pencom
PenCom regulates Nigeria's pension industry, and it exists so that the money you save for retirement cannot be touched by your employer.
In plain English
There was a time in Nigeria when a person worked for thirty years, retired, and found there was no pension, because the money had been used for something else.
The National Pension Commission exists because of that. PenCom regulates the Contributory Pension Scheme, licenses the Pension Fund Administrators who manage your money, and licenses the Custodians who actually hold it.
That separation is the whole point, and it is worth understanding. Your PFA decides how the money is invested. A separate Custodian holds it. Your employer never touches it. So a company collapsing does not take your retirement with it, which was precisely the old catastrophe.
Your Retirement Savings Account is yours, it carries your PIN, and it follows you from job to job. You can transfer between PFAs if yours performs poorly, and almost nobody ever checks whether theirs does.
And if you are self employed, which describes most of Nigeria, the Micro Pension Plan exists to bring you inside the same protection.
Find out who your PFA is. Check what your account holds. Most Nigerians in formal employment have never once looked.
Your employer collapses owing salaries. Your pension is unaffected, because it was never held by them. It sits with a licensed custodian in an account bearing your own PIN, and it is legally yours.
Questions people ask
How do I check my pension balance?
Contact your Pension Fund Administrator, or use their app or portal. You will need your Retirement Savings Account PIN.
Can I change my PFA?
Yes. Transfers between administrators are permitted, and it is worth comparing performance, because the differences compound over decades.
What if I am self employed?
The Micro Pension Plan allows you to open a Retirement Savings Account and contribute at your own pace, without an employer.
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