Inps: average retirement age rises to 64.8 years in 2024

Social security contributions, at 263 billion, are up 5.9% over 2023 and 11.4% over 2024. Reductions and subcontributions, which include those for youth and female employment, are also on the rise: +27.6% over 2023 and +72.1% over the previous year.

The Inps report reveals a 'reconfiguration of the entrepreneurial system', which in 2024 will count 1.67 million enterprises both in terms of size, with the number of large ones growing and the number of micro and small ones decreasing (almost 98% have fewer than 50 employees), and in terms of economic sectors: the incidence of industry will decrease and that of services will increase.

The Institute's snapshot highlights that in 2024 the Single and Universal Allowance reached 10.1 million children with a cost of 19.8 billion (+9.5% on the previous year) mainly due to the cost-of-living revaluation. The Daycare Bonus was used for 521 thousand children (it was 480 thousand in 2023): families received an average of 205 euros per month for a period of 6-7 months, covering about 54% of the expenses actually incurred for childcare services

Last year the mothers' bonus, which for 2024 alone was extended to mothers with two children, involved about 667,000 women, mostly residing in the North (59%). The main beneficiaries are mothers with two children (74%) with an average age of 42. Non-EU women workers (7% of the total) are on average younger and often mothers of three children.

The report highlights the positive performance of the Assegno di inclusione (Adi) and the Supporto per la formazione lavoro (Sfl), also in light of the changes introduced by the last budget law. In the first year of implementation, about 766,000 households (a total of 1.84 million people) benefited from the ADI, with an average amount of EUR 617. In the first quarter of 2025, about 672 thousand households (1.57 million persons) benefited, with an average amount increased to EUR 723 and thus a 'significant' growth compared to the previous year. On the SFL side, Inps states that the monthly trend of beneficiaries shows constant growth in 2024, with a peak of 72,000 beneficiaries in October, 'although still lower than expected'. Women represent the majority of the users of this measure (59% in February and March 2025).

The Institute notes that with the transition from the Reddito di cittadinanza to the Adi and the Sfl, the share of employed people among former Rdc recipients rose from 12% at the beginning of 2019 to 29% at the end of 2024. A positive trend, according to the Inps analysis, which should be the result of the new active labour policies but also of the favourable trend of the economic cycle that has led to a general expansion of employment opportunities in the Italian labour market.

At the end of last year there were about 16.3 million pensioners (51% women) for a gross amount of 364 billion, 355 billion of which for pensions paid by the Inps. The average weight of pension allowances was around EUR 1,444 per month while that of welfare payments (social pensions and allowances and benefits for the civil disabled) was just over EUR 500. According to the Inps analysis in 2024 the 'effective' retirement age was about 64.8 years.

In 2024, new social security benefits paid are up 4.5% on 2023 (almost 1.6 million), with growth in old age benefits (+14.5%) and disability benefits (+11.8%) and a decrease in early retirement benefits (-9%). These will decline from 2022 due to the tightening of the 'Quota' and 'Women's Option' requirements.

The rise in disability is one of the factors behind the increase in welfare benefits. Of the approximately 1.6 million new pensions paid out in 2024, more than 707 thousand are welfare benefits, an increase of 6.5%, while social security benefits grow by 2.9%.

A specific X-ray by the Institute of the transition from the labour market to retirement shows that 8.5% of pensioners are 'active' one year before retirement; in 45% of cases with a dependent or parasubordinate employment relationship. Of this group 68% receive an early retirement pension. Work after retirement does not have much 'appeal' among civil servants (only 0.9%). It is predominantly men who continue to work after retirement (72% of the total). The average age of retirement is about 63. The Inps experts' analysis shows that among older pensioners a high pension is associated with a greater propensity to continue working, while among younger pensioners the continuation of work appears to be more linked to economic needs.

In 2023 the number of Italian pensioners abroad rose to 37,825 (+7.55) after a slowdown in the years immediately following the pandemic: 45% receive cheques of over 5,000 euros per month. The highest 'emigration rates' were recorded in Trentino Alto Adige, Friuli Venezia Giulia and Valle d'Aosta.

The Institute's accrual financial management for the 2024 financial year closed with a surplus of over 15 billion and its cash financial management with a surplus of almost 42 billion. Figures, Fava stressed, that 'confirm the financial solidity' of the INPS.