POSSIBILITIES FOR IMPROVING THE MECHANISM OF PENSIONS' INDEXATION FOR EMPLOYMENT IN BULGARIA

Abstract

Upgrading (updating) pension payments is the process of adjusting their amount in accordance with the current parameters of the socio-economic development of society in proportion to accumulated social security rights and using the correct set of principles, indicators, benchmarks, standards and mechanisms. Too often, however, achieving and maintaining a desired level of income and standard of living for pensioners is considered only from the perspective of underlying social patterns, without considering the specifics of the accumulation and transformation of social rights in the actual pension payments. The purpose of this paper is to highlight some guidelines for improving the mechanism for updating pension payments in Bulgaria based on a comparative analysis of the practice of updating pensions in social security systems in some European countries.