What does the pension amount depend on?
What is the average pension in Uzbekistan? How much do work experience and official income influence the amount of payments? For example, Dilmurod Davlatov, a school teacher for 32 years, and Mavlyuda Aliyeva, with 35 years of service, are retiring in October. What are their pensions based on and how are they calculated? Can the pensions of two people who worked in the same profession or at the same organization differ significantly?
What determines the size of pension payments?
People who have already retired or are approaching this stage of life often ask questions like, "How much pension will the state pay me?", "I worked all my life, why is my pension so small?", or "My colleague and I worked at the same organization in identical positions, but why is his pension higher than mine?"
So, how is the pension amount determined? What salary period is taken into account? How does work experience and official income affect the final pension amount?
How is the old-age pension calculated?
An old-age pension is awarded to:
men who have reached the age of 60 with at least 25 years of work experience;
women who have reached the age of 55 with at least 20 years of work experience.
In addition, with at least 7 years of work experience, a partial old-age pension is awarded, the amount of which is proportional to the length of service. If the length of service is less than 7 years, the citizen is entitled to an old-age pension (for men, at age 65; for women, at age 60).
In Uzbekistan, the pension amount is determined by the following formula: P = PTM + OS + PU.
Where PTM is the basic pension amount (equal to 55 percent of the average monthly salary), OS is the pension increase for work experience exceeding the standard, and PU represents additional allowances. Important note: when calculating the average monthly salary, income for the best 5 consecutive years of the citizen's last 10 years of work is taken into account. However, salaries exceeding 12 times the basic pension amount (from July 1, 2026, this is 504,000 soums, or more than 6,048,000 soums) are not taken into account. Salaries for previous years are indexed using the salary increase coefficient, which allows for determining their current value. For example, let's imagine that Dilmurod Davlatov has worked as a school teacher in the Baysun district of the Surkhandarya region for 32 years. He reaches retirement age on October 1. His average monthly salary for the best five consecutive years in the past was 4 million soums. This amount does not exceed the maximum threshold of 6 million 48 thousand soums, so it is fully taken into account in the calculation.
The basic pension amount will be 55 percent of 4 million soums = 2 million 200 thousand soums.
The excess work experience is 7 years (total work experience of 32 years minus the required 25 years). For each year of excess work experience, the pension increases by 1 percent, which over 7 years will amount to 7 percent: 7 percent of 4 million soums = 280 thousand soums.
Thus, the total pension amount will be: 2 million 200 thousand sums + 280 thousand sums = 2 million 480 thousand sums.