Hungary - Old-age benefits
The chapter provides information on old-age and early old-age benefits in Hungary.
In what situation can I claim?
Benefits provided by the statutory pension system are old-age pensions (only above retirement age), 40 years’ eligibility period for women (nők 40 év jogosultsági idővel) and survivors' benefits.
Persons who have reached statutory retirement age and have paid the necessary number of years of insurance contributions are eligible for an old-age pension.
If you are still engaged in gainful employment and you are submitting a pension claim, the termination of this gainful employment is no longer an eligibility criteria for an old age pension. Pensioners do not pay contribution.
What conditions do I need to meet?
Old-age pension (Öregségi nyugdíj)
Persons who have reached the statutory retirement age and have paid the necessary number of years of insurance contributions are eligible for an old-age pension. In 2023, people can retire at age 65.
Early old-age pension
The so-called Old-age pension for women with 40 years of eligibility period ('Öregségi nyugdíj nők számára 40 év jogosultsági idővel') is available for women, regardless of their age, who have fulfilled at least 40 years of eligibility period. The eligibility period refers to any period of gainful activity or of receipt of pregnancy confinement benefit (terhességi gyermekágyi segély) (up to 31 December 2014), infant care allowance (Csecsemőgondozási díj), child care fee (Gyermekgondozási díj), adoption fee (Örökbefogadói díj) (from 1 January 2020), child home care allowance (Gyermekgondozási segély) (up to 31 December 2015), child care allowance (Gyermekgondozást segítő ellátás) (from 1 January 2016), and child raising support (Gyermeknevelési támogatás), the nursing fee linked to child raising (Ápolási díj), or of the child home care fee (Gyermekek otthongondozási díja). At least 32 years of gainful activity are needed in addition to periods of receipt of the abovementioned benefits linked to child raising; or 30 years of gainful activity are required in the case of receipt of the nursing fee or the child home care fee. The eligibility period is decreased by 1 year after every child raised in the household for women raising 5 or more children with a maximum reduction of 7 years.
Several benefits, which are not old-age pensions, can be paid before reaching retirement age:
- benefit prior to retirement age (korhatár előtti ellátás) for persons who have not yet reached their retirement age and were receiving an early retirement pension (Korkedvezményes öregségi nyugdíj), miners' pension (bányásznyugdíj) or artists' pension (művésznyugdíj) on 31 December 2011;
- transitional annuity for miners (átmeneti bányászjáradék) for those who have completed at least 25 years of insurance and 5,000 shifts in mines;
- life annuity for dance artists (táncművészeti éltejáradék) for those who have completed 25 years of insurance as a dancer in a dance company listed in law;
- service benefit for armed forces (szolgálati járandóság) for those who were entitled to service pensions for professionals of armed forces (szolgálati nyugdíj) due to invalidity and had completed 25 years of armed service by 31 December 2011.
What am I entitled to and how can I claim?
Pensions have to be applied for using a standard form. If you live in Hungary, you can submit the form to the capital and county government offices of the place of residence (fővárosi és vármegyei kormányhivatalok (lakóhely szerinti)) in person, by post or electronically.
In international pension cases, you must submit your application to the Government Office of the Capital City of Budapest Office (Budapest Főváros Kormányhivatala).
The amount of the pension depends on average wage and length of service time (insurance period). The average wage that is used as the basis for calculating the old-age pension is determined, as a general rule, on the basis of the income subject to pension contributions between 1 January 1988 and the date of retirement.
Minimum pension
The Hungarian pension system provides for a minimum pension, with a qualifying condition of minimum 20 years of service, of HUF 28,500 per month. If the average contribution base is less than the amount of the minimum pension, the pension will equal 100% of the average monthly wage.
Deferment of retirement
Persons with 20 years of service time who have reached retirement age, whose pension has not yet been granted and who have continued to work for at least 30 days are entitled to a pension increase of 0.5% of the amount of the pension for each supplementary 30-day period. In this case, the final amount of the pension can be more than the average monthly contribution base.
Death grants
Local governments may provide support to bear the costs of funeral, but there is no obligation for them to do so.
Funeral at public expense: the mayor of the commune, including the locality where the death occurred must ensure that the person is buried at public expense within 30 days of notification of the death, if there is no one to take charge or if the person whose responsibility it is cannot be found or refuses to do so. The cost of the funeral is reimbursed by the commune in which the deceased was last resident.
Forms you may need to fill in
Application forms can be downloaded from https://magyarorszag.hu/szuf_szolg_lista?kategoria=NYU
or picked up from any pension client service.
In international cases you must submit your application to the Government Office of the Capital City of Budapest (Budapest Főváros Kormányhivatala).
Know your rights
European Commission publication and website:
Who do you need to contact?
Government Office of the Capital City of Budapest
Budapest Főváros Kormányhivatal
Budapest
Fiumei út 19/A
1081 MAGYARORSZÁG/HUNGARY
postal address: 1916 Budapest