The study conducted by the Chilean Association of Pension Fund Managers estimates the pensions that Chilean men and women would have at 5 years from the official retirement age, calculating pensions with the rules of the Chilean individually funded system and other countries that have PAYGO systems, such as Canada, Spain, the USA, Japan, the Netherlands, and Uruguay. It reaches the following conclusions:

• The Chilean individually funded system, with the lowest contribution rate of the countries analyzed, provides a high pension when compared to the average income of its members.
• All Chilean contributors receive their savings in the form of a pension, which does not occur in some countries.
• Enrolled members with less than 10 years of contributions would not receive a pension if the US pension calculations were applied to them, and enrolled members with less than 15 years of contributions would not receive a pension under Spanish standards.
• Under the rules of Canada, the Netherlands, Japan or Uruguay, pensioners with less than 10 years of contributions would have obtained a pension, but with lower amounts than those of the individually funded system in Chile.
• Half of the pensioners in Chile between 2017 and 2020 contributed for less than 15 years, while only 20% contributed for more than 30 years.
• The Chilean pensions of those who contribute for between 30 and 35 years, would be higher than those of Canada and Japan. The Chilean pensions of those who contribute for between 35 and 40 years would be higher than those obtained in the Netherlands, Canada, the United States and Japan.

To review the full study, click here.