The Nigerian Company has just announced a new Micro Pension Scheme that will help you provide financial security for its citizens. Here’s everything you need to know about it!
What is the Micro Pension Plan?
The new Micro Pension guarantees regular income at old age for professionals like lawyers, doctors, engineers, and business owners like traders and artisans. As you make regular, flexible contributions, your money grows over time into valuable returns for you to enjoy your retirement.
A Micro Pension Plan has many benefits for informal sector workers in Nigeria. Firstly, it provides them with a formal savings vehicle for their retirement.
Secondly, it offers them flexibility regarding how much they can contribute and when they can start making contributions. Finally, it gives them access to professional financial advice and guidance from PenCom staff.
We encourage all Nigerians who are not currently members of a formal pension scheme to consider joining the Micro Pension Plan. For more information, please visit the PenCom website or contact your nearest PenCom office.
Who is eligible for the Micro Pension Plan?
The Micro Pension Plan is open to all employees in the private sector in Nigeria. Employees must be between the ages of 18 and 60 and must have been employed for a minimum of three months.
How does the Micro Pension Plan work?
The Micro Pension Plan is a new retirement savings plan launched by the Nigerian government. Under this plan, workers can contribute a small portion of their salary towards their retirement, and over time, this will grow into a substantial nest egg.
To join the Micro Pension Plan, workers simply need to set up an account with a participating bank or Financial institution.
Once workers reach retirement age, they can start withdrawing from their account, and will receive a monthly pension payment based on the balance in their account. The Micro Pension Scheme is a great way for workers to save for their retirement and ensures that they will have a steady income stream in retirement.
What are the benefits of the Micro Pension Plan?
The Micro Pension Plan is a new retirement savings plan introduced by the Nigerian government. The plan is open to all Nigerians aged 18-70 and offers several benefits that make it an attractive retirement savings option.
The Micro Pension Plan offers several advantages over traditional retirement savings plans. For example, contributions to the Micro Pension Plan are tax-deductible, and earnings on the account are exempt from taxation. This makes the Micro Pension Plan a very tax-efficient way to save for retirement.
Another advantage of the Micro Pension Plan is that it provides a higher level of flexibility than traditional retirement savings plans. Contributors can make withdrawals from their accounts at any time, for any reason. This means that the Micro Pension Plan can be used as a short-term savings vehicle for unexpected expenses. As a long-term retirement savings plan.
How to enroll in the Micro Pension Plan
You can sign up for the Micro Pension Plan. If you’re a Nigerian citizen between 18 to 65 by giving your Personal Identification Number to your preferred Pension Fund Administrator (PFA). You will also need to provide your bank account details. So that your contributions can be deducted automatically from your account each month.
When you reach retirement age (60 for men or 55 for women), you can start withdrawing from your account. Either as a lump sum or as a monthly income.
The Nigerian government has recently launched a new micro pension plan that is available to all Nigerians. This pension plan is designed to help Nigerians save for their retirement. And provide them with a stable source of income in their old age. The micro pension plan is a great way for Nigerians to ensure that they can live comfortably in their retirement. We hope that more people will take advantage of this opportunity.