The year 2026 brings substantial pension increases for all retirees in the country, with annual benefits reaching up to €1,200. The new regulations announced at the Thessaloniki International Fair ensure that every retiree will see an increase in their benefits, regardless of their pension amount or personal difference maintained, as reported by Giorgos Avtias in “Apogeumatini”.
The most significant change affects approximately 671,000 retirees who until now were excluded from annual adjustments due to personal difference. From New Year’s Day 2026, these retirees will receive either the full percentage increase or half of it, while from 2027 pension increases will be applied fully to everyone.
Read: Annual benefit €450 – €850 for retirees in 2026 – Detailed examples
Four sources of retiree support
The new pension increases come from four different sources that in many cases work cumulatively, maximizing benefits for beneficiaries. Initial estimates for the pension increase percentage in 2026 range between 2.4% and 2.7%. According to reliable sources, the final percentage is expected to be set at 2.6% to 2.7%. Based on this data, retirees with medium pensions of €1,300 to €1,500 will see an annual increase of approximately €500. For those receiving pensions of €2,700, the annual increase will approach €850.
Pensions and abolition of personal difference
The most significant measure concerns the definitive abolition of personal difference, which was the main demand of Greek retirees affected by the Katrougalos Law. From 2026, retirees with small personal difference will receive the full increase, while those with larger amounts will see half of the annual increase. In 2027, every personal difference is definitively abolished and all retirees will receive the full increases based on the combination of GDP and inflation. The benefit from this change ranges from €490 to €1,120 annually, depending on the pension amount and personal difference.
Tax relief for retirees
Significant benefits arise from tax bracket reductions ranging from 2 to 22 units. Low pensions of €700 to €820 are completely exempted from tax for 2026, with benefits of €38 to €41 monthly. For a retiree with a monthly pension of €1,060, the monthly benefit amounts to €51 or €615 annually. In higher pensions, such as those of €1,427 monthly, the benefit reaches €68 per month or €821 annually. The greatest benefit is recorded for retirees receiving €2,077 monthly, who will save €96 in tax each month, or €1,148 annually. For those receiving €2,167 monthly, the monthly benefit rises to €100 and the annual to €1,194.
€250 allowance for thousands of retirees
Additional benefits will be received by thousands of retirees through the annual allowance of €250 that will be paid every November, starting this year.
Beneficiaries of the allowance are:
• Retirees over 65 years old
• Married couples with annual income up to €26,000 and real estate assets up to €300,000
• Single and widowed individuals with annual income up to €14,000 and assets up to €200,000
The new pension increase regulations represent the most significant intervention in recent years to support retirees, ensuring dignity and economic relief for all categories.
