Retirement Benefit Services

The National Pension Commission has released guidelines for the transfer of NSITF/ NPF contributions into employees’ RSAs.

All employees that contributed to the NPF/ NSITF Scheme are to:

Fill the Transfer Application Form attaching

  1. The original NSITF/ NPF Certificate
  2. A photocopy of means of identification i.e. drivers license, National ID card, etc

Where an employee has lost the original certificate, they are to provide:

  1. A court Affidavit attesting to that fact. This must show the membership number.
  2. A letter of confirmation of identity and indemnity from their employer. This letter must state that the employer wishes to indemnify the employee in case of eventualities.  This must show the membership number.

Where an employee was never issued the certificate, they are to provide:

  1. A court affidavit attesting to that fact. This must show the membership number.
  2. A letter of confirmation of identity and indemnity from their employers stating that they are the bonafide owners of the contributions being claimed. This must show the membership number.

In case of a change of name (possibly as a result of change of marital status), applicants must attach a marriage certificate or a sworn affidavit, as well as a newspaper extract. This is to be submitted alongside the Application Form.

Each applicant is to ensure that their membership card has been stamped by NSITF and are also to ensure that their thumbprints are affixed. The certificates are also to be signed by the applicants.

Each applicant is to enter their name on the application form as it has been entered on the NSITF membership card. In essence, the names should tally.

Where the employer is no longer in existence, the employee is to provide a sworn affidavit attesting to the fact that the employer is longer in existence and that he/ she is the bonafide owner of the NSITF number and the funds being claimed.

Kindly contact our nearest office for a sample of an acceptable indemnity letter.

Required Documents:

  • Hand written application for 25% withdrawalØ Age declaration/ birth certificate Redundancy/Termination letter from your employer (must be at least 6 months old)
  • Passport photograph (1) Bank account details
  • Please note that from the day of submission, the receipt of approval from PenCom, and the actual crediting of your account may take a number of weeks due to the volume of requests.
  • You will be called and notified once the payment has been made.

Employees of the Private Sector whose Prescheme contributions have been transferred into their RSAs, who wish to withdraw these contributions, are entitled to access these contributions (plus accrued income) upon exiting the Organisation that made the transfer.

This is applicable only to the Private Sector and does not apply to all Public Sector Organisations (including Parastatals).

Individuals who have made voluntary contributions can access these contributions subject to the voluntary withdrawal guidelines. This is independent of the sector in which the individual is employed and is subject to tax (see tax table below) where the contributions are less than 5 years old.


1ST 300,000.00           – 7%

Next 300,000.00          – 11%

Next 500,000.00          – 15%

Next 500,000.00          – 19%

Next 1,600,000.00       – 21%

ABOVE 3,200,000.00    – 24%

Public Sector RSA Holders (Treasury Funded)

  1. Life Insurance (LI) and Accrued Rights

For the proceeds of the Life Insurance Policy, all Ministries, Departments, and Agencies (MDAs) are to forward all claims for payments of the deceased employees to their Supervising Authorities.  To process the Accrued Benefits/ Retirement Bond or “bond”, the PFA is to make a submission to the National Pension Commission. In addition to the payment of the bond, any outstanding contributions that may be due to the individual will be paid into the RSA.
Where either or both the Life Insurance and Accrued Benefits reflect in the RSA, the entire RSA balance is paid out to the beneficiaries subject to a satisfactory due diligence exercise.


  1. RSA Holders without Life Insurance and/or Accrued Benefits

For RSA holders with monthly contributions, a submission can be made for approval to pay the entire RSA balance pending receipt of Life Insurance and/ or Accrued Benefits. Upon receipt of Life Insurance and/ or Accrued Benefits, additional payments will be made to the beneficiaries subject to a satisfactory due diligence exercise by the PFA and PenCom’s approval.


Private and Self Funded Public (Parastatal) Sectors

If only the monthly contributions of the deceased staff are in his/her  Retirement Savings Account (RSA),approval can be sought from the Commission for the payment pending receipt of  accrued benefits, as well as the individual’s Life Insurance and terminal/ death  benefits where applicable into the RSA.

In the event the Life Insurance and/ or terminal/ death benefits have been paid directly to the next of kin, the employer is to confirm this in writing to us, attaching a photocopy of the payment.

Deceased Retirees

Upon the demise of a Retiree, the entire RSA balance is paid out to his / her estate or Next of Kin of the deceased en-bloc, subject to PenCom’s approval.

  1. For a deceased retiree who commenced PW before his/ her demise, a submission will be made to PenCom for an approval to pay out the RSA balance to the NOK.

In the event a retiree who has undergone the verification exercise passes before the bond is remitted, upon receipt of the bond and the outstanding contributions, the entire RSA balance (including the bond, monthly contributions, and accrued income) is paid to the beneficiary subject to PenCom approval.

Death Benefit Account (DBA)

Where a Public Sector employee passes away without opening a Retirement Savings Account (RSA) his/her Next of Kin is able to register with us to ensure the deceased’s Life insurance and accrued rights are remitted. Upon receipt of the funds, the entire RSA value is paid out to the beneficiary, subject to a satisfactory due diligence exercise by the PFA and PenCom’s approval.

Prior to retirement, an employee with the treasury funded Public Sector Organisation is required to attend a Verification Exercise that will be held by the National Pension Commission (PenCom) and also attend a documentation exercise with his/ her PFA immediately after retirement.

Note that the documentation exercise with us can be done at our Head Office or at any of our State Offices. The Sigma documentation exercise is to be attended by all employees due to retire, regardless of sector.

PenCom usually holds this exercise in the different States to minimise the need to travel for the exercise. The dates are usually advertised in the national dailies.

In order to ensure prompt payment of Lump sum and pension, employers are advised to kindly provide us with a list of all employees due for retirement annually indicating their full details (names, RSA PINs, retirement dates and current contact numbers).

On retirement, each individual is entitled to a lump sum and a monthly pension(Programmed Withdrawal) or they can alternatively purchase a Life Annuity from an Insurance company. Click here for the list of Licensed Insurance Companies as at October 2012 and also to view the table comparing the Programmed Withdrawal and the Life Annuity.

Also to view the requirements for the payment of retirement benefits based on medical grounds Click here 

The National Pension Commission (PenCom) has confirmed to all PFAs that:

Certain employees of the Public Sector were disengaged under the Bureau of Public Service Reforms (BPSR) Program

Such category of employees were paid severance packages, and

The severance package so paid included the value of their contributions to their Retirement Savings Account (RSA) as administered by various PFAs.

PenCom then as a result of the above has instructed all PFAs not to pay such contributions to any affected individual. Note that they are only entitled to their portion of the monthly contributions- the figures labeled “employee pension contribution” on the severance pay slip issued to them when they were paid their severance benefit.

These funds paid are the actual deductions made from the salaries of the affected staff; the 7.5 % from the Federal Government (employer contribution) will not be refunded to them as they are not part of the current pension scheme.  The contributions that have been made in their names to PFAs will be refunded to PenCom.


RSA holders whose employment were terminated by the employer and who have been out of employment for at least 6 months are eligible for payment of 25% of their RSA balance.

RSA holders who are terminated but are aged 50 and above will be treated as Retirees. They will therefore be entitled to claim a prescribed Lumpsum payment as well as a monthly pension benefit or they may take annuity option by contacting any of the licensed insurance companies to sign an agreement.

RSA holders who voluntarily retire below the age of 50, under the terms and conditions of their employment (Voluntary/ Early Retirement) will be treated as regular retirees.

In the event the terminal letter does not read ‘RETIREMENT’, the customer is to either provide a letter from his employer or a photocopy of his terms and conditions of employment confirming that his exit before the age of 50 entitles him to a pension.

In addition, Treasury (PenCom) funded public sector RSA holders are to attend the PenCom verification exercise upon termination of employment. The bond / accrued benefits will have to be remitted prior to withdrawal.