Social Pension Law
In March 1995, the institution of Social Pension was introduced in Cyprus through Law 25(I)/95.
This Law aims at paying pensions to those citizens, who for various reasons remain uninsured, mainly housewives and female rural workers that face serious problems when they retire. With the introduction of the Social Pension, it became possible for all citizens of the Republic of Cyprus to have an income.
The main provisions of the Law are:
- Any person is entitled to Social Pension, irrespective of nationality, as long as this person has reached the age of 65 and has been living in Cyprus for at least 20 years after the age of 40, or 35 years after the age of 18.
- Social Pension is not paid to persons that are entitled to Social Insurance pensions or other similar payments from any other source.
- The Social Pension paid is equal to the Social Insurance pension and is paid 13 times a year.
- The amount of the Social Pension is readjusted as are those of Social Insurance, i.e. every July according to the cost of living movement and every January according to the movement of salaries and the cost of living.
- The payment of Social Pensions begins on the first day of the month after the month in which the right is obtained and ends on the last day of the month in which the right is terminated.
- To pay Social Pension it is necessary that an application be submitted along with the necessary details and certificates within three months from the date that a right to pension is obtained.
If an application is not submitted within the three months, then the right is waived, unless there is a sound reason for the delay, in which case the time limit of three months is extended to 12 months.
- The cost of Social Pension will burden the state budget.