After experiencing the pension increase in 2019 and the 14th consecutive pension increase, many friends have asked, will retirees’ pensions increase every year?

The state's pension adjustment plan for retirees will be determined based on a variety of factors. Whether retirees' pensions will increase every year can only depend on the specific circumstances of each year.

In fact, it is not easy for our country to increase pensions for retirees every year.

With the arrival of my country's aging society, the gap in state pensions is getting bigger and bigger, and the burden on pension funds is getting heavier and heavier.

Nowadays, in many areas, pension income cannot cover the expenses.

Therefore, our country often makes up for pension loopholes by liberalizing pension investment channels or transferring state-owned assets.

Therefore, although pensions have experienced 14 consecutive increases, it also includes the difficulty and huge pressure of increasing pensions every year.

So, will the pensions of retirees and employees continue to increase every year in the future?

It is more realistic that retirees' pensions will continue to grow in the next few years and move toward "fifteenth consecutive increase" and "sixteenth consecutive increase".

So, why does the state increase pensions for retirees every year?

First, as long as the domestic economy grows, retirees’ pensions will rise every year.

It increased by 23.7% in 2006, and then from 2007 to 2015, the average annual pension increase was 10%, but it only increased by 6.5% in 2016, 5.5% in 2017, and the pension increase in 2018 was also around 5.5%.

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That is, the country wants retirees to fully enjoy the fruits of GDP growth.

In addition, the growth rate of pensions depends on the growth of employee wages.

Now the country raises the minimum wage level every year, and at the same time, all walks of life also increase wages for employees every year.

The income of on-the-job employees continues to increase.

Of course, the income of retired employees will also rise.

Second, as long as prices continue to rise, the growth rate of pension funds will not slow down, and will slightly exceed it.

The current domestic inflation level is around 2.7%.

The salary increase for retirees is 5.5%.

This means that while the state wants to enable retirees to withstand inflation, it also needs to increase pensions slightly higher than the inflation rate, because this is to allow the quality of life of retirees to steadily increase.

Third, pension investment has now been fully liberalized. In the future, pension funds will participate in investment projects such as stock market investment and state-owned enterprise reform. As long as pension funds increase profits every year, the majority of retired employees will enjoy pensions.

The fruits of investment.

At the same time, the state will also transfer some state-owned assets to pension funds to make up for loopholes.

So far, pension investments and income are looking good.

Pension funds are abundant, and there is no doubt that employee pensions will be raised every year in recent years.

Personal point of view, only for reference.