Pension schemes in EU member states, For more information on this topic please click here

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1 Pension schemes in EU member states, For more information on this topic please click here Content: 1. Pension schemes in EU member states and projection coverage, Pension schemes in EU member states and projection coverage, Overview of pension systems in the EU member states, Sources: European Commission (2015), The 2015 Ageing Report: Economic and Budgetary Projections for the 28 EU Member States ( ); European Commission (2012), The 2012 Ageing Report: Economic and Budgetary Projections for the 27 EU Member States ( ); European Commission (2010), The 2009 Ageing Report: Economic and Budgetary Projections for the EU-27 Member States ( ).

2 1. Pension schemes in EU member states and projection coverage, 2015 Minimum pension / social allowance Old-age Public Early retirement Disability Survivors' Private pension scheme Occupational pension scheme Mandatory private scheme Austria MT-SA ER ER ER ER M* Yes* Belgium MT-SA ER ER ER (private sector); FR (self-employed) Voluntary pension scheme ER V* Yes* Bulgaria MT-SA ER ER ER ER V* Yes* Yes* Cyprus MT & ER ER ER ER ER M - public; V* - private Czech Republic FR ER ER ER ER Yes* Denmark FR & MT suppl. FR & MT suppl. V FR FR quasi M Yes* Estonia MT-SA ER ER ER ER M* Yes* Yes* Finland MT ER ER ER ER V* Yes* France ER/ MT-SA ER ER ER ER-MT V* Yes* Germany MT-SA ER ER ER ER V* Yes* Greece MT-FR MT-FR MT-FR MT-FR MT-FR Yes* Hungary MT-SA ER ER ER ER V* Yes* Ireland MT-FR & SA FR-ER FR-ER/ MT FR-ER/ MT FR-ER/ MT M - public; V* - private Italy MT-SA ER ER ER ER V* Yes* Latvia FR-SA ER ER ER ER Yes* Yes* Lithuania SA ER ER ER ER quasi M Yes* Luxembourg MT-SA ER ER ER ER V* Yes* Malta MT-SA FR & ER FR & ER FR & ER M* Yes* Netherlands SA FR ER FR M Yes* Poland ER ER ER ER ER V* Yes* Yes* Portugal MT-SA ER ER ER ER M & V Yes* Yes* Page 2 of 15

3 1. Pension schemes in EU member states and projection coverage, 2015 Minimum pension / social allowance Old-age Public Early retirement Disability Survivors' Private pension scheme Occupational pension scheme Mandatory private scheme Romania SA ER ER ER ER Yes Yes* Slovak Republic MT-SA ER ER ER ER Yes* Yes* Slovenia ER ER ER ER V* Yes* Spain MT ER - private; ER - private; ER - private; ER - private; V - private; M - public Sweden MT ER ER ER ER quasi M Yes Yes* United Kingdom FR & MT-SA FR-ER/ V ER ER V* Yes* Norway FR ER ER ER M* Yes* MT = Means tested; FR = Flat rate; FRw = Flat rate by wage categories; ER = Earnings related; SA = Social allowance/assistance; = Does not exist; V = Voluntary participation in the scheme; M = Mandatory participation in the scheme; * = Is not covered by the projection; public = Public sector employees; private = Private sector employees. Voluntary pension scheme Yes* Page 3 of 15

4 2. Pension schemes in EU member states and projection coverage, 2012 Minimum pension / social allowance Old-age Public Early retirement Disability Private pension scheme Survivors' Occupational pension scheme Mandatory private scheme Voluntary pension scheme Austria MT-SA ER ER ER ER M* V* Belgium MT-SA ER ER ER (private sector); FR (self-employed) Bulgaria MT-SA (as of 2013; before social pension) ER V* V* ER ER (until 2015) ER ER V* M* young (1960)/ M* (prof) Cyprus MT & ER ER ER ER ER M - public; V* - private Czech Republic FR ER ER ER ER V* Denmark FR & MT suppl. FR & MT suppl. V FR FR quasi M V Estonia FR FR + suppl. (before 1999); ER (after) ER FR + suppl. (before 1999); ER (after) FR + suppl. (before 1999); ER (after) V* M - young (1983) V - old* Finland MT ER ER ER ER V* V* France ER/ MT-SA ER ER ER ER - MT V* V* Germany MT-SA * ER ER ER ER V* V* Greece MT-FR ER ER ER ER V* Hungary MT-SA ER ER ER ER V V* Ireland MT-FR & SA FR MT-FR & SA SA: MT-FR; contributory: FR SA: MT-FR; contributory: FR M - public; V* - private V* Italy MT & SA ER ER ER ER V* V* Latvia MT-SA ER ER ER ER M - young (1971); V - old Lithuania SA ER ER SA or ER SA or ER V V* V* Page 4 of 15

5 2. Pension schemes in EU member states and projection coverage, 2012 Minimum pension / social allowance Old-age Public Early retirement Disability Private pension scheme Survivors' Occupational pension scheme Mandatory private scheme Voluntary pension scheme Luxembourg MT-SA* ER ER ER ER V* V* Malta MT-SA FR & ER FR & ER FR & ER M - public (before 1979) V* Netherlands SA* FR ER FR M V* Poland MT* ER ER ER ER V* M - young (1969+) / V - old Portugal MT-SA ER ER ER ER M - prof; V - others V* V* Romania SA ER ER ER ER M V* Slovak Republic MT-SA ER ER ER ER M/V new V* Slovenia MT-SA ER ER ER ER M * - prof; V* - others Spain MT ER - private; ER - private; ER - private; ER - private; V - private; M - public Sweden MT ER ER ER ER quasi-m M V United Kingdom FR & MT-SA ER-V ER (HC*) ER V* V* Norway FR ER ER ER M* * V* MT = Means tested; FR = Flat rate; FRw = Flat rate by wage categories; ER = Earnings related; HC = Partly covered by health care expenditure; SA = Social allowance/ assistance; = Does not exist; V = Voluntary participation in the scheme; M = Mandatory participation in the scheme; * = Is not covered by the projection; public = Public sector employees; private = Private sector employees; new = New labour market entrants; prof = Only for selected professions; other = Other than selected professions; young () = Only for people born in year and after; old = Only for people other than young. V V Page 5 of 15

6 Austria Belgium Bulgaria Public Minimum guarantee : Means-tested minimum through social assistance scheme. Earnings-related social security : Harmonised social security pension schemes covering all employees (incl. civil servants) and the self-employed (gradually harmonised as of 2005), providing old-age, disability and survivors. Minimum guarantee : Means-tested minimum through social assistance (GRAPA-IGO). Earnings-related social security : Separate schemes for private and public sector employees, selfemployed; schemes cover old-age and survivors, and disability in the case of civil servants (which are included in public (social security) in this report). These schemes include minimum based on career conditions. The wage earner scheme includes the minimum claim per working year. Disability pension schemes for private sector employees and self-employed. Pre-pension (early retirement) through an unemployment benefit and a supplement from the employer. Minimum guarantee : Social pension for old age. Disability. Earnings-related social security : One PAYG pension scheme covering all employees and selfemployed. Minimal pension for periods of insurance and old age (stipulated in the annual Law on the PSI Budget). Social insurance contributions of civil servants, military and police - at the expense of the state. Self-insured persons pay the whole contributions amount at their own expense. Social insurance contributions of judges and magistrates - at the expense of the Budget of the Judicial Power. The 2002 reform increased occupational pension provision through the obligation to transform the earlier severance pay into a supplementary occupational scheme (with a contribution rate of 1.53% of wages). Legal framework has been established: the Law on additional of 28 April 2003, centred on sectoral pension scheme, improving the access to them and giving more guarantees to workers. Pensions: 1.1% of GDP in Supplementary voluntary pension funds under occupational schemes (3rd pillar). Legal framework established in Funded DC scheme. pension schemes Exists only to a minor extent but the introduction of tax-favoured private scheme will increase their importance. Voluntary private schemes exist only to a minor extent. Supplementary mandatory private schemes (2nd pillar) - Universal and Professional Pension Funds. Individual pension savings plans (2.6 million contributors end of 2007). Statutory private schemes transferred from the social security pension scheme, mandatory for persons born after 1 Jan The transferred contribution rate is 5%. Funded DC schemes. Professional Pension Funds Professional early retirement for a limited period for people working under the conditions of 1st and 2nd labour category (labour under risk). Supplementary voluntary private schemes (3rd pillar). Page 6 of 15

7 Bulgaria (cont.) Cyprus Czech Republic Denmark Estonia Public Teachers Pension Fund. Survivors (stipulated in the Social Insurance Code (SIC)). Non-contributory : Special merits. Minimum guarantee : Through Social (meanstested) Pension scheme and special allowances to pensioners. Earnings-related social security : One general social insurance scheme covering all employees and self-employed persons, providing old-age, disability and survivors. Government Employees Pension Scheme (paid from the Government budget) and other public sector (local government) employees pension schemes. Minimum guarantee : No special scheme, it is embedded in the pension formula (flat-rate component). Earnings-related social security : One scheme covering the whole population, covering old-age, disability and survivors. Minimum guarantee : Universal flat-rate for every citizen 65+ (subject to the time lived in Denmark), means-tested supplements, tax-financed. Disability to those below 65. Earnings-related social security : Voluntary early retirement (requires 30 years of contributions; pension benefit dependent on age, not on contributions). Civil servants for central and local government employees (in coming years these schemes are replaced by ordinary labour market (occupational) ). Minimum guarantee : National pension equal to the base amount of the pension insurance scheme, available to those not qualifying for insurance scheme. And have lived at least 5 years in Estonia. Voluntary Provident Funds (providing defined contribution lump-sum benefits), covering about 103,000 employees. Do not exist. Labour market (occupational) (private sector covering 90% of the employees), Labour market supplementary (ATP). Special pension savings plan (SP). Labour market supplementary for recipients of disability pension (SAP) Employees capital fund (LD). All these schemes are fully funded. Do not exist. pension schemes Voluntary private pension scheme at an early accumulation stage; low replacement rate (contribution 2.1% of wage; covers about half of the labour force). Individual pension savings plans (1.1 million contributors). Statutory private schemes for the switched part of the social security pension scheme, mandatory for persons born 1983 or later and voluntary for old persons. Page 7 of 15

8 Estonia (cont.) Finland France Germany Public Earnings-related social security : One scheme covering the whole population; covering old-age, disability and survivors ; benefits are flat-rate + a length-of-service supplement for careers before 1999, as of 1999 benefits are earnings-related. Minimum guarantee : National pension scheme provides means-tested (against other ) minimum to all citizens, a full national pension after 40 years of living in Finland. Also meanstested housing allowances for pensioners. Earnings-related social security : Several but harmonised social security pension schemes for different sectors of employees and the self-employed, covering all gainfully employed, providing old-age, early retirement, disability and survivors. Minimum guarantee : Means-tested minimum pension scheme. Earnings-related social security : A great number of separate pension insurance schemes for different sectors and occupational groups providing earningsrelated, additionally mandatory second tier supplementary funds that complement the pension provision; schemes cover old-age, early retirement and survivors ; benefit levels across insurance schemes were aligned in the 2004 reform. Disability (benefits) covered by the health insurance scheme. Minimum guarantee : No special scheme but disabled and older people without sufficient income is entitled to means-tested benefits (social assistance). Earnings-related social security : General scheme covering private and public sector employees, the scheme covers old-age, disability, early retirement and widow s ; specific schemes for life-time civil servants as well as farmers and miners. Supplementary occupational, accounting for about 2% of total pension benefits. Voluntary occupational pension schemes for private sector employees (PERE and PERCO) introduced by 2003 reform covering 250,000 people for a total amount of contributions of EUR 769 million in Also an old occupational pension scheme (art. 82 and 83, and art. 39 of CGI) covering roughly 2.7 million people for a total amount of contributions of EUR 59 billion in Self-employed occupational pension scheme (Madelin law no 94 and law no 97) covering 1 million people for a total amount of contributions of EUR 15 billion in Occupational pension provision existing; benefits account for 1.4% of GDP; supported by SSC exemptions up to 4% of SSC ceiling, equal to EUR 2,520 in 2007, and by tax exemption up to EUR 4,320. In 2007, about 64% of the employees contribute to occupational schemes. pension schemes In 2005, over 50% of workers had joined the funded scheme. The switched contribution rate 4% + an additional 2% contribution paid by the insured person. Voluntary individual private pension insurance, accounting for about 1% of total pension benefits but the insured people account for about 15% of working age population. Contributions are roughly 4% of total social security pension contributions. Voluntary Individual pension scheme (PERP) introduced by 2003 reform is now covering 1.8 million people for a total amount of contributions of EUR 2.3 billion in Voluntary individual pension schemes for civil servants (PREFON, COREM ) covering 816,000 people for a total amount of contributions of EUR 11 billion in Individual funded of growing importance since the 2001 reform (supported by tax exemptions and direct allowances); contribution rate 4% of wages since Currently, about 12 million so-called Riester-contracts exist. Page 8 of 15

9 Greece Hungary Ireland Italy Public Minimum guarantee : Means-tested minimum (non-contributory) for uninsured people aged 65+. Earnings-related social security : A great number of separate pension insurance and auxiliary funds for different sectors and occupational groups; schemes cover old-age, early retirement, disability and survivors ; benefit levels differ across schemes. Minimum guarantee : Through means-tested social assistance. Earnings-related social security : One social security pension scheme covering all employees and the self-employed, providing old-age, early retirement, disability and survivors. Minimum guarantee : Means-tested minimum flat-rate and age-related benefits (old-age, widows, disability, carers and blind persons and preretirement allowances) through non-contributory social assistance scheme. Contributory social insurance : Contributory social insurance scheme provides flat-rate and age-related benefits (old-age, transition, and widow(er) s, carers, invalidity and disability benefits). Public service (occupational) : Public service occupational pension scheme. Minimum guarantee income to the elderly: Meanstested old age allowance (EUR 5,143 per year, in 2008) and social assistance additional lump sums: provided to the elderly with a personal income (including social security ) below certain limits and up to them. In 2008, income limits are EUR 5,311 per year, in the age bracket 65-69, and EUR 7,540 in the age bracket 70+. Do not exist (legal framework has been established but no scheme was operational yet in 2004). Do not exist. Voluntary occupational schemes for private sector employees. 31.6% of current pensioners receive also occupational, amounting to 24.2% of total pension income. Pension coverage for workers aged between 20 and 69 was 54% in the first quarter of Occupational, supplementary pension schemes exist. They are funded and never mandatory. The 2004 reform (law 243/2004) and its 2005-implementation (law decree 252/2005) increased the provisions for occupational through the possibility to transform TFR (end-of-service allowance) into an occupational pension scheme. Italy For married people, the amount of social assistance Contributors and contributions have in- pension schemes Voluntary private pension schemes cover about 5% of the population. Statutory private schemes for the switched part of the social security pension scheme (mandatory for new entrants to the labour market as of 1998, voluntary to workers already in the labour market). The contribution rate is 8% of wages. The scheme covers 60% of all workers. Voluntary private pension schemes cover 30% of all workers. Voluntary individual schemes also play a role in the Irish pension system. Incentives to encourage private pension provision are in place. Voluntary private pension schemes are of limited importance. Page 9 of 15

10 (cont.) Latvia Public benefits, determined as above, is provided as long as the total income of the couple falls below EUR 11,071 per year, in the age bracket 65-69, and EUR 12,683 in the age bracket 70+ and, in any case, up to these income limits. Social security pension system: One main social security pension scheme covering the whole population, providing old-age, early retirement, disability and survivors. It is composed of three schemes: DB (earnings-related), Mixed and NDC (contributionsbased). DB and Mixed pension schemes: Old DB scheme fully applied to workers with at least 18 years of contributions at the end of Transition scheme (mixed regime: partly DB and partly NDC, according to the pro rata rule) for workers with less than 18 years of contribution in 1995; Means-tested topping-up to a minimum pension (EUR 5,761 per year, in 2008) is foreseen, subject to the fulfilment of the general eligibility requirements. NDC pension scheme: Fully applied to persons entering the labour market as of Means-tested topping-up to a minimum pension, foreseen under DB and Mixed schemes, is no longer provided. Pensions awarded to workers with an age below 65 must be at least 1.2 times the old age allowance. Minimum guarantee : Through the state social security benefit, if the person s insurance record <10 years. Earnings-related social security : The minimum of the earnings-related pension system is paid with a length-of-service supplement to the amount of the state social security benefit, if the contribution record exceeds 10 years. creased significantly. Current pension expenditure is 0.1% as a share of GDP. Do not exist. pension schemes Statutory private schemes for the switched part of the social security pension scheme (mandatory for persons under the age of 30 on 1 July 2001, voluntary to persons aged The contribution rate to be raised from 2 to 10% of wages between 2001 and Voluntary private schemes. Page 10 of 15

11 Public pension schemes Latvia (cont.) One social insurance old-age pension scheme, which is a defined-benefit scheme for those, retired before 1996 and a notional defined contribution scheme for those retired as of 1996, providing old-age. Also survivors are based on NDC contributions (except for those retired before 1996). Separate provisions for disability, though under the general social security system. Specific public sector service (selected professions) paid from the state budget. Lithuania Luxembourg Minimum guarantee : Through a social assistance pension (also to young disabled persons and orphans). Earnings-related social security : One social insurance pension scheme covering all employees and the self-employed, providing old-age, disability and survivors, and early retirement as of Special state (old-age, disability and survivors ) paid from the state budget to specific groups: scientists, judges, officers and military personnel. Non-contributory : State for meritorious persons and casualties: state of the first and second degree of the Republic of Lithuania (State budget); state of deprived persons (State budget). Minimum guarantee : Through means-tested minimum income provision (RMG). Earnings-related social security : A general social insurance pension scheme for private sector workers, providing old-age, disability and survivors. A special pension scheme for public sector employees (10% of pensioners). Do not exist. Exists for some sectors such as banking and for large foreign companies. Voluntary switch of a part of the Social Insurance pension to a private fund (started in 2004 with a contribution rate of 2.5% of wages, which will increase to 5.5% by 2007). Page 11 of 15

12 Public pension schemes Malta Netherlands Poland Minimum guarantee : Means-tested minimum through social assistance (non-contributory) scheme to persons not qualified to the contributory scheme. Earnings-related social security : One social security (contributory) pension scheme covering all employees and the self-employed, providing old-age, disability and survivors (apart from unemployment, sickness and work injury benefits). Minimum guarantee : Social assistance to those not qualifying (not lived in the Netherlands for 50 years) to contributory flat rate scheme. Contributory social insurance : General flatrate old-age (AOW) to all citizens. Separate disability benefits (WAO) and survivors (ANW); flat-rate or earnings-related benefits. Minimum guarantee : Means-tested minimum financed from the state budget, topping-up benefits paid out from mandatory pension schemes. Earnings-related social security : One social insurance pension scheme (ZUS), covering all employees and the self-employed (except farmers), which is a defined-benefit scheme to those born before 1949 and a notional defined contribution scheme to those born after 1948, providing old-age. Separate schemes for disability and survivors under the social security system. A separate scheme for farmers (KRUS), providing oldage, disability and survivors. Specific public sector service (armed forces, police, judges etc.) paid from the state budget. Pre-retirement benefits paid out of the state budget. Exists only to a minor extent. A high number of funds (industry-wide, company specific and professional group specific) for the provision of occupational old-age and early retirement schemes (VUT), covering over 90% of employees. Exists only to a very minor extent, with a very low coverage (2% of employees). Exists only to a minor extent. Exists to some degree. Statutory private schemes for the switched part of the social security pension scheme as of 1999 (mandatory for new entrants; voluntary switch already closed). Contribution rate is 7.3% of wages. Page 12 of 15

13 Portugal Romania Slovak Republic Public Minimum guarantee : Means-tested minimum through social assistance scheme. It includes all types of minimum ; non-contributory/social and contributory scheme (the pension amount depends on the contributory career length). Earnings-related social security : A general social security pension scheme covering all employees and the self-employed in the private sector and public sector employees since January 2006 providing oldage, disability and survivors (apart from shortterm benefits). A separate pension scheme (CGA) for other public sector employees. Minimum guarantee : Does not exist in this form, only through Minimum Guarantee Income Scheme (social assistance for extreme poverty, available to poor people and not specially related to elderly people). Earnings-related social security : Starting 2001, a single scheme covering all employees and selfemployed, providing old-age, early retirement, disability and survivors Minimum guarantee : No special minimum pension scheme, minimum subsistence for old people and widows provided through means-tested social assistance paid out from the state budget. Earnings-related social security : One PAYG DB social security pension scheme covering all employees and the self-employed, providing old-age, disability and survivors. 1st pillar of the pension scheme. Exists mainly for banking, insurance and telecommunication sectors as a substitute for the general social security scheme. Also exists as complementary schemes for other DB and DC. Exists only to a very minor extent, with a very low coverage (Lawyers Insurance Office, less than 0.1% of total employees). Do not exist. pension schemes Exists only to a very minor extent. Statutory private schemes for the switched part of the social security pension scheme (mandatory for employees of years old, voluntary for those of years old. Starting May 2008, the contribution rate is gradually increasing from 2% up to 6% in 2016 from gross earnings. Coverage-about 65% of employees in September Voluntary private schemes individual supplementary. Started in 2007, up to 15% of monthly revenues can be directed to this scheme (at this moment of very minor importance, about 2% of employees entered this scheme until September 2008). Statutory private funded DC scheme for the switched part of the social security pension scheme as of At the beginning it was compulsory for new entrants and voluntary for current employees. As of 2008, this scheme is voluntary for new entrants. Contribution rate is 9% of wages. 2nd pillar of the pension scheme. Voluntary pension funded DC scheme introduced in rd pillar of the pension scheme. Slovenia Minimum guarantee : National, means-tested Mandatory supplementary insurance for Voluntary individual supplementary Page 13 of 15

14 Spain Sweden Public. Earnings-related social security : One social security pension scheme covering all employees and the self-employed, providing old-age, disability and survivors. Flat rate to farmers, military personnel of the Yugoslav army and for retirees from other republics of the former SFRY. Minimum guarantee : Means-tested minimum pension scheme (non-contributory) a). Means-tested minimum pension (contributory). Earnings-related social security : One main social insurance scheme, covering the private sector employees, self-employed and the regional and local public administrations, providing earnings-related oldage, disability and survivors. Public sector employees (contributory) pension scheme (CPE) for the civil servants of the central public administration and the military, providing mainly flat-rate oldage, disability and survivors, though 5 different levels of according to the career level. Minimum guarantee : National pension scheme provides means-tested (against other ) minimum to all citizens, a full national pension after 40 years of living in Sweden. Also means-tested housing allowances for pensioners (BTP). Earnings-related social security : The PAYG general social security (NDC) pension scheme covering all employees and the self-employed, providing old-age. The old earnings-related ATP scheme works in parallel during the phasing-out period. Separate disability and survivors pension schemes. The former formally counted as health insurance. The widow s pension (part of survivors ) is being phased out. some high-risk professions (about 26,000 workers, minor importance), voluntary collective supplementary (covering half the employees). Voluntary enterprise pension schemes for private sector employees (funded DC schemes and collective insurance DB). Mandatory supplementary pension scheme for public sector employees of the central administration (funded DC scheme). Schemes are of some importance. Supplementary occupational old-age for all sectors, covering 80-90% of employees. pension schemes (of minor importance in 2003). Voluntary private schemes (funded DC schemes). Statutory private schemes (premium pension) for the funded part of the social security pension scheme; contribution rate is 2.5% of wages. United Minimum guaranteed and contributory social insurance A high number of funds for the provision of Personal pension provisions with tax subsidies for Page 14 of 15

15 Public pension schemes Kingdom : Flat-rate (contributory) state basic (old-age) to all citizens and means-tested supplements through pension credits and Council taxes (financed out of taxes). Earnings-related social security and other public : State second pension scheme, of which people can opt out of occupational. Public service paid from the state budget. Separate disability and widows allowance schemes. occupational (about 60% of employees are contributing either to occupational or personal pension schemes). persons without access to occupational schemes were introduced in Stakeholder pension provision with tax subsidies without access to company (occupational) pension schemes was introduced in Norway Minimum guarantee : Minimum income guarantee. Earnings-related social security : Earnings-based benefit. Disability. Voluntary early retirement. Central government occupational pension scheme financed by employee contributions and transfers from State budget. Supplement to social security old age pension. Local government occupational pension schemes are funded systems. Supplement to social security old age pension. Mandatory private sector occupational schemes are funded defined contribution systems. Supplement to social security old age pension. (a) This is a minimum income for the elderly and the disabled that have not contributed before. It includes old-age (65+) and disability (-64). The part of old-age is 57% of total non-contributory. It amounts to 0.1% of GDP in Total non-contributory amount to EUR 2,119 million in 2007; EUR 2,137 million in ATP: Labour-market-supplementary old-age pension in Sweden. DB: Defined Benefit. DC: Defined Contribution. NDC: Notional Defined Contribution. PAYG: Pay-As-You-Go. PSI: Public Social Insurance. RMG: Revenu Minimum Garanti (Guaranteed Minimum Income). SFRY: Socialist Federal Republic of Yugoslavia. SSC: Social Security Corporation. TFR: Trattamento di Fine Rapporto (pension system in Italy). Yes. Page 15 of 15