The plan was conceived by the immediate administration of the National Pension Commission, PenCom, with Mrs Chinelo Anohu-Amazu.
With the launch, workers in the informal sector of the economy, such as market women, traders, commercial bus or taxi drivers, commercial motorcycle operators, Tricycle operators , tailors, vehicle mechanics, among other artisans and other operators of the informal sector of the economy, now have opportunity to plan for a better retirement life.
According to her “The National Pension Commission has issued a robust Guideline on Micro Pension Plan pursuant to the provision of Section 2 of the Pension Reform Act 2014. The Guideline spelt out detailed legal, institutional and operational frameworks for the administration of the product by licensed pension operators from the point of enrolment to the point of accessing benefits from the pension account by participants.
The contributor may, based on his/her needs, periodically withdraw the total or part of the balance of the contingent portion of his/her RSA, including all accrued investment income thereto. The contributor may also choose to convert the contingent portion of the contributions to the retirement benefits portion. The remaining balance in the RSA shall be available to the contributor upon retirement or attaining the age of 50 years.