Pension Review Tables Do Not Include Adjusted Amounts, Taiwan Administration Clarifies

Taiwan's Civil Service Pension Act Administration (銓敘部) has issued a clarification regarding recent concerns about reduced pension amounts following a review of the pension reform. The administration stated that the revised review tables do not list adjusted pension figures, and that retirees will continue to receive their pensions as legally stipulated.

Responding to questions from some retired civil servants about the pension amounts listed in the review tables, the administration explained that the "assessed amount" shown is a calculation baseline derived from legal regulations and formulas. This figure does not represent the actual amount retirees receive, as it does not incorporate increases from previous pension adjustment schemes. The actual monthly pension payments are automatically calculated by the system based on applicable adjustment plans and then disbursed by the paying authority.

The administration further clarified that in accordance with amendments to Articles 37 and 38 of the Retirement and Pension Act, the pension income replacement ratio is now based on the period between January 1, 2023, and December 31, 2023. While those who retired after January 1, 2024, will have their monthly pension income recalculated, the "assessed amount" for those who retired before December 31, 2023, will revert to the amount specified in their original review tables for 2023. This means the adjusted amounts from pension reform plans are not included in this baseline figure.

To prevent misunderstandings, the administration noted that the review tables include a remark, and a June 8, 2026, letter also explained that the actual pension amount is calculated based on the assessed amount shown in the table, adjusted according to announced pension reform plans. These adjustments include a 2% increase effective July 1, 2022, and a further 4% increase effective January 1, 2024. The specific adjustments applied depend on the retiree's date of service. For example, retirees whose service began before June 30, 2022, will see their assessed amount increased by both percentages, while those retiring between July 1, 2022, and December 31, 2023, will only have the 4% increase applied. Those retiring on or after January 1, 2024, will receive their assessed amount as their actual pension, as they have not yet experienced any adjustments.

The Civil Service Pension Act Administration emphasized that the system automatically calculates the final pension amounts, eliminating the need for retirees to perform manual calculations and ensuring they receive the legally entitled benefits.