SSNIT increases monthly pension payments by 15% in 2024

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SSNIT Increases Monthly Pension Payments by 15% in 2024
SSNIT Office

The Social Security and National Insurance Trust () has implemented a 15% increase in monthly pension payments as part of its 2024 indexation rate.

The adjustment, in accordance with Section 80 of the National Pensions Act, 2008 (Act 766), applies to all valid pensioners on the pension payroll as of the end of December 2023.

Under the review, pensioners will experience a fixed rate increase of 10% along with a redistributed flat amount of ¢79.10.

The minimum-wage pensioner will now receive GHC409.10, representing a 36.37% increase above the 2023 minimum pension payment. The highest-earning pensioner will receive GH¢186,777.58 per month.

Joseph Poku, Chief Actuary at SSNIT, explained that the adjustment was made in collaboration with the National Pensions Regulatory Authority (NPRA) to address the impact of rising living costs on pensioners while sustaining the scheme.

The decision takes into account a forecast of a 20% wage inflation for active contributors and a 23.16% projection for 2024.

The average monthly pension will rise from ¢1,527.29 in 2023 to ¢1,756.38 in 2024. The 15% indexation rate will result in an additional pension expenditure of ¢697.64 million, bringing the total expenditure for pensioners on the Pension Payroll as of December 31, 2023, to ¢5,387.72 million in 2024.

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