The duration of entrepreneurial activity does not always equate to the insurance record considered when assigning a pension. The crucial factor is not the mere registration of a sole proprietor, but the payment of the unified social contribution.
Photo: magnific.com//Drazen Zigic
For a calendar month to be fully included in the insurance record, the unified social contribution must be paid at a rate not lower than the minimum insurance contribution. If the entrepreneur transferred a smaller sum, only the corresponding portion of the month may be credited to the record. In the absence of payment, this period will not be considered at all.
How entrepreneurial record is confirmed for different periods
The rules for confirming an insurance record depend on when exactly a person was engaged in entrepreneurial activity.
For periods before July 1, 2000, documents confirming the payment of insurance contributions may be required. These include, in particular, payment orders, receipts, certificates from archival institutions, and other financial documents.
Information for the period from July 1, 2000, to December 31, 2003, is verified using personalized accounting data. The insurance record is credited only if the corresponding contributions were actually paid.
Starting from 2004, the State Register of Compulsory State Social Insurance became the primary source of information. In 2004–2017, for entrepreneurs on a simplified system, months of payment of a single or fixed tax could be considered, in accordance with the rules in effect during the specific period.
Since 2018, the requirements have become stricter: a full month of insurance record is credited only after the minimum insurance contribution is paid. An incomplete payment means a proportional crediting of the record.
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How voluntary non-payment of the unified social contribution affected pensions
During martial law, some sole proprietors were legally allowed to not pay the unified social contribution for themselves. This benefit allows avoiding fines and arrears, but it has a significant consequence: months without contributions are not added to the insurance record.
Therefore, prolonged use of this option can create gaps in one’s pension history. In the future, a lack of the required insurance record may affect the right to retire at the prescribed age or force the entrepreneur to work longer.
How to check the data yourself
You can view information about your accumulated insurance record on the electronic services web portal of the Pension Fund of Ukraine. To log in, you will need a qualified electronic signature or Diia.Signature.
In your personal account, you should open the “My Insurance Record” section, and also generate an OK-5 or OK-7 certificate. These documents display the contributions paid, credited periods, and possible omissions.
Sole proprietors should not postpone checking their pension data until the moment of claiming benefits. The sooner uncredited months, reporting errors, or missing payment information are identified, the more time there is to find documents and correct discrepancies. Regular monitoring of the unified social contribution and insurance record will help avoid situations where many years of entrepreneurial activity have not actually provided sufficient pension rights.
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Source: On pensions.