There is no better Time to Start Monitoring your RSA than now, RSA Consolidation is now Mandatory before Payment of Retirement Benefits, Learn more here

The National Pension Commission (PenCom) in the recently released Revised Regulation on the Administration of Retirement and Terminal Benefits stated that Consolidation of Retirement Savings Account (RSA) is now mandatory before payment of retirement benefits.
What is “Consolidation of Retirement Savings Account (RSA)”?
Consolidation of RSA means that all the components of an RSA at retirement must be in the RSA of a retiree before such retiree will be allowed to access his/her retirement benefits.
What are the components of an RSA necessary for Consolidation of RSA?
The components of an RSA at retirement shall consist of accrued pension rights or pre-act benefits (if any) for employees that were in employment before the commencement of the Contributory Pension Scheme (CPS), employer/employee pension contributions, returns on investment and fixed portion of voluntary contributions (if any).
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Definition of the Components of an RSA
Accrued Pension Rights or Pre-act Benefits
These are the pension entitlements of an employee from the date of employment of the employee to the date of commencement of the Contributory Pension Scheme (CPS).
Employer/Employee Pension Contributions
This refers to the employee’s monthly pension contribution that must be transferred by the employer to the Pension Fund Custodian (PFC) of the employee’s Pension Fund Administrator (PFA) within the regulatory timeline. The pension contribution is derived from the minimum 8% employee and 10% employer percentages applied to the monthly emoluments of the employee.
Returns on Investment (ROI)
This refers to the returns you get from the investment of the funds in your Retirement Savings Account (RSA) by your PFA.
Fixed portion of Voluntary Contributions (if any)
Voluntary contribution is an extra contribution to boost the balance in your RSA, 50% of VC is fixed and can not be withdrawn until retirement.
What should I do to ensure Consolidation of RSA does not delay my pension benefit?
Monitor your RSA at least once a month to confirm that your pension contribution has been credited into your RSA. You can download your PFA’s mobile application, and use it to check the history of your pension contribution remittance or request your RSA statement from your PFA.
If you work in the public sector you should be fully aware of the requirements, documentation and timing for your retirement verification to ensure you are able to get your Accrued Pension Rights or Pre-act Benefits as at when due. For the Employer/Employee Pension Contributions, we know some public sector employers are not remitting pension contribution as at when due, so report them to National Pension Commission (PenCom) and also report them to your Unions.
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If you work in the private sector and you have been working before the commencement of CPS, you should enquire whether your organization has Pre-act benefits that should be transferred to your RSA. If your employer is not remitting Employer/Employee pension contribution you should report your employer to PenCom. Young people, if you are looking for jobs or you are changing jobs, and you have an upper hand, ensure you choose responsible employers that are paying pension.
For Return on Investment and Fixed portion of Voluntary Contributions (if any), you don’t have to do anything because the two are automatically in your RSA. The return on investment is generated from the investment of the balance in your RSA and it is automatically reflected in your RSA after each day’s valuation. For the Fixed portion of Voluntary Contributions, there is no way you can withdraw it before retirement because there are multiple level strict processes in place to ensure you cant access it until retirement.
What is the PFA doing?
PFAs are mandated to take necessary steps to liaise with the employer and other relevant parties, to ensure that all the entitlements of a retiree or deceased person is credited to his/her RSA for the purpose of determining the final balance, before processing of benefits. Sequel to the above, you have the right to question your PFA to know what they are doing about this.
Where there are outstanding contributions and/or accrued benefits in the self-funded organisations and private sector, the PFA shall request the employer to pay same to the RSA of the employee, not later than seven (7) calendar days in case of loss of job/resignation, or two (2) months to the expected date of retirement, in case of mandatory or compulsory retirement as well as retirement on medical ground. Where the outstanding contributions and/or accrued benefits remain unremitted after 6 months, the PFA shall proceed to process the request to PenCom for approval.
What is PenCom doing?
When you report your employer to PenCom, PenCom is to review your submission and send recovery agents to your employer to recover your outstanding pension contributions with interest. In addition, for public sector, PenCom continuously engage them to push for compliance.
Where the employer fails to remit the outstanding pension contributions and/or accrued benefits (if any) of a private sector retiree as at the date of retirement, the employer is deemed to be in default. PenCom shall direct the employer to remit the outstanding amount within a period not exceeding 7 calendar days, failing which it shall administer appropriate sanctions in line with the Sanctions Regime.
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What can I do if my employer refuses to remit my pension contributions
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