All social insured persons (employed, self-employed and voluntary contributors) are entitled to old age pension. In Cyprus the pensionable age is 65. Under certain conditions a person can qualify for early retirement pension at the age of 63. Miners who have worked at least three years can apply for old age pension one month earlier than the normal pensionable age for each five months of work in a mine, provided they have retired from mining work, but not before the age of 58.

Eligibility Conditions for Old Age Pension

The qualifying conditions for old age pension in Cyprus depend on the worked period and on the paid contributions as follow:

1. If the period of work and paid contributions was between 6 October 1980 and 3 January 2010 the applicant should:

  • have paid or assimilated contributions for at least 156 weeks (3 years);
  • have paid or assimilated contributions up to the pensionable age of at least 156 times the weekly amount of basic insurable earnings* (3 insurance points);
  • have paid or credited contributions in at least 25% of the years from 5 October 1964 (or since 7 January 1957 if this is more profitable for the beneficiary) or from the age of 16 and until the last contribution week before the pensionable age;

2. If the period of work and paid contributions included 4 January 2010 to 2 January 2011 the applicant should:

  • have paid or assimilated contributions for at least 260 weeks (5 years);
  • have paid or assimilated contributions up to the pensionable age equal to at least 260 times the weekly amount of the basic insurable earnings* (5 insurance points);
  • have paid or credited contributions in at least 30% of the years from 5 October 1964 (or since 7 January 1957 if this is more profitable for the beneficiary) or from the age of 16 and until the last contribution week before the pensionable age;

3. If the period of work and paid contributions included 3 January 2011 to 1 January 2012 the applicant should:

  • have paid or assimilated contributions for at least 364 weeks (7 years);
  • have paid or assimilated contributions up to the pensionable age equal to at least 364 times the weekly amount of the basic insurable earnings* (7 insurance points),
  • have paid or credited contributions in at least 30% of the years from 5 October 1964 (or since 7 January 1957 if this is more profitable for the beneficiary) or from the age of 16 and until the last contribution week before the pensionable age;

4. If the period of work and paid contributions included 2 January 2012 up to the present date, the applicant should:

  • have paid or assimilated contributions for at least 520 weeks (10 years);
  • have paid or assimilated contributions up to the pensionable age equal to at least 520 times the weekly amount of the basic insurable earnings* (10 insurance points);
  • have paid or credited contributions in at least 30% of the years from 5 October 1964 (or since 7 January 1957 if this is more profitable for the beneficiary) or from the age of 16 and until the last contribution week before the pensionable age.

If an insured person attains the pensionable age and does not satisfy the above conditions for old age pension, then she/ he continues to pay contributions until the qualifying conditions are satisfied. Under no circumstances the contributions are payable after the age of 68 when the insured person can apply for an old age lump-sum payment.

If the applicant worked in different countries, the pension must be claimed through the last EU country where the contributions were paid. The applicant should mention all the other countries where she/ he used to work. Old age pension can be transferred to any EU country where the beneficiary wishes to retire. EU citizens who face problems getting their old age pension abroad should contact the European Assistance Services here.

EU pensioners are eligible for medical treatment at no cost. For more information read the Cyprus health & medical care scheme page which also explains how to apply for a medical card to get free access to the public health services.

How Is the Old Age Pension Amount Calculated?

Similar to the invalidity pension, the old age pension consist of a basic pension and a supplementary pension calculated as follow:

  • the basic pension is 60% of the annual average basic covered earnings, increased to 80%, 90% and 100% for one, two or three dependants respectively. For a married female beneficiary, an additional of 10% of the basic pension is paid for each dependant child or other dependants (maximum 2 dependants). There is no entitlement to an increase for her husband unless he is incapable of supporting himself. The basic pension is calculated on a weekly basis.
  • the weekly supplementary pension is 1.5% of the earnings over the weekly basic covered earnings* during the claimant’s whole career up to the maximum weekly covered earnings.

*The weekly amount of basic insurable earnings is currently €174.38. The maximum amount of covered earnings is €1,046.

The minimum old age pension is 85% of the full basic pension. This is how the minimum old age pension is calculated:

  • € 88.93 per week for a single person (85% x 60% x € 174.38);
  • € 118.58 per week for a person with one dependant (85% x 80% x € 174.38);
  • € 133.40 per week for a person with two dependants (85% x 90% x € 174.38);
  • € 148.22 per week for a person with three dependants (85% x 100% x € 174.38).

The old age pension is paid monthly in thirteen installments (one every four weeks) a year.

The basic pension rates are reviewed at the beginning of each year according to the percentage increase of the basic insurable earnings, while the rates for supplementary pension are reviewed according to the increase in the cost of living index. The evaluation is done for the second semesters of the last two years.

Both basic and supplementary pensions are adjusted every year in July, if the difference between the cost of living indexes of the first semester of the year and that of the second semester of the previous year is at least 1% up. This percentage is considered when determining the increase in pension rates at the beginning of the year.

Incentives for Old Age Pensioners

Any old aged pensioner, who has paid contributions on insurable earnings between the date of entitlement to a pension and the age of 65, is entitled to a weekly increase of her/ his pension of 1.5% of the weekly average of these insurable earnings.

If an old age pensioner requests to postpone the payment of her/ his pension until the age of 68, the amount of the old age pension will be increased by 0.5% for each month worked between the month of postponement and the month of starting the pension. A corresponding raise will be granted in the case of a widows’ pension.

How to Apply for Retirement Pension

To apply for old age pension an application form must be filled in and submitted to the local Social Insurance Services Office together the following original documents:

  • the applicant’s birth certificate;
  • the marriage certificate (if the applicant is married);
  • a letter from the President of the Community Council or the Parish/ Community Priest of the applicant that states whether the applicant lives together with her/ his spouse and/ or other dependants or, in case the applicant doesn't leave with any dependants, whether she/ he supports them financially (exclusively or mainly);
  • the birth certificate of each dependant child of the applicant;
  • a school attendance certificate for each child of their dependants (for girls aged between 15 and 23 years old and for boys aged between 15 and 25 years old);
  • a military service certificate for each son of their dependants up to 25 years old serving in the National Guard;
  • the medical certificate of any disabled child over 15 years old who is permanently incapable of work and support himself;
  • if the applicant is a woman, she must also complete the Y.K.A. 430 form regarding the credited insurable earnings for child birth;
  • if the applicant has studied in an educational institution after turning 16, she/ he must complete the Y.K.A. 1-010 form regarding the credit granted for regular training;
  • if the applicant is a man borne after 1 January 1940, he must complete the Y.K.A. 1-011 form regarding the insurable earnings credited during his National Guard service;
  • if the applicant has worked in a mine he must fill in the Y.K.A. 311 form (the declaration of miner occupation);
  • a statement of the International Bank Account Number (IBAN) signed and stamped by the applicant’s bank with the full details of the applicant’s bank account where the transfer will be made.

The application for old age pension together with the originals aforementioned certificates must be submitted within three months from the date of entitlement.