Retirement: How to get your check in advance in 2024

What changes will there be in pensions in 2024, especially for those who want to leave work early? While the social security part of the economic package has received the green light from the Senate and is awaiting final approval in the Parliament by Friday, December 29, the new features we will introduce for next year include: less complicated access to the full old-age pension. contributing employees, extended exit windows for those using the 103 quota (62 years and 41 years of paid contributions) and stringent measures on early retirement. In summary, starting from 2024, the age requirement for early retirement in the social bee will increase (63 years to 5 months), and in the women’s option (from 60 to 61, with a one-year discount per child, up to two) and 103. The numbered quota is subject to recalculation of contributions and a ceiling (4 times the minimum).

Retirement 2024: how to get a check in advance

How does early exit from business work in detail? Benefiting from the early exit route will be possible with the age of 64 and the 20-year-old premium. The “mandatory threshold” to benefit from this allowance is expected to increase from 2.8 to 3 times the social aid amount as of 2024. Allowance, albeit with some discounts: For women with one child, this rate will decrease to 2.8 times, and for women with more than one child, to 2.6 times. Treatment cannot exceed five times the minimum INPS on a gross monthly basis. “Contributing taxpayers” will be able to use the “contributing peace” realignment to compensate for up to five years of gaps in payments between January 1, 1996 and the end of 2023 in the two-year period 2024-2025 (details here).

However, in relation to quota 103, the duration of the so-called rolling window is increasing: for employees in the private sector, the exit window increases from 3 months to 7 months, and for employees in the public sector, from 6 months to 9 months. The calculation of the allowance will be carried out using the contribution method instead of the mixed method, resulting in a permanent reduction in the amount for the majority of retirees. Workers who meet quota 103 requirements will be able to delay retirement by staying on the job and benefiting from a “bonus” listed directly on the payroll. As a result of the widening of the windows and the calculation, the exit becomes competitive with the usual early retirement pension calculated by the mixed method. According to the Parliamentary Budget Office, the latter will guarantee a 4-month discount for employees in the public sector and a 6-month discount for employees in the private sector.

Social Monkey and women’s option in 2024

The age requirement for the social bee increases by five months, resulting in a reduced potential audience by 2023; It is estimated that there will be 12,500 members, compared to 16 thousand members this year. The minimum age for the female option, which must be 61 instead of 60 by 2022, means the estimated number of exits is 2,200 compared to an assumed 2,900 for the trailing twelve months. Measures regarding early exit from strenuous work, including night work, have not changed. However, documenting the condition that qualifies for retirement remains difficult. According to Il Sole 24 Ore, nearly 1,500 out of 4 thousand requests were rejected in 2022, and more than a thousand of them are still under investigation this year.

Early exit windows for healthcare staff, local government workers, teachers and bailiffs will expand from the current 3 months to 4 months in 2025, 5 months in 2026, 7 months in 2027 and 9 months from 2028. For doctors and nurses, it is possible to extend their stay in service after the requirements for early separation have been met: for each additional month of work, the deduction in the rate of return on salary will be reduced by one thirty-sixth. Regarding the mechanism with graduated penalties for the revaluation of pensions, from January 1, 2024, there will be a ten-point cut in indexation for beneficiaries of high social benefits, i.e. more than ten times the minimum amount; From 32% to 22%.

Double increase in pensions in 2024

Then, in 2024, pensions will be slightly higher. In addition to the increases associated with adjusting treatments for inflation, social security check holders (like all taxpayers) will benefit from a readjustment of Irpef rates, a measure linked to the budget bill the government is preparing to pass. Revaluation of pension checks will begin in early January. The decree signed by Minister of Economy Giorgetti and Minister of Labor Calderone foresees the adjustment of inflation to +5.4% as of January 1, 2024. However, the full revaluation (equal to 5.4%) will only apply to pensions equal to or less than 4 times the minimum amount (€2,272.96), while for those higher the percentage will decrease as the amount increases. Leaving the technical details aside, let’s look at what the numbers are. With a gross pension of 1,000 euros there will be a monthly increase of 54 euros (always gross); this will rise to 108 euros for a pensioner receiving 2,000 euros.

In the communication regarding the January 2024 payroll, INPS did not mention possible delays in the payment of increases (as happened last year with payments exceeding 4 times the minimum). Therefore, unless there are last-minute surprises, increases for all retirees will begin next month. Social Security Institution announced that the payment will be made as of Wednesday, January 3.

Another small increase will occur thanks to the reorganization of Irpef rates. In this case, the measure is being examined by the executive, which, in accordance with the maneuver currently being approved, postponed the legislative provision on the three tranches only a few days ago to the next meeting of the council of ministers for a technical study. However, the measure is nearing completion. Therefore, the rates need to increase from 4 to 3, providing a maximum annual tax advantage of 260 euros. The annual tax advantage will be 200 euros for those with an income of 25 thousand euros, and will increase to 260 euros for incomes above 28 thousand euros. Let’s see the quantities in the table below.

For people whose total income exceeds 50 thousand euros, there should be a linear cut in deductions of 260 euros, which (above this threshold) would nullify the effects of the reform; Workers whose income is below 15 thousand euros will be able to benefit from this aid. Increase in deductions from income from work (from 1,880 euros to 1,955 euros). Considering that personal income tax is paid by everyone with income, it is clear that the Irpef reform will also benefit retirees (like workers).