The National Pension Commission (PenCom) has directed all Pension Fund Administrators (PFAs) to implement the second edition of the enhancement of pension for existing retirees on programmed withdrawal who had accumulated significant growth in their Retirement Savings Account (RSA).
A statement from the commission indicated that the enhancement would affect retirees on programmed withdrawal who retired between July 2007 and December 2017 and the effective date of commencement is February 2020.
Data sourced from the Commission showed that a total of 59,023 retirees benefited from the first pension enhancement in 2017.
The maiden edition of the pension enhancement of retirees on programmed withdrawal under the Contributory Pension Scheme (CPC) was approved in November 2017 by the federal government and covered retirees on programmed withdrawal between July 2007 and December 2014.
In the latest enhancement, PenCom disclosed that retirees RSA balances, excluding voluntary contributions as at October 2019, will be used to determine the pension payable.
PenCom said some retirees with low RSA balances would however not benefit from this exercise.
“The commission intends to carry out the review of monthly pension periodically and all those who do not benefit from the current review may benefit in subsequent ones,” the statement said.
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