The retirement age in Estonia will be 65 years and one month in 2027, Social Protection Minister Signe Riisalo announced on Tuesday, the 29th of October, at the signing of a draft government regulation, reports Estonian media ERR.
The retirement age has to be announced two years in advance, which means that the government has until the beginning of 2025 to approve the retirement age for 2027.
From 2027, the retirement age in Estonia will be based on the calendar year instead of the year of birth, using new calculation formulas introduced six years ago. This means that a new retirement age is set for each calendar year.
“On the one hand, this helps to increase the length of service used as a basis for calculating pensions, but on the other hand, we inevitably have to deal with a shrinking working-age population,” the minister said.
The retirement age depends on the life expectancy of people aged 65 and is calculated as a five-year average. For example, the average life expectancy in 2019-2023 is used as a basis for calculating the retirement age in 2027.
People born in 1962 will reach retirement age in 2027. The retirement age in Estonia has changed four times since 1994 in line with life expectancy.