JUST IN: SSNIT Announces 2023 Pension Indexation Rate
In accordance with Section 80 of the National Payments Act 2008 (Act 766), the Social Security and National Insurance Trust (SSNIT) has indexed monthly pensions upwards by 25% for the year 2023, in cooperation with the National Pensions Regulatory Authority (NPRA).
Full release below;
The Social Security and National Insurance Trust (SSNIT), in consultation with the National Pensions Regulatory Authority (NPRA) and in line with Section 80 of the National Pensions Act 2008 (Act 766), has indexed monthly pensions upwards by 25% for the year 2023.
This increment shall be implemented as follows:
All Pensioners on the SSNIT Pension Payroll as at 31st December, 2022 will have their monthly pension increased by a Fixed Rate of 19% plus a redistributed Flat Amount of GH¢73.58.
Redistribution is a mechanism applied to the indexation rate to cushion low-earning pensioners in conformity with the solidarity principle of social security. The SSNIT Scheme, like any other defined benefit scheme, pays pensions which mirror the earned salaries on which contributions were paid.
The effective increase in pensions would therefore range from 19.05% for the highest-earning pensioner to 43.53% for the lowest-earning pensioner.
Accordingly, the highest-earning Pensioner as at 31st December 2022 will receive GH¢ 169,725.89 per month in 2023. The lowest-earning pensioner as at 31st December 2022 will have his / her monthly pension increased from GH¢ 300 to GH¢ 430.58 in 2023. Pensioners will be paid on the third Thursday of every month.
The Social Security and National Insurance Trust is a statutory Public Trust with the mandate to manage the Basic National Social Security Scheme, which is the first tier of the contributory three-tier pension scheme, and to provide for related matters under the National Pensions Act 2008 (Act 766).
SSNIT is charged with the responsibility of replacing part of lost income to its contributors and their dependants due to old age, invalidity, emigration or death. The pension a Member enjoys under the First Tier Scheme depends on the salaries on which contributions were paid and the number of months the Member contributed to the Scheme.
The Management of SSNIT wishes its cherished Pensioners a fulfilling year.