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Chuks Udo Okonta
The National Pension Commission (PenCom) has said 109,284 retirees whose Retirement Savings Account (RSA) balances were N550,000 or below and considered insufficient to procure a Programmed Withdrawal (PW) or Annuity received an en-bloc payments totaling N27.09 billion from inception of the Contributory Pension Scheme (CPS) to the end of the third quarter of 2019.
The Commission said it granted approval for the payment of the entire RSA balances of the categories of retirees whose RSA balances were N550,000 or below and considered insufficient to procure a Programmed Withdrawal or Annuity of a reasonable amount over an expected life span, stressing that approval was also granted for payment of RSA balances to foreign nationals who decided to return to their home countries after making contributions under the CPS.
“Accordingly, the sum of N 665.38 million was paid to 2,801 retirees, which comprised 173 from the public sector (FGN and State) and 2,628 from the private sector. Consequently, a total of 109,284 retirees received en-bloc payments totaling N27.09 billion from inception to the end of the third quarter of 2019,” it posited.
PenCom has continued to drum the need for workers to embrace voluntary contributions to shore-up their RSAs, so that at retirement they would be able to have more than N550,000 that would qualify them for monthly pension benefits.