Here is what pension you will be entitled to at the age of 67 with only 20 years of contributions paid

There are many workers who are wondering what will be the amount of the pension that will be due to them, at the age of 67. And many, mistakenly, think that it is enough to have 20 years of contributions to be entitled to a check that equals the last salary but unfortunately this is not the case. It must be assumed that the pension will almost never have the same amount as the last salary. And this even with many years of contributions paid. Here is what pension you will be entitled to in old age if the contributions paid are only 20 years.

The calculation with 20 years of contributions

20 years of contributions is the minimum that must be paid in order to be entitled to retirement benefits. But this contribution amount is not always able to give an amount higher than the minimum treatment. For average salaries of 1,500 euros per month for 13 months, we must think that the impact on the pension is about 30 euros per month. For each year worked, therefore, the pension due is increased by 30 euros gross.

Obviously, if the salary is higher, the increase will be greater and, therefore, each year worked will have a heavier impact on the pension allowance. Those who have paid contributions for only 20 years should not expect too high a pension. There are rare cases in which the check reaches interesting figures with these years of payments, in fact.

Here is what pension you will be entitled to at the age of 67 with only 20 years of contributions paid

Let’s do some examples of calculations with different salaries, but always with 20 years of payments. For ease of understanding we will consider cases in which all contributions fall under the contributory system. And we will not take into account any revaluation of the contribution amount. Our calculations, in any case, take into account a career in which the pay has always been constant. To equalize them in the single situation, therefore, it is necessary to make an average of the wages of the working life.

For an average salary of 1,500 euros you will have:

  • annual contribution amount € 6,435;
  • for 20 years of total contributions equal to 128,700 euros;
  • multiplying by the transformation coefficient relating to 67 years (5.575%) you will have a monthly pension of approximately 551 euros.

For an average salary of 1,600 euros, however, the results are as follows:

  • annual contribution amount € 6,864;
  • for 20 years of total contributions equal to 137,280 euros;
  • multiplying by the transformation coefficient relating to 67 years (5.575%) you will have a monthly pension of approximately 588.72 euros.

Example table

Average gross salary Annual contribution amount Contribution amount for 20 years Annual pension Monthly pension

gross for 13 months

1.500 euro 6.435 euro 128.700 euro 7.175 euro 551 euro
1.600 euro 6.864 euro 137.280 7.653 euro 588 euro
1.700 euro 7.293 euro 145.860 euro 8.131 euro 625 euro
1.800 euro 7.722 euro 154.440 euro 8.610 euro 662 euro
1.900 euro 8.151 euro 163.020 euro 9.088 euro 699 euro
2.000 euro 8.580 euro 171.600 euro 9.566 euro 735 euro

Deepening

Which pension check is due with a salary of 1,200 euros at 60, 65 and 67 yearsi

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