If you meet the requirements and are of the required age, you will surely be collecting the allowances, including allowance 14. If this is not the case, you will surely ask yourself How to recover Allowance 14.
For this reason we invite you to read this article where we will explain in detail this topic of How to recover Allowance 14 as well as What is the Allowance 14, who is entitled to the Allowance 14 and more.
How to recover Allowance 14
To begin with, we will have to briefly explain what the Monthly 14 is. The Monthly 14 is simply the name given to the monthly payment number 14 of the pension. Although new pensioners do not usually receive it. There are still people who are subject to charging it by law.
This is due to the fact that allowance 14 was implemented as a right of the Constitution for pensioners of the period that goes from on July 25, 2005 and July 31, 2011.
It was established to increase the income of pensioners who could no longer provide labor services in order to work. But after 6 years of establishment, decided to delete it.
That is why people who have retired before July 25, 2005, as well as those retired after July 2011, only receive 13 monthly payments today.
Requirements of How to recover the Allowance 14
However, although new retirees cannot obtain this benefit, there are people who are still subject to receiving it and may even obtain it. But for this to be possible, the pensioner must meet the following requirements:
- Has to have retired before July 25, 2005 and that the total amount of your pension is below the minimum wage for 15 months.
- Also, the one who requested his retirement in the period between July 25, 2005 and July 31, 2011 and additionally the total amount of his pension is not more than three times the minimum wage.
If you want to know everything about How to recover Allowance 14, Keep reading!
What is Allowance 14
The pension is a benefit or right that workers can obtain throughout their work career. The idea of this benefit is to ensure that all citizens who can no longer provide labor services can still support themselves.
This is because for the State, it is extremely important to ensure that its citizens have optimal conditions to live. Even after they have reached an age where they cannot work due to their physical condition.
On the other hand, private companies saw this business model, and thought that it could be effective for profit. As a result, the first private pension organizations were created.
Pensions function mainly as an investment in the future. Basically what happens is that a percentage of your salary during your work time it is saved so that you can use it once you have retired.
In this way, people passively invest in their future by the time they reach retirement status. Both private companies and state pensions work on this principle. But in the case of the State, it also contributes a percentage of the payment through state funds.
What are the types of pensions in Colombia
In Colombia there are 2 main ways to obtain a pension:
The first is through the monthly or annual contributions throughout your life as a worker through Colpensiones. This organization is the Colombian Pension Administrator.
Colpensiones is a State company that operates in the commercial and industrial sphere. Its main function is the administration as a financial entity associated with the Ministry of Labor of Colombia.
It is through it that the State carries out all the administration, procedures and legal processes of the pensions that gives its citizens.
On the other hand, in Colombia pensions can also be obtained through the different private companies that are in charge of this. There is a wide variety of them, extremely famous companies and others that are just starting out.
These companies are kept under the Colombian legal framework and are usually an option to consider due to the great competition in this market. Motivated that none of these companies can give a deal that can be considered «unprofitable» until a certain point. Since he would lose against his other competitors
Competition within the market for pension entities keeps all of them at bay and drives them to improve every day. Because if they just stayed the same forever, it would be very unlikely that they would make more profit than the rest.
What happens if I don’t qualify?
As for the scheme managed by private funds (non-state entities). we have to knowand the requirements are not met to obtain a pension, you will be tied to the right to return balances. Basically, they will refund most of your money that you had invested in your savings.
This will happen in the event that you reach retirement age and:
- do not possess the sufficient balance to qualify for the pension.
- You have been unable to reach the 1,150 week requirement to be a pensioner.
The other method is through the Average Premium Scheme with Defined Benefit, which is linked to Colpensions. In this case, you must also meet a series of requirements to be a pensioner or most of the money will be returned to you and the pension plan will be cancelled.
The requirements to be pensioned by Colpensiones are:
- Arrive to minimum of 1,300 credited contribution weeks.
- Comply with 57 years (women) or 62 years old (men).
Finally, if it is the case that you have saved in a private company and Colpensiones at different times, and you do not meet the requirements of each one separately but together. What will happen is that Colpensiones will allow you to enter the savings you had within yourself in the private company.
If you want to know everything about How to recover Allowance 14, Keep reading!
Who is entitled to the Allowance 14
Current pensioners cannot get allowance 14, but if you meet the requirements for it, you can still apply. Even though it has stopped being granted to people who recently retired, it does not change the fact that it is an official constitutional right for people who retired in its period of issuance.
In accordance with the provisions of legislative act No 1 of 2005 People who meet the following requirements can apply for allowance 14:
- You must have retired before July 25, 2005 and the total amount of your pension is below the minimum wage for 15 months.
- Also, those who made their retirement in the period between July 25, 2005 and July 31, 2011 and additionally the full amount of your pension not be more than three times the minimum wage.
Even if you have not yet applied for the pension, as long as you meet these requirements, you should be granted Monthly 14 when you apply for your pension.
When was Mesada 14 created?
The creation of allowance 14 dates back to 1993, when there was a debate about how to help pensioners who had low income. In response, the Monthly 14 was established, which would be granted to people who had a pension of less than 15 monthly minimum wages.
Then in 2005 it was eliminated, as of that year the new pensions would not have that extra monthly payment, only pensioners who by 2011 had met all the requirements to obtain it could continue to enjoy said benefit.
When is the Allowance 14 charged?
If you are in the case that you meet the requirements to obtain the allowance 14. You will receive it in the month of July every year until your pension contract ends.
The Allowance 14 in the pension substitution and the survivor pension:
Survivor pension case: If the unfortunate event occurs that the benefactor of the allowance 14 dies, this benefit will be transferred to their relatives according to the standard order of succession of assets or as stipulated in their will. As long as your relatives meet the requirements to obtain this case.
Pension substitution case: It is the transfer of the benefit to a family member when the person already enjoyed the pension, when the pension substitution occurs, in other words, they already received that monthly income.
The Allowance 14 in pension compatibility
If it is the case that you have pensions by employer and by Colpensiones, any of the following 3 cases may occur:
- In the event that your employer and Colpensiones pay you a percentage each if you pensioned in both in the stipulated period
- that you employer be the only one to pay since you retired outside the period in Colpensiones
- In case it is only paid by Colpensiones if you retired with your employer or private company outside the legal period for allowance 14.
Note: if you still have doubts about this, check it out on the official website of Colpensions
The Allowance 14 in private pension funds
As long as you meet the requirements to obtain it, your employer or private pension company must grant you this benefit since it is a constitutional right.
Benefits offered by Allowance 14
The benefit offered is that of any monthly payment of a pension, the monetary help by the entity so that you can use it as you like.
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