The Social Security and National Insurance Trust (SSNIT), in consultation with the National Pensions Regulatory Authority (NPRA) and in line with Section 80 of the National Pensions Act, 2008 (Act 766), has indexed monthly pensions upwards by 12% for the year 2025.
A statement issued by management of SSNIT announced that all pensioners on the SSNIT payroll as of December 31, 2024, will have their monthly pension increased by an average of 12 percent.
This will be made up of a fixed rate of 8 percent plus a flat amount of Ghc72.58, which is the balance of 4 percent that is to be redistributed.
According to SSNIT, redistribution is a mechanism applied to the indexation rate to cushion low-earning pensioners in conformity with the solidarity principle of social security.
As a result, pensioners will have an effective increment between 32.19 percent at the bottom end and 8.04 percent at the top end, the SSNIT statement added.
Redistribution SSNIT explained ensures that the minimum monthly pension of Ghc300 in 2024 will increase to Ghc396.58 in 2025, an effective increase of 32.19 percent.
SSNIT also revealed that the highest-earning SSNIT pensioner under the PNDC law 247, as of December 31, 2024, will receive Ghc201,792.37 per month in 2025, representing a percentage increase of 8.04%.
The average monthly pension as a result of the indexation will increase from Ghc1,776.81 in 2024 to Ghc1,990.03 in 2025.
Given the 2025 indexation, approximately 63 percent of pensioners will receive an effective increase from 12 to 32.19 percent to help maintain their standard of living. This applies to those receiving Ghc1,814.50 or less monthly. The 12 percent increase takes effect from January 2025. Pensioners are paid on the third Thursday of every month, the statement added.
By: Rainbowradioonline.com/Ghana
