The Recognition Bonus serves as a fund integration mechanism designed to increase retirement savings for Chilean workers. This instrument credits periods of contributions made under the previous pension system—prior to the implementation of the AFP system—and adds those amounts directly to the member's individual capitalization account.
According to information released by ChileAtiende, the benefit is intended for individuals who made contributions to various pension funds that existed before the current system was established. These amounts are added directly to strengthen funds earmarked for future pensions.
The distribution of these funds depends on the entity that managed the original pension fund. The process is handled by institutions such as the Social Security Institute (IPS), Capredena, or Dipreca, depending on the specific regime under which the worker made their contributions.
Eligibility requirements
To qualify for the bonus, members must meet specific contribution criteria. The system requires having made at least 12 monthly contributions to a former pension fund between November 1, 1975, and October 31, 1980.
In cases where the previous period is not met, regulations allow access if at least one contribution was recorded between July 1, 1979, and the month prior to joining the AFP system. This criterion serves to validate the worker's active participation in the previous pension regime.
The amount is calculated using a mathematical formula that determines a nominal value at the time of joining the AFP. To protect purchasing power, this value is adjusted annually based on changes in the Consumer Price Index (CPI).
Institutions that grant access to this benefit include the Banking Pension Fund (CBP), the Banco Estado Employees Pension Fund (Caprebech), and the State Railway Retirement and Pension Fund (Caja Ferro), among others such as Empart, Triomar, and Capremusa.