What determines your pension in Uzbekistan – a full breakdown

Who is eligible for a pension?

An age-based pension is granted to men at age 60 with a minimum of 25 years of work experience, and to women at age 55 with at least 20 years of work experience. If a person has a minimum of 7 years of experience, they may still be eligible for a proportionally reduced age-based pension.

Disability pensions are issued to individuals with officially recognized Group I or Group II disabilities, based on their age and work history at the time the disability was confirmed. The required work experience is as follows:

• Up to age 23 – 2 years
• Ages 23–26 – 3 years
• Ages 26–31 – 5 years
• Ages 31–36 – 7 years
• Ages 36–41 – 9 years
• Ages 41–46 – 11 years
• Ages 46–51 – 14 years
• Ages 51–56 – 17 years
• Age 56 and above – 20 years

A survivor’s pension is granted to family members who were financially dependent on a deceased provider. The deceased’s children are eligible for payments until age 18 (or up to 23 if enrolled in full-time education).

How many people receive pensions?

As of July 1 of this year, the number of pension recipients in Uzbekistan stood at 4.202 million people – about 11% of the total population. Of those:

• 3.4779 million receive age-based pensions
• 475,500 receive disability pensions
• 249,100 receive survivor’s pensions

How is the pension amount calculated?

In Uzbekistan, pensions are calculated using the following formula:

P = BPA + AE + SP

Where:

• BPA (Base Pension Amount) is 55% of the individual’s average monthly salary
• AE (Additional Experience) is the increase in pension for work experience beyond the required minimum
• SP (Supplementary Payments) are bonuses for special merits

To determine average monthly salary, the best consecutive 5-year period from the last 10 years of the person’s employment is taken into account. Salary above 12 times the base calculation amount (currently UZS 471,000) – that is, more than UZS 5.652 million – is not factored into the pension calculation. Salaries from previous years are adjusted for inflation to reflect today’s value.

The AE component adds 1% of the average monthly salary for each year of experience beyond the required minimum (0.5% for survivor’s pensions).

SP includes additional payments granted to individuals with honorary titles for outstanding service to Uzbekistan (e.g., “People’s Artist,” “Hero of Uzbekistan,” etc.).

Example: How much would a pension be?

Let’s say a man has 40 years of work experience and an average monthly salary of UZS 4.5 million. He also holds the honorary title of “Honored Teacher of Uzbekistan.” His pension would be calculated as follows:

• Base pension amount:
• UZS 4.5 million × 55% = UZS 2.475 million
• Additional experience bonus:
• 40 years – 25 required years = 15 years extra
• UZS 4.5 million × 15% = UZS 675,000
• Supplementary payment for “Honored Teacher of Uzbekistan” title:
• 160% of the base calculation unit (UZS 412,000) = UZS 659,200
• Total pension amount:
• UZS 2.475 million + UZS 675,000 + UZS 659,200 = UZS 3.8092 million

How are pensions funded?

Pension payments are funded through social tax contributions made by companies and organizations. The social tax rate is 25% of the wage fund for public institutions and 12% for non-budgetary organizations.

In addition, private entrepreneurs must pay monthly contributions equivalent to at least one base calculation unit. Self-employed individuals make voluntary contributions, with a minimum annual payment equal to one base calculation unit.

Employees do not contribute directly to the pension system through personal payroll taxes. Moreover, the law requires that transfers from the national budget to the Pension Fund be made to cover pension payments.

As of July this year, the monthly pension payments for the 4.2 million recipients totaled UZS 6.7 trillion.