ARThe Argentine pension system is increasingly reliant on workers who make reduced contributions, according to a report by the IERAL at the Mediterranean Foundation. The analysis highlights that the expansion of the monotributo regime, combined with high levels of informal employment and an aging population, deepens financial challenges for pensions. Currently, nearly 34 monotributists are needed to cover an average pension, compared to just 3.5 registered salaried workers. The report notes that while the monotributo has brought more contributors into the formal economy, their lower contributions—averaging just 1.1% of income—have significantly altered the funding structure of the social security system. The study reveals that the average contribution from a registered salaried worker is around 11.2% of income, while self-employed individuals contribute 5.2%, and monotributists contribute just 1.1%. This disparity raises concerns about the sustainability of the pension system.
Bias read (Center): The article presents factual data and analysis regarding the structural issues within Argentina’s pension system without overtly favoring any political ideology. It provides balanced information about the impact of the monotributo regime, the role of informal labor, and demographic trends, without a
