Kadyrbaev M.K.1, Khasenov S.B.2

1 student, 2 Candidate of Legal Sciences, Kostanai Social-Technical University named Z.Aldamzhar

The economic essence of pensions

 

Pension benefits Kazakhstan currently is a system of three levels (pillars), which combine both mechanisms of solidarity and funded systems. Functioning multi-level model of pension provision is calculated on the entire population of Kazakhstan. Segmenting the population into categories determined by the source of pension payments (the state budget and / or retirement savings), it was based on their age Kazakhstani involved in the pension system. The first level - is the solidarity pension system, Kazakhstan inherited from the Soviet Union after its collapse and based on "solidarity between generations", which becomes a source of pension payments the state budget due to tax deductions working population and other revenues. The size of pension payments is determined by seniority. At present, the level of pension payments are generated for those whose seniority at the time of retirement as of January 1, 1998 is not less than six months. / 1 / Allocation of compulsory pension contributions during the period of employment meets the conditions of the second-tier pension system and obliges the young generation has to bear sole responsibility for their level of income after retirement, as a source of retirement benefits will be generated by them to accumulate individual pension accounts.

The third level - funded system based on voluntary and voluntary occupational pension contributions. Every citizen is offered the possibility of voluntary pension contributions to increase their savings and thereby secure a higher income after retirement. Accumulative pension system is one of the most important components of social security, on the one hand and an instrument to invest in the economy of Kazakhstan, on the other. The essence of the funded pension system - is the preservation and increase of depositors' funds, that is, Investment in the real creation. The mechanism of its operation is as follows: employers in the form of a monthly list of mandatory pension contributions to 10% of pay, including all kinds of wages, various premiums, supplements. Due to this source formed pension accumulations of depositors of accumulative pension funds. Pension contributions are sent to the accumulative pension fund at the option of the depositor, which on the basis of the pension contract opened an individual retirement account and personal number - the social individual code. Accumulated contributions depositors pension funds pass through the authorized custodian bank of the investment management of pension assets, which allocates funds in securities, bank deposits and other financial instruments. Resulting in the placement of income is called investment income is allocated to individual accounts of depositors in accordance with the amount of accumulated funds. Thus, a personal pension savings depositors paid to them at retirement age. On 1 January 2010 it operated 14 pension funds, as of November 1, 2010 their number on the pension market decreased to 13.

SPC in the implementation of its activities can collect pension contributions, to receive commissions for their activities and to exercise other rights under the terms of the pension agreement, to enter into contracts with organizations engaged in investment management of pension assets. At the same time, accumulative pension funds are obliged to:

Ø     To make pension payments to beneficiaries;

Ø     To carry out an individual pension savings account and payments;

Ø     To provide the depositor and the recipient of the information about the state of his pension savings at least once a year and at his request;

Ø     To ensure the confidentiality of information about the state of the recipient's pension savings;

Ø     Be responsible for the violation of pension legislation and the conditions of the pension contract;

Ø     At the request of the recipient to transfer his pension savings from one fund to another;

Ø     Publish statistical and other information on its activities for the standard period of one, three, five, ten calendar years, with the exception of the publication of information containing guarantees or promises of income on deposits to pension funds;

Ø     To ensure equal conditions for citizens who have concluded pension contract;

Ø     Perform other duties in accordance with the laws of the Republic of Kazakhstan.

They are legally obliged to conduct an annual audit of compliance with the size and determine the present value of pension reserves Liabilities / 2 /.

 

References

1.                        Закон РК от 20.06.1997г. 136-I "О пенсионном обеспечении в Республике Казахстан" (с изменениями и дополнениями по состоянию на 19.04.2010г.).

2.                        Программа развития накопительной пенсионной системы Республики Казахстан на 2005-2007 годы.