SSNIT to end 25% lump sum payments by December 31

The Social Security and National Insurance Trust (SSNIT) will end the 25 per cent lump sum payment by the end of 31st December, 2019.

As provided by Act 766, SSNIT will be paying passed credit with effect from 1st January 2020 in addition to its traditional role of paying pensions.

This was disclosed during a press briefing organized by the Upper East Regional branch of SSNIT in Bolgatanga.

The move was to update the general public the activities of the scheme as the year come to a close.

SSNIT is a statutory public Trust charged under the National Pensions Act. Act 766 with the administration of Ghana’s Basic National Social Security scheme.

Image previewSSNIT is the administrator of the First Tier of the Three-Tier Pension scheme, which replaces part of the lost income of workers in Ghana due to old age, invalidity or death of a member where lump sum payment is made to the nominated dependent of the deceased.

It is also responsible for the payment of Emigration Benefits to a non-Ghanaian member leaving the country permanently.

In an interview with GBCOnline, the area Manager in charge of the Northern Upper East and Upper West Regions Felix Amoh explained that pass credit is the 4 per cent contributions made by members before January 2010 and now members of the Act 766. This will be paid with interest as stipulated by law.

Payment of lump sum will be handled by the Tier two fund managers in line with the provisions of the Act 766.

SSNIT wishes to inform Pensioners who have not gone through the biometric registration, to contact the nearest SSNIT branch to be registered biometrically by the 31st of January 2020, or have their names deleted from the pension payroll from 1st February, 2020.

Mr. Amoh indicated that in 2014, all members of the SSNIT scheme including Pensioners, were requested to register biometrically.

Subsequently, the Trust issued several reminders to that effect through various channels for members and Pensioners to enroll.

He added that SSNIT periodically engages the media as partners in development, to update the general public on what the scheme is doing to ensure SSNIT’s sustenance.