Pensions up by 20 per cent

Social Security and National Insurance (SSNIT) has increased the monthly pension by 20 per cent for the year 2016, in accordance with Section 80 of the National Pensions Act 2008 (Act766).

Explaining the details of the increase according to a redistribution formula, a release from SSNIT signed by the Corporate Affairs Director, Ms Eva Amegashie, said: “Current pensioners on SSNIT Pension as at December 2015 will have their pensions increased by a fixed rate of 12 per cent in addition to a flat amount of GH¢39.29 per pensioner.”

Accordingly, it said pensioners on the current minimum monthly pension of GH¢230.00 will have their pensions increased to GH¢296.89.

The release further noted that “All fresh pensioners from January 2016 will receive a new minimum monthly pension of GH¢276.00.”

Pensions for last year

Last year’s pensions were increased by 15 per cent.

The minimum monthly pension for fresh pensioners at the time was GH¢230.00.

At the time, all monthly pensions as at December 31, 2014 was increased by a fixed rate of five per cent plus an additional flat amount of GH¢36.92. The GH¢36.92 constituted the remaining 10.0 per cent.

The pensioners as at December 2014 who were on the minimum monthly pension of GH¢200.00 had their monthly pensions increased to GH¢246.43 (an effective increase of 23.46 per cent).

Brief on SSNIT
The Social Security and National Insurance Trust (SSNIT) is a Statutory Public Trust charged with the administration of the First-Tier Contributory Basic National Social Security Pension Scheme under the National Pensions Act, 2008 Act 766.

The primary responsibility of SSNIT is to replace lost income of members of the Scheme due to Old age, Invalidity or Death.

The Trust has over 1.2 million active contributors and over 150,000 pensioners.

The Trust is currently the largest non-bank financial institution in Ghana.