The upcoming month of March becomes a crucial date for dependent workers who are close to retirement. Submitting retirement papers in March instead of February will mean an increase of 8.3% in the initial pension, a percentage that is applied annually with sovereign bonds or ON.
This unexpected gain is due to a provision from the Ministry of Human Capital, No. 2/2025, published in the Official Bulletin. According to this provision, from February 28, 2025, onwards, those who cease their work or apply for retirement starting March 1, 2025, will see an increase of 11.9% in their monthly remuneration.
On the other hand, those who decide to retire before February 28 will receive an increase in March of 2% or less, depending on the inflation reported by INDEC in January. The calculation of the initial retirement is performed by taking the updated average salary of the last 10 years, which is updated every three months.
A practical example provided by the Estudio Guillermo Jauregui and mentioned by Ismael Bermúdez from Clarín shows how waiting until March to retire can result in a greater benefit. According to the example, a worker with an average gross salary of $1,284,038 could obtain an initial pension of $946,342 if they retire in March instead of February.
The presentation of the retirement application to Social Security is usually resolved within a maximum period of 90 days, although on average it takes about 19 days, provided there are no delays. The retirement amount is calculated by summing the 120 updated salaries and dividing them by 120, without considering the Annual Complementary Salary (SAC).
Law 27.426 introduced changes in the salary and pension adjustment system, which has created a divergence in increases. Previously, the "indifference of cessation" governed the process, which is no longer applicable today. Experts recommend submitting the application in the early months of each quarter to benefit from quarterly adjustments.
In summary, the application submission date for retirement can significantly affect the amount of the initial pension a worker receives. As the Government seeks to reduce the gap between CPI increases and salaries, convergence in increases is expected, highlighting the importance of choosing the right time to retire and optimizing benefits.
