Estonian government approved introduction of parental pensions

  • 2012-04-05

TALLINN – Today [April 5], Estonian government approved the proposal for paying one of two parents additional pensions depending on the date of birth of their children, writes the National Broadcasting.

According to the current version of the draft law, 4 percent of average wages would be paid to the second pillar pension fund to one of the parents of children who are born in 2013 or later, until the child reaches the age of three.

For example, if a child is born in early 2013, one of the parents would receive a total of approximately 1.134 euros in payments into the obligatory pension fund in the course of three years.

In order to receive the additional payment into pension funds, a parent would have to submit a relevant application to the Social Insurance Fund, whereas parents would have to agree on which one of them would use the benefit.