Number of working pensioners soars in Greece
The number of pensioners who have decided to continue working in Greece has increased fivefold under new and more favorable tax provisions, according to the Single Social Security Entity (EFKA).
Based on e-EFKA platform figures, as of last Thursday, a total of 182,700 pensioners have registered to continue working, compared to 36,000 pensioners under the old system, which withheld 30% of pension checks for continuing to work.
The old regulation (Vroutsis law) was in effect until December 31 and that had been preceded by the Katrougalos law that withheld 60% of a pension check for continuing to work.
The fivefold rise in working pensioners is attributed to the change in taxation that was introduced by law 5078/2023, taking effect on January 1, 2023.
Under the current law, pensioners who wish to continue to work and receive a pension at the same time will have a monthly withholding fee that will be paid into EFKA.
Working pensioners who are in permanent positions will have 10% of their pension withheld to be paid into EFKA, whereas if they are freelancers or contract workers, that amount is a withholding of 50% of the insurance coverage level they have chosen.
According to e-EFKA, the current regulation will allow pensioners to increase their income as well as their future pension.
When they decide to stop working altogether, they can apply anew for a higher pension.
The agency added that the measure was also introduced to fight undeclared work by pensioners.
