PenCom approved over N1.58 Trillion for PFAs to pay RSA Holders as at June 2022
National Pension Commission (PenCom) has approved the withdrawal of over N1.58 trillion for Pension Fund Administrators (PFAs) to pay Retirement Savings Accounts (RSAs) holders from inception to 30 June 2022.
Retirees on programmed withdrawal top the list of withdrawals from Retirement Savings Accounts (RSAs) with a total withdrawal of N866.33 billion, followed by Death Benefits N297.07 billion, Retirees on Annuity N180.89 billion, 25% Withdrawal N173.92 billion, Enbloc withdrawal N34.75 billion and Voluntary Contribution N31.12 billion.
Retirees on Programmed Withdrawal
The total number of retirees currently receiving their pensions under the Programmed Withdrawal agreements with Pension Fund Administrators (PFAs) is 307,772 (FG 50.20%, State Govt 10.18% and private sector 39.62%). The sum of N852.97 billion has been paid to retirees as lump sum while N13.36 billion has been paid as monthly programmed withdrawals, from inception to 30 June 2022, making a total payment of N866.33 billion to retirees on programmed withdrawal.
Retirees on Annuity
These are retirees who have chosen to receive their pension via annuity provided by Life Insurance companies. The total number of retirees receiving their retirement benefits through the annuity plan is 98,003 (FG 56.02%, State Govt 12.20% and private sector 31.78%). The sum of N175.27 billion was paid as lump sum while N5.62 billion was paid as monthly annuity pension payments to retirees on annuity plan, from inception to 30 June 2022, making a total payment of N180.89 billion to retirees on annuity plan. In addition, a total of N563.23 billion has been transferred from PFAs to insurance companies, being annuity premium, from inception to 30 June 2022.
Retirees Enbloc Withdrawal
This used to be for retirees whose Retirement Savings Account (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, but based on the Revised Regulation on the Administration of Retirement and Terminal benefits, released in March 2022, Enbloc withdrawal now relates to retirees whose RSA balances could not provide a monthly pension of at least one third of the prevailing minimum wage (i. e. N30,000) and the retirees were subsequently paid the total balance in their RSAs. The sum of N34.75 billion has been paid to 137,107 retirees (FG 5.32%, State Govt 2.96% and private sector 91.72%) for Enbloc withdrawal from inception to 30 June 2022.
25% Withdrawal
25% Withdrawal is a temporary access to Retirement Savings Account (RSA) for withdrawal of 25% of RSA balance for employees who were disengaged, resigned or retired from employment before the age of 50 years and were not able to secure another employment after 4 months. The sum of N173.92 billion has been paid to 431,807 (FG 2.88%, State Govt 1.83% and private sector 95.29%) RSA holders from inception to 30 June 2022.
Death Benefits
Death benefit represents payments to beneficiaries of deceased Retirement Savings Account holders. The sum of N297.07 billion was paid to 81,229 beneficiaries (FG 65.68%, State Govt 9.67% and private sector 24.65%) from inception to 30 June 2022.
Voluntary Contribution
Voluntary Contribution is an additional contribution which RSA holders can contribute voluntarily to boost the balance in their RSA. RSA holders can also withdraw their voluntary contributions before they retiree, but in accordance with the guidelines on voluntary contributions. The sum of N31.12 billion was paid to 45,611 RSA holders (FG 6.53%, State Govt 0.07% and private sector 93.40%) from inception to 30 June 2022.
Check below for PensionNigeria breakdown of all the important aspects of the PenCom 2nd Quarter 2022 Report
Support PensionNigeria
Support PensionNigeria financially with N1,000 per Month HERE, or with any amount ONCE (One Time Only) HERE
Empower us to do more independent analysis of the Pension Industry in Nigeria
Be the First to Know – Follow PensionNigeria WhatsApp Channel
Its Free – Click here to follow our WhatsApp Channel
DONT MISS our 2nd Quarter 2022 Report Series
PenCom 2nd Quarter 2022 Report Executive Summary
Analysis of Pension Operating Environment Q2 2022
Performance of all PFAs in Nigeria for January to June 2022 (Year to Date)
Micro Pension Return on Investment (ROI) for January to June 2022 for all PFAs in Nigeria (Year to Date)
Update on RSA Transfer System (RTS) 2nd Quarter 2022
List of Organisations Issued Compliance Certificates as at 30 June 2022
Status of Contributory Pension Assets as at June 2022
Status of Implementation of CPS in States as at 30 June 2022
Micro Pension Registrations per PFA & Fastest Growing PFAs as at 30 June 2022
Appointment & Resignation of Pension Operators’ Board Members and Top Management Q2 2022
PFAs’ Total Shareholders’ Fund now ₦211.26 Billion
Update on NSITF & Refund of Pension Contribution to Military & SSS Q2 2022
Recovery Agents recover ₦22.13 billion from Defaulting Employers as PenCom receives 89 complaints
Lagos State committed to ₦2 billion Monthly to clear Outstanding Accrued Rights of its Retirees, this is how the State has performed
PenCom refunds N4.27 Billion as Zamfara State withdraws from Contributory Pension Scheme, what lies ahead for Retirees
PenCom Engagements with State Governments to ensure Retirees receive Pension as and when due Q22022
Micro Pension Contribution per PFA Q2 2022
RSA Registration Age and Gender Breakdown Q2 2022
Update on the Micro Pension Plan Q2 2022
Biggest PFAs & Fastest Growing PFAs by RSA Registrations 30 June 2022
PenCom approved over N1.58 Trillion for PFAs to pay RSA Holders as at June 2022
Also Check out
Performance of all PFAs in Nigeria for Full Year 2021
Be the First to Know – Follow PensionNigeria WhatsApp Channel Its Free – Click here to follow our WhatsApp Channel
Support PensionNigeria
Support PensionNigeria financially with N1,000 per Month HERE, or with any amount ONCE (One Time Only) HERE
Empower us to do more independent analysis of the Pension Industry in Nigeria
Be the First to Know – Follow PensionNigeria WhatsApp Channel
Its Free – Click here to follow our WhatsApp Channel
Don’t Miss Anything Subscribe to PensionNigeria Newsletter on Substack
Once you Subscribe, we immediately send you an Email.
Please check your Inbox and SPAM folder.
If the Email is in your SPAM folder, kindly move it to your Inbox and add pensionnigeria@substack.com to your address book or contacts.
If you have subscribed before and you still do not receive our Newsletter,
please check your “Spam Folder”, if you find our Newsletter there, mark it as “NOT SPAM” or move it to your Inbox
Check here for Recent PensionNigeria Newsletter
Follow PensionNigeria on Social Media
Like our Facebook Page
Follow us on Twitter, Instagram & LinkedIn
Subscribe to our Channel on YouTube
Grow Your Personal Investment with Stanbic IBTC Asset Management
Pension is Your Right,
An Insurance for Old Age
Follow PensionNigeria on Social Media LinkedIn Twitter Instagram Facebook YouTube