Deadline for retirement applications: Pensions will be lower!

One of the most discussed topics of 2024 has been the pension difference in retirement applications. Those who have earned the right to retire in 2024 but do not submit their petition by January 14, 2025, will receive a 30 percent lower pension if they postpone their application to 2025.

SGK Chief Expert İsa Karakaş emphasized in his statement on the matter that this advantage has not closed and that those planning to retire should not postpone their decisions.

WHY DOES THE 30 PERCENT DIFFERENCE OCCUR?

Those who apply in the second half of 2024 will receive pensions 30 percent higher than those who apply in the first half of 2025. Karakaş explained the main reason for this difference as follows:

Increases linked to the civil servant salary coefficient applied in 2024 have raised retirement pensions.

The ceiling wage increased from 41,828 TL to 46,655 TL.

For public employees, the annual advantage amounted to approximately 4,825 TL.

Karakaş stated that private sector employees would not benefit from this difference, but public employees would receive this advantage.

TÜİK DATA AND THE 30 PERCENT ADVANTAGE PERSIST

Recalling that the Turkish Statistical Institute (TÜİK) announced December inflation at 1.03 percent and annual inflation at 44.38 percent, Karakaş noted that these figures were in line with expectations.

For those concerned about whether "the 30 percent difference has closed," Karakaş provided the following explanation:

"This advantage has not closed for months, and it is very difficult for it to close. Considering the growth rates and annual inflation targeted by the government, it is not possible for this difference to close within a few years."

WHEN IS THE LAST DAY FOR THE RETIREMENT PETITION?

Emphasizing that one should not leave the retirement petition until the last day, Karakaş said:

Applications can be made via e-Devlet, by visiting SGK branches, or by mail.

However, noting that those submitting petitions by mail should be careful, Karakaş said, "If the cargo arrives after January 14, the petition will be invalid and you will miss the opportunity."

Karakaş stated that he has never seen such a large difference between retirement pensions throughout his professional life. Telling citizens to make their decisions quickly, Karakaş said, "This 30 percent difference may not happen again."

Public employees will be able to maintain their advantage in the long term thanks to the increase in the ceiling wage for retirement pensions. However, Karakaş stated, "Private sector employees will receive pensions based on the old ceiling wage," noting that this situation creates a disadvantage in the private sector.