Any information is useful amid the worries surrounded the Russian pension reform. Alexey Moiseev, the Russian Deputy Finance Minister, has explained the issue recently. He clarified where pension savings would be transferred. The government will pass funds of the Russian Federation citizens, which will be accumulated in 2014, to the state-administered 'pay-as-you-go' system. «It is only for 2014. This is stipulated in the federal budget for 2014-2016”, Moiseev emphasized talking with journalists. Everyone, who wants, can find the explanations of all the clauses of the draft budget on the official website of the lower house of parliament. A note to the draft budget says, “in 2014, payroll contributions will be channeled to the 'pay-as-you-go' system”. In simple words, the whole saving part of the obligatory pension system (individual retirement accounts) will be suspended for a year. “But the citizens receive a good compensation, because the ruble value is higher in the insurance system than in the saving system”, Mr. Moiseev said. The 2013 pension savings as well as other payments, such as the mother capital (financial aid following the birth of a second child), will be redirected for management to Vnesheconombank.
