Amendments to the Pension Insurance Act have brought benefits for retirees, some of which are already in effect. The average old-age pension at the end of the year exceeded 700 euros thanks to raises and a permanent bonus of six euros per year of service.
As of January 1, 2026, the early retirement penalty for beneficiaries over 70 years of age will be abolished, which will increase their pensions by an average of EUR 57. Also, disability pensions will increase by 10 percent, which will cover around 219 thousand beneficiaries.
All pensioners over 65 will be able to work full-time and receive 50 percent of their pension, while disability pensioners will have similar opportunities. From 1 July 2025, a new formula for adjusting pensions will be introduced, allowing for greater growth, and the annual pension supplement will be six euros per year of service.
The basis for calculating the minimum pension has been increased, and beneficiaries will be entitled to an annual supplement. Also, the additional service for each child born has been increased to 12 months, and bonuses for later retirement have been significantly increased.
Announcing the abolition of pension taxes
The government, following a proposal by the Croatian Pensioners' Party, has announced the abolition of the pension tax. The legal changes are expected to be implemented next year, and the tax abolition would come into effect at the beginning of 2027.
More than 400 pensioners pay pension tax, at an average of around 30 euros per month. This number is constantly increasing. increases as the average pension increases, and the personal tax deduction remains the same.
Read more at Tportal...
Photo: archive (mirovinsko.hr)
