With only a few days left until Ramadan, attention has turned to the bonus payment that will be given to retirees. The new increase, which will affect around 13 million pensioners, is expected to be applied before the holiday. Authorities are considering four different formulas for calculating the additional holiday bonus for retirees. Exact figures are expected to be announced soon.
Discussion of a Total Holiday Bonus of 4,000 TRY
The increase in the minimum wage earlier this year also affected public servants and civil servant pensioners. Planned salary adjustments are expected to be reflected in holiday bonuses as well. For some time, a rise in the holiday bonus for retirees has been under discussion. Current proposals envision paying a 2,000 TRY bonus for Ramadan and a 2,000 TRY bonus for the Qurban (Eid al-Adha) holiday, resulting in a combined total of 4,000 TRY in holiday payments.
When Will the Pension Bonus Law Be Finalized?
Discussions about the planned increases for retirees’ holiday bonuses have begun in Parliament. Officials are reportedly considering increases that could reach as much as 100% in some proposals. Although the potential total of 4,000 TRY has been mentioned, there has been no definitive public announcement yet. The details are expected to be clarified once the omnibus bill is finalized and passed.
Four Different Formulas Under Consideration for the Pension Bonus
Faruk Erdem, a columnist for Sabah newspaper, reported that four different formulas are being evaluated to determine the new holiday bonus for retirees. Each formula would change the bonus amount differently, and the exact choice will determine how large the improvement in payments will be.
First Formula: Adjustment Based on Inflation
The first formula under consideration is an increase tied to the annual inflation rate. In 2021, inflation was recorded at 36.08%. If the bonus is adjusted by that inflation rate, the single-bonus amount would rise to approximately 1,496.88 TRY. That would mean both holiday payments combined would total about 2,993.76 TRY for the year.
Second Formula: Recalibration Using Tax Revaluation Rate
The second proposed formula would tie the bonus to the tax revaluation rate applied to fines, fees and taxes at the start of the year. That rate was set at 36.2%. If this approach is adopted, the per‑bonus payment would reach around 1,498.20 TRY, bringing the combined total for both holidays to approximately 2,996.40 TRY.
Third Formula: Based on Net Minimum Wage
The third option under review would set the pension bonus equal to the net minimum wage, which would imply roughly a 51% increase relative to current levels. Under this formula, each bonus would be about 1,655.60 TRY, producing a combined annual payout around 3,111.20 TRY.
Fourth Formula: Minimum Wage for Both Holidays
The final formula being considered would pay the full minimum wage for each holiday. Using that approach, both the Ramadan and Qurban bonuses together would amount to approximately 4,253.40 TRY. If the bonus is tied to the minimum wage, retirees would see an annual increase of roughly 2,053 TRY, with each holiday payment equating to about 2,126.70 TRY.
Will Newly Retired People Benefit from the Increase?
Retirees who have recently started receiving pensions may benefit from the renewed, higher bonus amounts if their retirement status is in effect before the holiday payment date. If retirement takes effect after Ramadan but before the Qurban holiday, the new retiree would be eligible for the Qurban bonus. The proposed bonus amounts would be the same for all eligible retirees regardless of other differences in their monthly pension.
There is no separate application required to receive the holiday bonus. Banks typically deposit the bonus automatically into retirees’ accounts on the scheduled payment dates once the official amounts are released.
When Will the 2022 Ramadan Bonus Be Paid? The exact bonus amount is expected to be finalized following the presidential cabinet meeting ahead of the holiday. Traditionally, holiday bonuses are deposited into retirees’ accounts about one week before the Ramadan and Qurban holidays. The Social Security Institution (SGK) normally announces the specific payment dates. While the government has not yet confirmed precise dates this year, the historical practice of paying one week before the holiday suggests the deposits will be scheduled accordingly.