Cuba lets self-employed artists get gov't pensions

Cuba lets self-employed artists get gov't pensions
HAVANA

Cuba said Wednesday it will begin offering pensions to self-employed
artists and performers, calculating benefits based on the taxable income
they declare.

The new law appears to be an attempt to encourage workers to report
their full incomes -- part of increasing efforts to better account for
all Cuban employees and the money they make.

Previously, independent artists were required to pay at least 7 percent
tax on all income, then file a yearly tax return with additional
payments, but they were not eligible for retirement benefits.

The new measure, detailed in state-run newspapers, allows self-employed
musicians, writers, movie and television performers, sculptors and
painters, among others, to receive a monthly government pension worth 60
percent of their reported income.

To qualify, artists must have worked for 30 years and reported taxes for
at least the last five. Like all Cubans, their benefits kick in at 65
for men and 60 for women.

It was not clear how many people will be affected.

The communist government controls well over 90 percent of the economy
and pays employees an average of about $20 per month. Thousands of
workers in certain sectors, however, can apply to become self-employed.

The island has about 2.2 million retirees, and an increase in benefits
in 2008 raised the minimum pension to the equivalent of $9.50 per month.

Cuba lets self-employed artists get gov't pensions - BusinessWeek (3
February 2010)
http://www.businessweek.com/ap/financialnews/D9DKPEJ80.htm