10-Month Pension Payment for Teachers Upon Retirement in Ukraine

Teaching professionals in Ukraine are entitled to a number of social guarantees, among which a special place is occupied by a lump-sum cash payment upon retirement due to age. This payment amounts to 10 monthly pensions calculated as of the date the pension is granted and is not subject to taxation. It is an important form of state support for teachers, educators, lecturers and other teaching professionals who have devoted decades of their lives to working in education.

Legal Framework
The right to such financial assistance is established by paragraph 7-1 of the Final and Transitional Provisions of the Law of Ukraine “On Compulsory State Pension Insurance” dated 9 July 2003 No. 1058-IV (hereinafter – Law No. 1058). This provision was introduced to compensate for restrictions on the right to early retirement based on years of service following the 2011 pension reform. The list of institutions and positions in which employment is included in the qualifying special service record is established by Resolution of the Cabinet of Ministers of Ukraine No. 909 dated 4 November 1993.

Who Is Entitled to the Lump-Sum Payment
The lump-sum payment is granted to teaching professionals provided that all of the following conditions are met:

1. The person retires on an old-age pension after 1 October 2011 (the date on which the relevant amendments entered into force).
2. As of the date of reaching retirement age (in accordance with Article 26 of Law No. 1058 – 60 years of age for most individuals in 2026), the teacher was employed by a state-owned or municipally owned institution in a position entitling them to a pension based on years of service pursuant to paragraphs “e”–“g” of Article 55 of the Law of Ukraine “On Pension Provision” dated 5 November 1991 No. 1788-XII.
3. The person has the required special insurance record in the relevant positions: at least 35 years for men and at least 30 years for women.
4. Before the old-age pension was granted, the person had not received any other type of pension (including a pension based on years of service, disability pension, etc.).

Important: if a teacher previously received a pension based on years of service, the right to this lump-sum payment is lost. This is why many teaching professionals deliberately continue working until they reach the general retirement age in order to qualify for this substantial one-time payment.

Amount of the Payment and Payment Procedure

The amount of the financial assistance is calculated as 10 × the amount of the old-age pension granted as of the date of its award. For example, if the pension is UAH 8,000, the lump-sum payment will amount to UAH 80,000. The payment is made once by the bodies of the Pension Fund of Ukraine together with the first old-age pension payment. The funds are transferred to a bank account or paid through a post office, depending on the method selected by the pensioner.
The payment is not subject to personal income tax and is not taken into account when determining eligibility for housing subsidies or other social benefits.

Practical Aspects and Common Mistakes

• The qualifying service record includes not only direct teaching positions (such as teacher or educator), but also positions included in List No. 909 (school principals, deputy principals, methodologists, speech therapists, etc.).
• Periods of study at higher education institutions, military service, childcare and other periods may be included in the qualifying service record in accordance with the rules established by Law No. 1058 and Resolution No. 1191.
• If the Pension Fund refuses to make the payment, its decision may be challenged through an administrative appeal or in court. Judicial practice, including decisions of district administrative courts, often supports teaching professionals where the required service record is properly documented.

Therefore, the lump-sum payment equal to ten monthly pensions is a genuine form of state support for teaching professionals who have reached retirement age and accumulated the required special service record. It allows them to receive a substantial one-time payment at the beginning of retirement, which is particularly important given the relatively limited amount of regular pension payments.

To apply for this payment, it is advisable to contact a service center of the Pension Fund of Ukraine in advance and provide your employment record book, salary certificates and other documents confirming your qualifying service. Timely verification of your entitlement to the payment can help avoid bureaucratic delays and ensure that you receive the full amount to which you are legally entitled. If you are a teaching professional approaching retirement age, it is advisable to seek professional advice in advance and verify your pension rights.

If the Pension Fund of Ukraine refuses to grant the lump-sum payment equal to ten monthly pensions, we can help you protect your rights and obtain the payment through court proceedings. Contact us for professional legal assistance.