Russia to automatically move 70 million pension savings into PDS from April 2027

A government commission approved a Finance Ministry bill under which the frozen savings of “silent savers” and non-state pension fund clients, worth about 6.6 trillion rubles, will become contributions to the Long-Term Savings Program without applications. The reform will not affect state pension payments.

On November 2, the Government Commission on Legislative Activity backed a Finance Ministry bill that would make the transfer of pension savings into the Long-Term Savings Program (PDS) automatic. Citizens would not need to submit applications or sign agreements: if the bill is adopted, the conversion will begin on April 1, 2027. The document is expected to be submitted to the State Duma in November.

The measure concerns money that employers paid toward funded pensions from 2002 until those contributions were frozen in 2014. Since then, account holders have been able to add to their savings only independently, and almost no one has done so: in 2024, there were 28,400 such contributors. The reform does not affect the state pension paid by the Social Fund of Russia; pension points and length of service will continue to be calculated as before.

Visitors waiting for appointments at the client service office of the Social Fund of Russia

Whose money will be transferred

According to RBC, the transfer will affect about 70 million people and approximately 6.6 trillion rubles. Almost 2.98 trillion rubles belongs to 36.5 million “silent savers” who never chose an asset manager or a non-state pension fund (NPF). VEB.RF currently manages their money; after the reform, it will be managed by a special “authorized fund” with mandatory state participation.

The remaining 3.6 trillion rubles consists of the savings of 34.4 million NPF clients. They will become participants in the PDS through their existing fund, but for two years they will be able to move to any other fund without losing investment income.

What rights will be available

The Finance Ministry promises savers greater flexibility. The money could be withdrawn early in special circumstances, for example after the loss of a breadwinner or to pay for expensive medical treatment. PDS participants will have access to a tax deduction, a choice of payment period and form, and the ability to pass the funds on to heirs. Personal contributions and income earned on them will be insured up to 2.8 million rubles, twice the deposit insurance limit for bank accounts.

Visitor reception hall of the Social Fund of Russia with numbered windows

Under the current PDS rules, payments begin after 15 years of participation, or at age 55 for women and 60 for men. State co-financing of up to 36,000 rubles a year is calculated only on personal contributions; transferred pension savings are not included in that calculation.

Russians have been slow to transfer their savings voluntarily: 480,000 people submitted such applications to SberNPF during the first eight months of 2026. Anatoly Aksakov, chairman of the State Duma Committee on the Financial Market, first proposed automatic transfers in June 2025.

Photo: AKA MBG / Wikimedia Commons (public domain)

Russia to automatically move 70 million pension savings into PDS from April 2027