros per month, 2.9% more than this year, which is 3,175 euros per month.
The increase in the maximum pension is somewhat higher than the general increase in benefits because in the second block of the pension reform it was agreed that the highest salaries would contribute more to the Social Security system and, in parallel, the maximum pensions They would also increase somewhat more.
In 2024, this deployment of this higher contribution for high salaries, for the maximum contribution bases, began, which increases each year with the CPI plus 1.2 percentage points. On the other hand, 2025 will be the first in which the progressive increase in the maximum pension is applied, which in its case is the average CPI plus 0.115 percentage points each year. Thus, in 2025 the increase results in 2.915% more for the highest pensions in the system.
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