INSS: The federal government proposes an adjustment of 8.1% in the minimum wage used as the basis for calculating social security benefits.

Retirees, retirees and other INSS beneficiaries will have their payments readjusted from 2023 onwards. The correction percentage is provided for in the Budgetary Guidelines Law (PLDO) submitted by the government to the National Congress.

The text provides for an adjustment of 8.1% in the minimum wage for next year, an amount that is used as a basis for calculating social security benefits. This percentage is just an estimate for this year's National Consumer Price Index (INPC).

The INCP is one of the most important measures of accumulated inflation in the country. By law, the government must adjust the minimum to inflation to avoid loss of purchasing power among Brazilians.

Who receives the adjustment?

All income paid by INSS is adjusted annually to the new minimum wage. This means the change applies to beneficiaries of:

• special pension;
  old-age pension;
  disability pension;
  retirement for contributory time;
  accident benefit;
• sickness benefit;
  integration benefit;
  Death Benefit;
  Maternity Benefit;
  Continuous Payment Benefit (BPC).

New values defined?

If the percentage foreseen in the PLDO is confirmed, the minimum wage in 2023 will be R$ 1,310. The increase is R$ 98 over the current national minimum wage (R$ 1,212). All payments are adjusted, including the self-sufficiency ceiling, which is currently R$ 7,087.22.

According to the INSS itself, of the total of 36 million benefits paid, 23 million insured people receive a minimum wage.

It is worth mentioning that the INPC has not yet undergone any new changes throughout the year. Therefore, the official adjustment percentage will not be released until December, with the new values coming into force from January.

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