Rewritten Title: Iran’s Social Security Pensioners to See Significant Boost in 2026, Officials Confirm
Article:
A comprehensive review of recent pension adjustments for Iran’s Social Security Organization retirees reveals a consistent and structured approach to enhancing their welfare, with the upcoming year set to continue this supportive trend.
A Predictable and Established Process
The annual pension increase for retirees is not subject to the annual budget law but is determined through a dedicated and established procedure. The increment is typically finalized in the Iranian month of Esfand (February-March) each year, following an official decree from the Supreme Labor Council and subsequent approval by the Council of Ministers. This system ensures a focused and specialized assessment of retirees’ needs.
The Two-Pronged Approach for 2026
For the upcoming Iranian year 1405 (2026), the pension adjustment will consist of two key components, offering a compounded benefit:
- The Annual Base Increase: This is the standard yearly raise, the percentage of which will be set by the Supreme Labor Council.
- Continuation of the Pension Adjustment Plan: This separate, ongoing initiative is specifically designed to restore retirees’ purchasing power and reduce income disparities among them.
A senior official has confirmed that this dual approach means retirees will benefit not only from the base increase but also from a significant compensatory adjustment.
Substantial Progress Under the Adjustment Plan
Banafsheh Mahmoudian, Director General of Pensions at the Social Security Organization, provided concrete data on the plan’s impact. She announced that over 32 trillion tomans have been allocated for the pension adjustment plan in the current year (2024).
“The implementation of the adjustment plan began in [the Iranian month of] Aban 1403 (2024) and has so far been applied to more than 4.7 million retirees,” Mahmoudian stated. “According to the schedule, by the end of 1405 (2026), approximately 90% of the decline in the pension coefficient relative to the minimum wage will be compensated for.”
Financial Commitment and Social Impact
The Social Security Organization estimates the monthly cost of implementing this adjustment plan to be approximately 5,500 billion tomans. While this represents a significant financial undertaking for the organization, it underscores a committed effort to improve retirees’ livelihoods, boost their purchasing power, and narrow pension gaps.
Projected Increases for 2026
Based on the average growth of pensions in recent years, projections for the 2026 increase indicate a range of 40-45% for those receiving the minimum pension, and 25-35% for other pension brackets. Consequently, retirees with the lowest pensions are set to receive the largest share of the increase, and their total income will see marked growth when combined with the adjustment plan benefits.
A Long-Term Policy Framework
The continuation of this policy is anchored in Iran’s Seventh Development Plan, which legally obliges pension funds, including the Social Security Organization, to continue the adjustment of pensions within the framework of approved credits. This ensures the plan’s longevity as a core social welfare policy.
The final percentage for the 2026 pension increase will be officially announced in Esfand 1404 (February-March 2026), following the standard annual procedure after the Supreme Labor Council’s ratification.