Russians lose faith in state pensions as 76% fear financial struggles in retirement

Russian attitudes towards pensions have shifted over the past 15 years, with younger generations now expecting alternative income sources after retirement. A recent study reveals that most Russians (76%) believe state pensions will not cover basic living costs. Meanwhile, the government has announced changes to how pensions will be adjusted from 2026 onwards.

In 2020, 58% of Russians viewed retirement as a challenging phase, down from 64% in 2010. Despite this decline, 44% still consider it one of life's hardest periods due to lower income, a shrinking social circle, and reduced activity. The share of those worried about pensions rose by 9 percentage points in 2020, marking a 31% increase over five years.

Around a third (30%) now think people should start saving for retirement by age 25, while a quarter (25%) suggest saving between 25 and 35. Younger Russians and pensioners share a similar outlook, with 46% in each group seeing more positives in old age. More women (44%) than men (35%) also view retirement favourably.

To address financial concerns, 40% of Russians plan to keep working after retirement. Of these, 33% intend to stay in their current job, while 28% will rely on savings. The government's response includes a new indexing system: from 2026, 22 million people will receive insurance pensions adjusted in two stages—first in February for inflation, then in April based on wage-dependent contributions.

Sergei Chirkov, head of Russia's Social Fund, announced the changes on 16 September 2022. The reform aims to better align pensions with economic conditions and workers' earnings.

The reforms will affect 22 million pensioners starting in 2026, with adjustments tied to inflation and wage growth. Meanwhile, public scepticism remains high, as 76% doubt pensions will provide a decent standard of living. Many now plan to work longer or depend on personal savings to secure their future.