Judges’ and Prosecutors’ Service Pension Scheme
Sistemul de pensii de serviciu ale judecătorilor și procurorilor
Coverage
- Judges, prosecutors, assistant magistrates of the High Court of Cassation and Justice and of the Constitutional Court, and legal specialists assimilated to judges and prosecutors.
- This is not a social insurance scheme and persons do not pay additional contributions; persons covered by this scheme are formally insured in the statutory old age pension scheme and the private pension scheme; they receive a service pension from the judges’ and prosecutors’ service pension scheme if it is more advantageous than the insurance pension from the statutory old age pension scheme.
Financing
General finances
- The difference between the insurance pension of the statutory old age pension scheme and the service pension of the judges’ and prosecutors’ service pension scheme is tax-financed out of the general budget, through the budget of the Ministry of Labour, Social Solidarity and Family.
Contribution rates
- Judges and prosecutors do not pay additional contributions into this scheme; they are formally insured in the statutory old age pension scheme. For contribution rates see statutory old age pension scheme.
Administration
- The Territorial Houses of Pensions manage the scheme and pay benefits directly to the eligible person.
Qualifying Conditions
Qualifying conditions
- Standard old age pension: statutory retirement age is 60; minimum full seniority insurance period of service: 20 to 25 years (depending on position occupied); if minimum condition is not fulfilled, negative (permanent) adjustments to pension benefits of 1% of the calculation base are to apply for every year missing in order to qualify for full seniority in the magistracy.
Early retirement
- Available up to 5 years before the statutory retirement age, with minimum insurance period of service of 5 years more than the full seniority insurance period, with negative (permanent) adjustments to pension benefits (1% of the calculation base for every year missing in order to qualify for full seniority in the magistracy).
- Early pension upon request: judges, prosecutors, assistant magistrates of the High Court of Cassation and Justice and of the Constitutional Court may retire early upon request with a minimum insurance period of service of at least 25 years; only applicable to persons in the abovementioned functions or working as lawyers, legal specialists in former state arbitrations, legal advisers or jurisconsults.
Deferred retirement
- Retirement can be deferred up to age 70; deferment of retirement after age 65 is only possible with the approval of the Judges'/Prosecutors' Section.
Combining employment & retirement
- Termination of employment is not a precondition for claiming pension benefits.
- After reaching the statutory retirement age employment is permitted without earnings limit.
- Early pension cannot be combined with an income from a professional activity (regardless of the amount of income) until age 60.
Benefits
Pension benefits
- Service pension: primarily based on last earnings prior to retirement and years of service. The Territorial Houses of Pensions calculate both the pension from the statutory old age pension scheme and the service pension from the judges’ and prosecutors’ service pension scheme. The pension paid is the one that is most advantageous for the pensioner.1
- No specification in law regarding fixed minimum and maximum amount of pension benefits.
Factors for benefit calculation
- Calculation base: 80% of the average gross income (incl. monthly gross emolument and increases of a permanent/non-permanent nature) achieved in the last 12 months of activity before the date of retirement; the 80% of the average gross income from the last 12 months is about 58% higher than the net salary received during the overall professional career.
- Adjustments: the benefit is adjusted in case of an increase of the monthly gross income of an active judge and prosecutor working under identical conditions of function, seniority and degree; in case the adjustment results in lowering of the benefit, the higher benefit amount is retained.
Taxation and social security contributions
- Taxable pension income is subject to 10% income tax (the taxable pension income is determined by deducting the monthly non-taxable amount of RON 2,000 from the pension income).
- Pension benefits are not subject to social security contributions.
Coverage
Financing
Administration
Qualifying Conditions
Benefits
- Judges, prosecutors, assistant magistrates of the High Court of Cassation and Justice and of the Constitutional Court, and legal specialists assimilated to judges and prosecutors.
- This is not a social insurance scheme and persons do not pay additional contributions; persons covered by this scheme are formally insured in the statutory old age pension scheme and the private pension scheme; they receive a service pension from the judges’ and prosecutors’ service pension scheme if it is more advantageous than the insurance pension from the statutory old age pension scheme.
General finances
- The difference between the insurance pension of the statutory old age pension scheme and the service pension of the judges’ and prosecutors’ service pension scheme is tax-financed out of the general budget, through the budget of the Ministry of Labour, Social Solidarity and Family.
Contribution rates
- Judges and prosecutors do not pay additional contributions into this scheme; they are formally insured in the statutory old age pension scheme. For contribution rates see statutory old age pension scheme.
- The Territorial Houses of Pensions manage the scheme and pay benefits directly to the eligible person.
Qualifying conditions
- Standard old age pension: statutory retirement age is 60; minimum full seniority insurance period of service: 20 to 25 years (depending on position occupied); if minimum condition is not fulfilled, negative (permanent) adjustments to pension benefits of 1% of the calculation base are to apply for every year missing in order to qualify for full seniority in the magistracy.
Early retirement
- Available up to 5 years before the statutory retirement age, with minimum insurance period of service of 5 years more than the full seniority insurance period, with negative (permanent) adjustments to pension benefits (1% of the calculation base for every year missing in order to qualify for full seniority in the magistracy).
- Early pension upon request: judges, prosecutors, assistant magistrates of the High Court of Cassation and Justice and of the Constitutional Court may retire early upon request with a minimum insurance period of service of at least 25 years; only applicable to persons in the abovementioned functions or working as lawyers, legal specialists in former state arbitrations, legal advisers or jurisconsults.
Deferred retirement
- Retirement can be deferred up to age 70; deferment of retirement after age 65 is only possible with the approval of the Judges'/Prosecutors' Section.
Combining employment & retirement
- Termination of employment is not a precondition for claiming pension benefits.
- After reaching the statutory retirement age employment is permitted without earnings limit.
- Early pension cannot be combined with an income from a professional activity (regardless of the amount of income) until age 60.
Pension benefits
- Service pension: primarily based on last earnings prior to retirement and years of service. The Territorial Houses of Pensions calculate both the pension from the statutory old age pension scheme and the service pension from the judges’ and prosecutors’ service pension scheme. The pension paid is the one that is most advantageous for the pensioner.1
- No specification in law regarding fixed minimum and maximum amount of pension benefits.
Factors for benefit calculation
- Calculation base: 80% of the average gross income (incl. monthly gross emolument and increases of a permanent/non-permanent nature) achieved in the last 12 months of activity before the date of retirement; the 80% of the average gross income from the last 12 months is about 58% higher than the net salary received during the overall professional career.
- Adjustments: the benefit is adjusted in case of an increase of the monthly gross income of an active judge and prosecutor working under identical conditions of function, seniority and degree; in case the adjustment results in lowering of the benefit, the higher benefit amount is retained.
Taxation and social security contributions
- Taxable pension income is subject to 10% income tax (the taxable pension income is determined by deducting the monthly non-taxable amount of RON 2,000 from the pension income).
- Pension benefits are not subject to social security contributions.
1 The Territorial Houses of Pension issue a single pension decision in which the amounts of the two categories of pensions are entered separately; the difference between the two pensions is borne by the state budget.
Legal Basis: Law No. 303/2004 regarding the statute of judges and prosecutors (Legea nr. 303/2004 privind statutul judecătorilor și procurorilor); Methodological Rules for the Application of the Provisions of Law No. 303/2004 on the status of judges and prosecutors, and of Law No. 47/1992 on the organisation and functioning of the Constitutional Court on service pensions and on the granting of parental allowances up to 2 years of age from 18/10/2005 (Norma metodologică de aplicare a prevederilor Legii nr. 303/2004 privind statutul judecătorilor și procurorilor, republicată, și ale Legii nr. 47/1992 privind organizarea și funcționarea Curții Constituționale, republicată, referitoare la pensiile de serviciu și la acordarea indemnizațiilor pentru creșterea copilului în vârstă de până la 2 ani din 18.10.2005); Law No. 227/2015 regarding the Fiscal Code (Legea nr. 227/2015 privind Codul fiscal).