The notable mark distinguishing Oak Pensions Limited as a pension fund administrator with exceptional benefits administration and payment is the timely and prompt payout of the programmed periodic withdrawal as stipulated by PenCom.
Retirees who fall within the category of normal retirement (that is, retired after the age of 50) are entitled to receiving their programmed payments/withdrawals as early as possible.
Workers, especially those in the public sector, have come to dread retirement in Nigeria as the country's pension scheme management has been inundated with various problems over the years.
Poor pension fund administration, outright corruption, embezzlement of pension funds, insufficient capitalization, and lax supervision have all been blamed for the collapse of pension schemes in the country. Several federal reviews of pension schemes have also contributed to implementation difficulties.
However, with the development of the Pension Reform Act in 2004, retirees and pensioners found renewed hope in the country’s pension management system.
The Pension Reform Act 2004
The Pension Reform Act is clear on the prompt payment of retirement benefits to retirees. As clearly spelt out, the key principles of sustainability, safety and security of benefits, transparency, accountability, equity, flexibility, inclusivity, uniformity and practicability govern the pension reform programme. The following are the objectives and features of the PRA 2004:
To ensure that every person who worked in either the Public Service of the Federation, Federal Capital Territory or Private Sector receives his retirement benefits as and when due;
To assist individuals by ensuring that they save to cater for their livelihood during old age and thereby reducing old-age poverty;
To ensure that pensioners are not subjected to untold suffering due to inefficient and cumbersome process of pension payment;
To establish a uniform set of rules, regulations and standards for the administration and payments of retirement benefits for the Public Service of the Federation, Federal Capital Territory and the Private Sector; and
To stem the growth of outstanding pension liabilities.
Further development was within reach as the 2014 Pension Reform Act sought to improve upon the existing policies.
The 2014 Pension Reform Act
A few years into its implementation, the Pension Reform Act of 2004 was found to be wanting in comparison to other laws and the knowledge gained through its use. As such, the Act was revised in 2014. Regarding retirement benefits, this is the latest and primary law in Nigeria. While the 2004 PRA could not effectively regulate the standards of pension management by employers in both public and private sectors, the 2014 PRA corrects this through the Contributory Pension Scheme (CPS).
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Pension Fund Administrators were given the greater responsibility to dispense retirement benefits to retirees and pensioners who have registered Retirement Savings Accounts (RSAs) with them.
As a PFA with a mark of excellence, Oak Pensions Limited has since demonstrated superiority by paying programmed withdrawals to retirees on the 17th of every month and never defaulting on them. And this stamp of greatness is a feat we strive to maintain.
Talk to the Marketing Manager on 09087448661 or send an email to info@oakpensions.com about opening your Retirement Savings Account (RSA) today.
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