How the Bulgarian pension system works
The Bulgarian pension model rests on three pillars. Together they determine your total income after retirement.
Mandatory pay-as-you-go insurance. The pension is calculated from your length of service, individual coefficient and the national average insurable income.
A mandatory personal account for everyone born after 31 Dec 1959. The contribution is 5% of insurable income, invested by a licensed private pension fund.
Additional personal contributions with tax relief of up to 10% of the annual tax base. Funds are paid out under a scheme you choose.
Retirement requirements by year
The retirement age under Art. 68 of the Social Insurance Code rises gradually — to 65 for men in 2029 and for women in 2037. The required service reaches 37 years for women and 40 years for men in 2027.
| Year | Women — age | Women — service | Men — age | Men — service |
|---|---|---|---|---|
| 2026 | 62 yrs 6 mo | 36 yrs 10 mo | 64 yrs 9 mo | 39 yrs 10 mo |
| 2027 | 62 yrs 8 mo | 37 yrs | 64 yrs 10 mo | 40 yrs |
| 2028 | 62 yrs 10 mo | 37 yrs | 64 yrs 11 mo | 40 yrs |
| 2029 | 63 yrs | 37 yrs | 65 yrs | 40 yrs |
| 2031 | 63 yrs 6 mo | 37 yrs | 65 yrs | 40 yrs |
| 2034 | 64 yrs 3 mo | 37 yrs | 65 yrs | 40 yrs |
| 2037 | 65 yrs | 37 yrs | 65 yrs | 40 yrs |
How the state pension is calculated
The monthly pension for length of service and age is obtained by multiplying the national average insurable income for the 12 months before retirement by your individual coefficient and by 1.35% for each year of insurance service (Art. 70 of the Code).
The individual coefficient compares your insurable income to the national average — earning twice the average gives a coefficient of about 2.00. Each year you defer retirement after qualifying increases the pension further.
Missing service and early retirement
If you are short of service, you may purchase up to 5 years — university study periods or a service shortfall under Art. 9a of the Code. The price is 19.8% of the minimum insurable income for the self-insured for each purchased month, paid once when the pension is granted.
Retiring up to 12 months before the required age is possible with full service, but the pension is reduced by 0.4% for each missing month — and stays reduced for life (Art. 68a). Weigh early retirement against the expected payout period.
Frequently asked questions
What are the retirement conditions in 2026?
Women retire at 62 years 6 months of age with 36 years 10 months of insurance service; men at 64 years 9 months with 39 years 10 months of service.
What if I don’t have enough service?
If you do not meet the service requirement, you qualify for a pension at age 67 with at least 15 years of actual insurance service.
Can I retire early?
Yes — up to 12 months before the required age if you have full service. The pension is reduced by 0.4% per month of early retirement, permanently.
What is the individual coefficient?
The ratio of your monthly insurable income to the national average over the same period. NOI calculates it from your insurance record after 1999.
Who contributes to a universal pension fund?
Everyone born after 31 December 1959 who is insured under state social insurance. The 5% contribution accumulates in a personal, inheritable account.
Can I purchase insurance service?
Yes — up to 5 years for university study periods or missing service. The price is 19.8% of the minimum insurable income for the self-insured per purchased month.
Are pensions paid in euro or leva?
Since 1 January 2026 Bulgaria is a member of the euro area and pensions are paid in euro, converted at the fixed rate of 1.95583 leva per euro.
Guides
Conditions, formula, documents and deadlines — everything that matters this year.
Getting a NOI PIK code, online statements, and fixing missing periods.
How the second pillar affects your state pension and what choice you have.
Legal framework: Social Insurance Code — Art. 68, 68a, 70 and 9a; NOI and NSI data. Calculator parameters are for 2026 and are updated annually with the State Social Insurance Budget Act.
The average insurable income (€983.28) uses official NOI data for the period 05.2025 – 04.2026 — last updated on .
Content is maintained by the Pension Calculator team — last reviewed and updated on .