Where a doctor certifies you as unfit to continue to work, you are allowed to access your RSA balance.

This is benefits payable to your beneficiary or next of kin in the event of death in active service. Your beneficiary is entitled to receive the RSA balance amount which is made up of accrued pension rights for past service before April, 2007,: contributions under the new scheme and accrued interest. Your dependents in addition are entitled to a death benefit which is equal to 320% of your annual total emolument. This death benefit is processed by the Insurance department of the Ministry of Finance for Public Servants and by agencies for Parastatals.

• Programmed Withdrawal benefits or Annuity for Life
• Lump sum benefit
• Survivor benefits and disability

• 6 months before planned exit; please ensure that you forward your retirement notification from place of employment to LASPEC
• Collect a pension form which has to be completed by you and your employer. The form will be returned to LASPEC from the Ministry /Agency
• LASPEC will issue you a Bond Certificate for your accrued rights for past service with the State and redeem amount into your RSA account.
• LASPEC will issue a Clearance Letter to confirm that you are an employee of the State. The Clearance Letter will be sent from LASPEC to the PFA. You will complete documentation with the PFA and opt whether you want an annuity or a programmed withdrawal.

At age 50 or retirement, whichever comes later, if however before age 50, you have to retire due to mental or physical incapacity, you can have immediate access to the balance in your RSA. You need a doctor's report to authenticate the level of incapacity.

The government cannot tamper with the pension funds in your RSA. The Government cannot have access to the account. It is your account.

Yes you can collect the AVC contribution even whilst you are in service The only issue is that if you make withdrawals of AVC before a period of 5 years, you will pay tax on the contributions. It is therefore advisable that you draw the balance as a lump sum immediately on retirement.

Yes. You are allowed to make Additional Voluntary Contribution (AVC) to augment your RSA balance and thereby secure a more comfortable future for yourself at retirement. The AVC is deducted at source. It could be a percentage of your salary or could be a specified amount and instruction must be given to the pay office authorizing the deduction from your salary.

No. The 2007 Pension Law (now amended) supersedes. Benefits in RSA account can be collected at age 50. However there is a provision under the new scheme that where an individual has been out of job for a period of 3 months and has been unable to secure another employment, a maximum percentage of 25% of the RSA balance can be collected as lump sum with balance receivable at age 50.

Yes. As the name suggests, the account is an account for your retirement i.e. exit from service. The balance in the account will be utilized to provide you with income in retirement or when you are out of the service from age 50.

No, you cannot. All contributions must be domiciled into your Retirement Savings Account before you can be allowed to access the account. The table below highlights the key features of Programmed Withdrawal & Annuity:

You can almost immediately begin to draw monthly pension from your RSA account. You do not need any documentation. All what is required is a letter from your Agency to state your entry and exit date. Your mode of exit will also be stated. LASPEC will immediately issue Clearance Letter to your PFA to allow you access to your RSA account, as you are not entitled to accrued pension rights for service under the discontinued scheme.

Then you create a lot of problems as your beneficiaries or Next of Kin will not be able to access your RSA balance until and unless they produce a Letter of Administration that will be obtained from the Probate Registry. This may take some time to collect and you are therefore advised to put your house in order to avoid pains to your family in the event of unexpected death.

Yes. It is essential. All workers are advised to seek legal

The NOK is the first contact in the event of death and is not necessarily a beneficiary to the Estate of a deceased person.

Guaranteed minimum period is 10 years. I.e. if death occurs before 10 years of collecting monthly pension, the balance of pension payable up to the 10th year is paid to named beneficiaries. However, if death occurs after the guaranteed period, no payment is made to the named beneficiary.

This is an Insurance product. It is a contractual arrangement between you and your appointed Annuity Service provider i.e. a life Insurance Company. The contract states that for a premium agreed by you, the Company promises to pay you pension, for as long as you live. You will instruct the PFA to transfer monies for payment of Pensions to the Insurance Company. That is the Premium. However, the annuity payment has a guaranteed minimum payment period of 10 years.

A Programmed Withdrawal Benefit is the method by which an employee collects his retirement benefits in periodic sums (either monthly or quarterly) throughout the length of an estimated life span. It is a fund management product by Pension Fund Administrators who act as your fund manager in retirement. Payment of monthly pension will be made from the RSA. Investments continue to be made and you are entitled to receive Statements of payment made as pension and also see inflow of investment returns. In the event of death of retiree at any time, balance in the account is payable to beneficiaries of the Estate of the deceased.

The law does not specify any retirement age. However from age 50, you can opt to leave service and be able to access your RSA.

This is a framework which aims to align your age with a risk profile. There are 4 Fund types - 3 active funds and 1 retirees Fund. Fund I has the highest risk appetite and contributors must write formally to opt for this fund. Fund II — Default fund for contributors aged 49 and below. Fund III — Default fund for contributors aged 50 and above Fund IV — Retiree Fund. This fund has minimal exposure to risky investments.

LASPEC is the Commission set up by Lagos State Government to protect your interest under the new scheme. LASPEC is to register PFAs to sign up Lagos state workers and supervise their operations. They are to ensure that you regularly get your Statement of Account from the PFA; ensure that your contributions are secured and that you get paid your retirement benefits quickly.