The social security in Kyrgyzstan is governed by two main laws: one of 1997 on state pension and one of 2008 on individual accounts. Together they provide for a social insurance program characterized by the notional defined contributions, mandatory individual accounts and a social assistance service.
The social insurance covers all employed persons, including self-employed persons, individual entrepreneurs, and members of cooperatives and state and collective farms. Special systems are applicable to personnel of the armed forces, workers in aviation, artists and citizens with special merits.
The social assistance service is provided to needy persons who are not eligible for social insurance benefits.
Funds for the social insurance program are contributed by both the insured person and its employer in the following proportions: (i) Insured person: 10% of earnings, of which 2% is transferred to the individual account; and (ii) Employer: 17.25% of the payroll. In case of self-employed persons, the contribution is 9.25% of monthly average earnings.
In case of social assistance, the total cost of the allowances and constant-attendance supplements for persons with disabilities is afforded by the government.
The old-age pension is payable at age 63 with at least 25 years of covered employment in case of men or at age 58 with at least 20 years of covered employment in case of women. Periods of study, maternity leave, caring for persons with disabilities, registered unemployment, and other leave periods approved by special decree are taken into account. The qualifying conditions are reduced for periods of full-time underground work, full-time work in hazardous conditions, work associated with the Chernobyl catastrophe, for mothers with five or more children or at least one child with a disability, and for little people.
A partial pension is paid for those who have less than the required number of years of covered employment for a full old-age pension.
A pension supplement is available to people aged 80 or older, veterans of the Second World War, workers associated with the Chernobyl catastrophe, persons with a Group I disability (requires constant attendance), caregivers of Group II (total disability with an 80% loss of mobility), and single persons with a Group II disability.
Pensions are payable in Russia under bilateral agreement.
Social assistance allowance are paid at the normal retirement age to persons who are not eligible for an old-age pension. There is no income test.
The old-agepension is paid monthly and includes: a basic flat-rate benefit (800 soms (approximately USD 17) or 12% of the average wage in the last year, whichever is higher), a transition component, an NDC component, and a benefit based on the value of the individual account from 2010 onward. The transition component is calculated as average earnings for 60 consecutive working months multiplied by 1% for every complete year of insured employment before 1996. The NDC component is calculated as accumulated contributions (of at least 1 year) from 1996 onward divided by 12 months and multiplied by a coefficient.
There is no maximum pension. The maximum average earnings used to calculate benefits are 23 times the basic rate.
In case of partial pension, a percentage of the full pension is paid according to the number of years of covered employment. The pension supplement is between 50% and 475% of the basic rate is paid.
Benefits are adjusted periodically according to changes in the cost of living.
Social benefits are administered by the Social Fund.
Source:Social Security Programs Throughout the World: Asia and the Pacific, 2010, available at http://www.ssa.gov/policy/docs/progdesc/ssptw/2010-2011/asia/index.html