Mexico IMSS tightens Modalidad 40: caps salary, ends retroactive enrollment

Mexico's IMSS will cap the contribution salary for certain cases and eliminate new retroactive incorporations to Modalidad 40, a voluntary pension top-up scheme. This changes retirement planning for workers under both Law 73 and Law 97, potentially reducing future pension benefits for those who relied on retroactive payments. The reform signals a policy shift affecting fiscal sustainability and individual retirement outcomes.