OLD AGE OR RETIREMENT PENSION
To qualify for a Full Pension,
- You must be at least 60 years and You must have made a minimum contribution of 240 months in aggregate.
To qualify for a Reduced Pension,
- You must be 55 and above but below 60 years of age.
- You must have made a minimum contribution of 240 months in aggregate.
BASIS OF CALCULATION OF OLD AGE PENSION
- Average Best Three Years Salary.
- Earned Pension Right - Number of months you have contributed to the Scheme.
You can earn a pension right between 50% and 80% depending on the number of months contributed at the time of retirement. 240 months guarantee you 50% and every additional month attracts an additional 0.125%.
TO CALCULATE YOUR PENSION
Multiply your best 3 years average salary by your pension credit earned.
For early retirement from 55 and below 60, the pension is computed as follows
|% of Full Pension||60%||67.5%||75%||82.5%||90%|
25% LUMP SUM PAYMENT OPTION
Whether you qualify for a full/reduced pension, you could choose to collect 25% of your 12 years pension as a lump sum. This will be paid to you at the present value based on the prevailing Treasury Bill Rate. If you so opt, howeveryou will then receive a residual pension.
RETURN OF CONTRIBUTIONS
Where you have not made the minimum contribution period of 240 months but have qualified in age, you will be entitled to a lump sum payment of your total contribution with interest.
HOW TO APPLY
- Inform the nearest SSNIT Branch Office at least three (3) clear months before your retirement.
- The SSNIT Branch Office will then supply you with an Application Form for Payment of Pension for completion.
- Complete the form and attach two of your recent passport-size photographs.
- Let your employer endorse the form.
- Submit your completed form to the SSNIT Branch Office as early as possible.
- SSNIT will advise you to collect your monthly pension at a bank of your choice.
- Members should fulfill their social security guaranteeship obligations before making their claim.
HOW LONG WILL YOUR PENSION PAYMENT LAST?