Friday, October 23, 2015

The government has submitted to the State Duma the draft budget-2016 – Russian newspaper

Prime Minister Dmitry Medvedev submitted to the State Duma a draft budget for 2016, as well as a number of bills of social character, including the indexation of pensions.

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The Cabinet of Ministers within a Term sent to the lower house of parliament draft the main financial document of the country next year. Budget revenues in 2016 are expected to be 13.738 trillion rubles, expenses – 16.098 trillion. State treasury deficit will amount to 2.36 trillion rubles, which exceeds the established president of three percent of GDP.

Together with the budget to the State Duma a draft federal law entered suspending acted still indexation of pension. Until now, they were indexed to the inflation rate, recorded a year earlier. In 2016 envisages increase of pensions by four per cent from February 1. This provides for the possibility of additional indexation of pension and defined benefit to it, taking into account the situation prevailing in the economy and social sphere in the first half of the year.

In addition, the bill proposes to 1 January 2016 not to index payments to pensioners, working or engaged in other activities for more than six months in the year preceding the year of indexation. But in the event of termination pensioner work or other activities insurance pension, fixed payments paid to it without any restrictions.

1 broken February next year will be considered as pensioners, who in 2015 worked or engaged in other activities, and less than six months.

“freezing” and be subject to the salary of civil servants. In the State Duma did document shall be suspended until 1 January 2017 the actions of individual provisions of 24 federal laws establishing the procedure of indexation of social benefits, allowances, compensations, salaries of civil servants, military pay, remuneration of judges and other payments. In 2016, the size of such payments, benefits and compensation at the expense of the federal budget does not increase because of the current economic situation.

Also, the government introduced a bill that increases the minimum wage. Since January 1, it will be increased by 4 percent – to 6204 rubles a month.

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