One of the most common queries we receive from Cyprus taxpayers, who contribute to the social insurance fund, is to explain the process on how their retirement pension will be calculated based on their social insurance contributions.

The statutory pension to be received on retirement is calculated based on the salary earned and the total number of years during which contributions were paid to the Social Insurance Fund.

In particular, the statutory pension that an employee will receive after the age of 65 depends on the number of pension units that have been credited to his social insurance account in the Social Insurance Fund during his total working years.