A Retirement Savings Account (RSA) is a specialized savings account designed to help individuals save and invest for retirement. It is maintained by a Pension Fund Administrator (PFA) for the purpose of ensuring that a Retirement Savings Account (RSA) holder receives their retirement benefits as and when due.
The scheme is a contributory pension scheme initiated by the Federal Government. The scheme requires the employer and employee to contribute a minimum total of 18% [10 % employer and 8% employee] of the employee’s monthly emoluments to a Retirement Savings Account (RSA) to be managed by a private sector Pension Fund Administrator (PFA). The component of the emolument is basic salary, housing and transport allowances. This monthly contribution shall be remitted by the employer every month into the employee’s Retirement Savings Account specifically opened with the PFA for this purpose.
This scheme is mandatory for every person who works in the Public Service of the Federation, Federal Capital Territory, States, Local Governments and Private Sector organizations with 3 or more employees. Self-employed individuals in the informal sector can also join the scheme via the MICRO PENSION
The National Pension Scheme does not permit multiple RSA PINs.
If you have two RSA PINs for different PFAs, you will be required to merge both accounts into one.
Contact Your preferred PFA for your Data Recapture Exercise (DRE). Upon validation of your pension account, the PFA will forward a transfer request to the National Pension Commission for approval. Upon receipt of an approval after reconciliation by the Commission, your funds will be transferred to your preferred PFA.
Having more than one PIN results to delay, incorrect remittances into the RSA account. It also causes undue delay in benefit payments since it is not possible for any contributor to be paid from two RSAs.
Retrieving your account details is now easy. With the Leadway Pensure Mobile app and Leadway Instant Service Assistant (LISA), you can generate your account statement, welcome pack/ Certificate, confirm your account balance, apply for your benefit payments, and update your personal details and so on. Download Leadway Pensure mobile app on Android and IOS. Or Chat LISA across our social media channels WhatsApp &, Telegram (07018000800), @leadwaypensure through Facebook, Twitter, Instagram.
MOBILE APP: Android & IOS
Step 1: Download the ‘PENSURE’ App from App Store or Google Play Store
Step 2: Open the App to register using either your PENCOM PIN, registered email address or Mobile number.
Step 3: A Onetime Password (OTP) will be sent to your registered email address.
Step 4: Input the OTP and click Submit.
Step 5: Create your 4 Digit pin.
Step 6: Well done! You are now logged in.
Step 1: https://p-online.leadway-pensure.com/
Step 2: Click on ‘New User? Register Now’
Step 3: Register with your PENCOM PIN and Email Address
Step 4: Your username and password are sent to your registered email address
Step 5: Go back to the login page and input your username and password
Step 6: Well done! You are now logged in.
Click the Forgot Username or Password option on the login page and follow the direction. Ensure that your active email address is registered with us.
You can contact us on any of the following channels:
• Call 02-012800800 / 0700PENSURE (07007367873) to speak to a Call Centre agent
• Send an email to info@leadway-pensure.com
• Webchat on our website at https://www.leadway-pensure.com/
• Chat LISA Across our Social Media Channels : WhatsApp & Telegram (07018000800) and @leadwaypensure through Facebook, X & Instagram
To update your personal information, you will need to:
This could be the result of several factors:
If you are affected by any of these factors, please update your current information in our database via any of the options 1-4 mentioned in our previous response.
Usually, when this happens, it is most likely you have changed your phone number or contributions have not been remitted into the account during these periods. If you have changed your phone number, we advise you to update your profile on our database in order for you to continue receiving the SMS alert.
Please follow any of the option 1-4 options mentioned earlier to update your mobile number.
Pension contributions are non-assignable, non-transferable and cannot be used as collateral for any loan. However, you may use 25% of your total balance as equity contribution for securing a residential mortgage.
The RSA does not operate like a bank account or cooperative account, so it is impossible to withdraw any part from your RSA while in active service. However, you may use 25% of your total balance as equity contribution for securing a residential mortgage
The scheme is a contributory pension scheme initiated by the Federal Government. The scheme requires the employer and employee to contribute a minimum total of 18% of the employee’s monthly emoluments to a Retirement Savings Account (RSA) to be managed by a private sector Pension Fund Administrator (PFA). The component of the emolument is basic salary, housing and transport allowances. This monthly contribution shall be remitted by the employer every month into the employee’s Retirement Savings Account specifically opened with the PFA for this purpose.
All contributions paid in by your employer are kept in the bank. The funds and assets in the bank are managed by a licensed Pension Fund Custodian (PFC) through the National Pension Commission.
One hundred and Seven Naira Fifty Kobo only N=107.50 (VAT inclusive) on a Monthly basis.
A Pension Fund Custodian (PFC) is an entity licensed by the National Pension Commission to keep pension funds and assets in safe custody.
UBA Pensions Custodian Limited for active contributors and First Pension Custodian for Retirees
You can monitor your account via our various self-service platforms. These platforms include our Mobile App, our Chatbot LISA, and our secured online platform, P-Online. You can also track account statements, fund performance, and contribution history via these platforms. In addition, quarterly SMS and email statements are sent to all customers. SMS notifications are also sent when there is a transaction on the RSA.
You will be required to liaise with your employer to ensure that your pension contributions are remitted into your Retirement Savings Accounts. Also, you may contact us to assist with a follow-up with your employer regarding your remittances. Note: As a PFA we do not have the right to enforce or penalize erring employers. For erring employers, the enforcement task force of National Pension Commission has the responsibility of ensuring that defaulting employers are sanctioned.
The most likely reasons why your account may be unfunded are:
Pension contributions are invested in line with the provisions of The Pension Reform Act 2014 and investment guidelines. The allowable investment options are Government Bonds, Treasury Bills, Money market, stock markets, mutual fund, real estate etc. The returns on such investments are added to the funds, after management fees have been to the fund, less deducted as prescribed by PenCom.
The scheme is a highly regulated one with checks and balances in place and clear-cut investment portfolio options that are designed to ensure the safety of your funds. With clearly defined guidelines for the administration of the funds by the Pension Fund Administrator (PFA), the custody of the funds by the Pension Fund Custodian (PFC) and the regulation/supervision by the regulator, PENCOM, your contributions are very safe.
Details of these are provided in quarterly statements and can be calculated by the growth in the unit price over the period. Also, funds growth can be monitored via our Leadway Instant Service Assistant (LISA) on WhatsApp and telegram and our mobile App.
Click here to download the Leadway Pensure Mobile App.
When you change employer, your Retirement Savings Account (RSA) and contributions continue to be active.
For your pension remittance to continue, please inform your new employer of your pension details including your RSA number (PENCOM PIN), the name of your PFA and PFC details. It is very important that you inform the PFA whenever your details change to enable your records to be updated on our database.
Your contributions are safe and secured. Upon attaining the statutory age of retirement, you can have access to your funds, or 4 months after exit for 25% Lumpsum if you are less than fifty (50) years.
Apart from the statutory contributions, you can make contributions to your account as Additional Voluntary Contributions (VC). AVCs are supplementary contributions that can be made alongside yo0ur mandatory contributions to your Retirement Savings Account (RSA). Remittance of VC must come through your employer. The payment schedule provided to your employer, has a column for VC: this column should be imputed with the amount you choose to contribute as VC. To join in, you only need to fill the AVC mandate form and send to your HR or finance department so deductions can be made from the salary and remitted to us for processing.
The Additional Voluntary Contribution cannot exceed 33.3% of your salary and must be via the employer.
You can access 50% of the total funds that have completed 1 year in the account. And withdrawal is once in 1 year. However, any Additional Voluntary Contributions withdrawal after the funds have completed 5 years in the account is tax free. Also, the interest is taxed if it is not up to 5 years.
The Pension Reform Act 2004 mandates that contributions made to NSITF should be transferred 5 years after the commencement of the new pension scheme, to your Pension Fund Administrator (PFA). To ensure the transfer of your NSITF contributions, you are required to submit through your PFA, a completed NSITF transfer application form, your original NSITF certificate and a means of identification. Where there is no original certificate; the member would provide the following alongside the application form to the PFA: a sworn court affidavit (if your certificate is missing), NSITF statement from Trust Fund and a letter of indemnity/identification from your employer.
In the Contributory Pension Scheme (CPS) in Nigeria, you can access your retirement funds under certain conditions:
It’s important to note that benefit withdrawals are in accordance with the guidelines set by the National Pension Commission for all Pension Fund Administrators (PFAs).
Upon retirement (50 years and above), an RSA holder can access the funds in their Retirement Savings Account in the following ways:
This is a mode of withdrawal by which a retiree receives pension through his Pension Fund Administrator (PFA) on a periodic basis over an estimated lifespan. The RSA balance is being re-invested by the PFA to generate more income/funds for the retiree which allows a three year periodic increase on the pension payment. When a retiree dies, the balance in the RSA will be paid to the duly nominated beneficiaries.
Annuity is a stream of income purchased from a Life Insurance company. It provides a guaranteed periodic income (pension) to a retiree throughout his/her life after retirement. Under the CPS, annuity has a guaranteed period of ten years. If the retiree dies within ten years of retirement, the period pension will be paid to his beneficiaries for the remaining number of years. For example, if a retiree who chose annuity dies six years after, his periodic pension for the remaining four years will be paid to his beneficiaries. The retiree can buy annuity contract by paying a portion of his retirement benefits as premium to an insurance company which in turn provides the periodic payments, subject to the Regulations jointly issued by the National Pension Commission and National Insurance Commission.
A retiree can only access the entire balance in his/her Retirement Saving Account (RSA), where the RSA balance cannot provide a monthly/quarterly pension or annuity of at least one third of the prevailing minimum wage.
The law allows you to switch from Programmed Withdrawal to Annuity after 1 year.
A retiree on Life Annuity cannot change to Programmed Withdrawal but can only switch to another insurance company after two years.
Such retiree will be eligible for a Minimum pension Guarantee (MPG) upon approval from PenCom. This implies that such retiree will continue to receive periodic pension as long as he/she is alive.
Pension payments are made 18th of every month, and if 18th falls on a weekend, we pay the Friday before. Also, if 18th falls on a public holiday, we pay the day before.
Your periodic pension can only be credited into your designated bank account has provided by you through our Pension Fund Custodian (bank)
The following are likely reasons for the delay;
Gratuity is not paid under the new pension scheme. However, some organizations set aside a separate fund for their employees called GRATUITY. Gratuity is not paid under the new pension scheme. However, some organizations set aside a separate fund for their employees called GRATUITY. On the other hand, contributors in both public and private sector, receive a lump sum rather than a gratuity. For a public sector contributor to be eligible for the lump sum, the contributor’s Retirement Saving Account (RSA) must be fully consolidated with Accrued payment and Account reconciliation (i.e. Outstanding Payment/Refund to PenCom).
The National Pension Commission has established a uniform set of rules and regulations in accordance to the Pension Reform Act (PRA) 2014 for the administration and payment of retirement benefits in both the public and private sectors
The beneficiary (ies) of the estate of the RSA holder, as stated in a Will (or determined by a letter of administration in the absence of a Will) that has been admitted to Probate, will receive the benefits from the RSA upon submission of the applicable regulatory documentation to the deceased PFA.
Upon the death of an employee, the employer/Next of Kin (NOK) or representative of the deceased shall notify the PFA, who in turn shall inform the Commission with supporting documents. The deceased’s consolidated benefits are, thereafter, paid in bulk to the Executors of his estate or to any person appointed by the Probate Registry as the Administrator of his estate to enable them to apply the same in favor of his beneficiaries. The employer should also process the proceeds of the life insurance policy and ensure payment by the insurance company to the beneficiary.
If an employee is missing and whose whereabouts is not known to either members of his/her family within the period of one year (12 Months) from the date declared missing, a Board of Inquiry (BOI) set up by the commission makes a declaration that having regards to available information and all relevant circumstances, it is reasonable to presume that the employee is dead, the provision of Section 8 of PRA 2012 shall apply.
Any individual named by the RSA holder as the contact person in case of any emergency.
Several factors contribute to the fluctuations observed in the balance of an RSA account including:
Several investment options are adopted to diversify the portfolios, thereby preventing the clients’ funds against undue losses. The funds invested in options ranging from stock, bonds, treasury bills, money market deposit and a range of alternative investment outlets to allow for robust growth in pensioners’ funds.
A variable income Instrument refers to an investment whose terminal return profile is not predetermined at the start of such an investment. Such an investment provides contributors a rate of return that is dynamic and determined by market forces, thus greater risks as well as rewards. The PENCOM framework defined Variable income instruments as the sum of a PFA’s investments in Ordinary Shares; Real Estate Investment Trust; Infrastructure Funds; and Private Equity Funds.
Fund Type – Default Description Exposure to Variable Investment Instruments
Minimum Maximum
Fund I – Based on individual choices 20% 75%
Fund II – Contributors 49 years and lower 10% 55%
Fund III – Contributors of 50 years and above 5% 20%
Fund IV – Contributors in RSA Retirees 0% 10%
Fund V – Micro Pension (Informal Sector) 0% 5%
Fund Vi Active – Islamic Fund 0% 25%
Fund Vi Retired – Islamic Fund 0% 5%
Units are like shares that represent how much of the fund you own. They allow investors to combine their money to invest in a variety of assets. By buying units, investors own a piece of the investments that the fund holds
Total number of proportional units held by an RSA holder in a fund based on the participants contribution to a fund.
Unit price refers to the price at which a single unit or share of an investment or financial product is valued. It is the cost or value assigned to each share of the investment. The unit price is typically calculated based on the net asset value (NAV) of an RSA fund.
This refers to each contributor’s unit in the fund he belongs to. It is a form of measurement of account holder’s contribution to the fund. Pensions contributions are converted into units by dividing the contributions received on behalf of each account holder by the preceding day’s fund price. The summation of units created for each contributor minus the units withdrawn from the same account gives the total number of units for the contributor.
Total value of remittance over a period by an employee and employer to an RSA account less the withdrawals made in the same account.
Total value removed from an RSA account in each period.
Total value gained or lost in an RSA account in each period. Gains or minimal losses are recorded on each account depending on market dynamics. The upswing in the financial market always results in gains while the reverse is the case where there is a sharp fall in the financial market.
This indicates how much money you have available in your account. It is made up of your total contributions less withdrawals (if any) plus the gains/loss accrued on your contributions.
One of the primary methods of generating profits in an RSA account is through investment returns. This involves investing the funds in assets such as stocks, bonds, treasury bills, or other financial instruments. The returns on these investments can come from capital appreciation (increase in the value of investments over time) and income generated by the investments, such as dividends or interest payments. All income earned from investment of pension funds under the PRA 2014 is remitted into the RSA account of contributors
Diversifying your investment portfolio is a fundamental strategy for managing risk. By spreading your investments across different asset classes (such as stocks, bonds, and cash equivalents) and geographic regions, you can reduce the impact of volatility in any one market or sector. Diversification can help protect your fund from the full impact of money market fluctuations.
Due to the nature of the various RSA portfolios and the risk appetite of the participants within, investments in the funds are structured in a manner which best suits the characteristics of the fund and its contributors. Fund 1, for instance, is considered a riskier fund and may invest more in volatile instruments which may deliver better returns. Fund 4, alternatively, is a conservative fund and typically delivers stable and consistent returns. In essence, it is the asset composition of each fund and the performance of the assets that determines returns on investment on the fund.
Pension funds are valued daily. It is the process whereby PFAs calculate the value of net assets under management and the value of an accounting unit for the equitable pricing of interest of each individual contributor to a pension fund.
They are related to one another as explained above. However, each contributors’ account balance refers to the sum of pension contributions and the gains/loss accrued on the contributions less withdrawals made in contributor’s accounts.
The Multi-fund structure is a framework designed to align the retirement savings
of contributors to their risk appetite by maintaining six funds with distinctly different tolerance for risk. The aggressive fund (Fund I) would have a much higher allocation to variable income instrument than Fund II. Similarly, Fund II’s allocation will be higher than Fund III’s allocation. Fund IV, the retiree Fund will have the lowest allocation to variable income securities. Fund V is meant for contributors in the informal sector. While fund VI (ISLAMIC FUND) is the non-interest funds
The multi-Fund structure allows Leadway Pensure better serve its contributors by building portfolios that closely reflect their risk appetite. This implies that contributors with a large risk appetite are compensated for taking more risk whilst contributors with a low risk appetite are appropriately compensated.
The new structure also recognizes that a contributor’s risk appetite may change over time due to a myriad of factors, thus the flexibility to switch from one fund to the other is an added advantage.
The old structure invested the funds of all RSA contributors with the same investment criteria regardless of risk appetite and age. The multi-fund structure seeks to align contributor’s investments with their age profile and risk appetite.
The Multi-fund structure is not optional. By default, every contributor in the scheme must belong to a fund type.
A contributor under the age of 50 may switch between fund II and I by simply making a formal request to Leadway Pensure PFA or via our e-channel
An RSA holder who is 50 years and above and still in active service will automatically be moved to fund III. However, you may request to remain in fund II. Such a contributor will not be allowed to choose Fund I.
An RSA holder who prefers their funds in non-interest fund may request to switch to fund VI.
While fund V is strictly for contributors in the informal sector.
Once a formal application has been made to Leadway Pensure, an active Contributor may switch from one Fund Type to another Fund Type once in 12 months without paying any fees. However, further requests for switches will attract a fee of 1000
Contributors can switch between funds as long as the age limits are not breached. However, switches more than once in 12 months will attract a fee of 1000
All contributions whether mandatory and voluntary must be under the same fund type
The Mortgage Scheme was set up by the National Pension Commission (PenCom) to allow Retirement Savings Account (RSA) holders use part of their RSA balance as equity contribution toward securing a residential mortgage
The maximum amount you can use as equity contribution for residential mortgage shall be 25% of your total RSA balance as at the date of application. Also, Voluntary Contribution contingent portion, NSITF and pre-scheme contributions may form part of the RSA balance in determining the 25% of equity contribution. However, the account holder shall sign a consent form with his/her PFA to that effect.
The RSA holder must provide a property Offer Letter duly signed by the property owner/ approved agent and verified by a Mortgage Lender, licensed by the Central Bank of Nigeria (CBN).
Approved Mortgage Lenders that are licensed by the CBN to provide residential mortgages are listed on The National Pension Commission (PENCOM) website on a bi-annual basis or when the new license is issued.
Where 25% of your RSA balance is more than the required equity contribution, only the exact equity amount as stated on the mortgage offer letter will be disbursed.
Where 25% of your RSA Balance is below the required equity contribution, you will be required to deposit the difference with the Mortgage Lender before 25% of your RSA balance can be applied as equity contribution.
Any RSA holder who wishes to include his/her contingent portion of voluntary contributions, NSITF, Pre Act etc. as equity contributions must sign a consent form with his/her PFA to that effect
Yes, The RSA holder shall sign a consent with his or her PFA before accessing 25% due to loss of job
This is possible only if the Participant is back in active service at the time of request all other things being equal
From recent developments on the clarifications on the use of Equity contributions for the purpose of residential mortgage, please be informed that Uncompleted/Work in progress buildings are now applicable as confirmed by PenCom.
Yes. Where the RSA holder or the Mortgage Lender is unable to complete the mortgage process prior to the execution of the “Deed of Assignment,” the Mortgage Lender must refund the PFC’s equity contribution.
No, existing Retirees on Contributory Pension Scheme (CPS) and exempted persons under the PRA 2014 shall not be eligible to participate in the RSA equity contribution for residential mortgages.
Yes, married couples who are RSA holders, shall be eligible to make a joint application, subject to individually satisfying the eligibility requirements set out in these Guidelines.
A Micro pension contributor will be able to access equity contributions for a residential mortgage if he or she has contributed to his or her RSA for a minimum of 60 months. Where the Micro Pension Contributor wishes to include his/her contingency portion as equity contribution, he/she will sign a consent with his/her PFA to that effect.
The Micro Pension Plan was set up by the National Pension Commission (PenCom) to allow individuals in the informal sector to partake in the Contributory Pension Scheme. It is targeted at low income individuals, self-employed business owners, traders, artisans, and non-salary workers to save towards retirement age.
Individuals that are 18 years of age and above with legitimate source of income that are:
To register for the Micro Pension Plan, you will be required to open an account by completing a registration form with Leadway Pensure PFA or using the registration link. https://p-online.leadway-pensure.com/enrolmentportal/
You can make contributions electronically through any payment instrument/platform, Cash deposit or other financial service agents approved by the Central Bank of Nigeria.
You can make contributions daily, weekly, monthly or as may be convenient to you.
Contributions under the Micro Pension Fund shall be managed as one fund but split into two as follows:
You shall have access to 40% of your total funds after saving for three months. While the remaining 60% can be accessed at retirement (50 years and above). This is in line with the PRA 2014 withdrawal guideline.
You shall be eligible to access your retirement benefits on attainment of age 50 years or on health grounds in accordance with the Regulation for the Administration of Retirement and Terminal Benefits.
Yes, the Micro pension contributor can withdraw all the contingent portion (40%), including the accrued investment income. The remaining cumulative 60% is only accessible at Retirement
The Multi Fund Structure has a unique fund type (FUND V) for the Micro Pension scheme
Upon exit or retirement, the account holder shall be required to fill a Micro Pension Retirement Notification Form and the PFA shall inform him/her of the various options of accessing retirement benefits.
Micro Pension Contributors shall be entitled to Guaranteed Minimum Pension on satisfaction of the provisions of Section 84(1) of the PRA 2014 and guideline on Minimum Pension Guarantee issued by the Commission having made contributions for a cumulative period of not less than 180 months with a retirement RSA balance of at least =N=2,000,000.
Yes. Accessing a deceased/missing persons RSA under the Micro Pension Plan shall be in line with the Regulations for the Administration of Retirement and Terminal Benefits issued by the Commission.
Yes, a micro pension account holder can formally request for conversion by attaching the necessary documents specified in the Guidelines for the Registration of Contributors/Members issued by the Commission.
The Micro Pension Contributor shall retain his/her existing RSA and may withdraw the contingent portion of the said RSA prior to conversion (Where he/she opts not to withdraw, the contingent portion is merged with the retirement benefits portion prior to conversion)
At conversion, the PFA shall move the Micro Pension Contributor’s RSA balance to the appropriate fund under the Multi-Fund Structure
Participants in mandatory contribution shall NOT be allowed to convert to Micro Pension Plan under whatever guise.
The Funds shall be invested in line with the Regulation on Investment of Pension Fund Assets.
Only institutions licensed as Pension Fund Administrators and Pension Fund Custodians by PENCOM shall register, manage and keep custody of the assets or provide either services relating to the Micro Pension Plan