Retirement age set at 65 years and one month in 2027
In 2027, the retirement age in Estonia will be 65 years and one month.
The Minister of Social Protection Signe Riisalo (Reform) signed the draft of the government's regulation on Tuesday.
The retirement age must be announced two years in advance, which means the government must confirm the retirement age for 2027 by the start of 2025.
From 2027, the retirement age will be based on the calendar year, not the year of birth. This means that a new retirement age is established for each calendar year.
New formulas for calculating the retirement age were adopted six years ago.
"On one hand, this helps increase the length of service used as a basis for pension calculation; on the other, we inevitably have to cope with a declining working-age population," the minister said.
The retirement age depends on the life expectancy of people aged 65 and is calculated as an average over five years. For example, when calculating the retirement age in 2027, the average life expectancy for the years 2019-2023 is used as a basis.
In 2027, people born in 1962 will reach the old-age pension age. The pension age has changed four times since 1994 in line with life expectancy.
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Editor: Mirjam Mäekivi, Helen Wright
