By the end of this post, you will learn the sad realities that all SSNIT contributors must wake up to or go home with peanuts upon retirement. SSNIT continues to educate the public on why they must ensure that their employers pay their deductions on a monthly and regular basis.
Factors that will cause SSNIT contributors to go home with peanuts upon retirement
Some of you reading this do not have any idea how much your employer is contributing on your behalf. That is the first dangerous reality. Do you know yours?
For instance, while you might be receiving Ghs3,000 monthly, your employer reports to SSNIT that you are paid Ghs600.
Consequently, the 11% contribution to SSNIT is calculated based on the reported Ghs600 (resulting in Ghs66 as a monthly contribution) rather than on the actual Ghs3,000 (which would be Ghs330).
Note that low contributions lead to low pensions. If your employer tries to convince you to reduce your pay data sent to SSNIT so that they can pay lower SSNIT contributions and save money for the company, never agree and report the matter to SSNIT.
Again, check the contributions sent to SSNIT by your employer every quarter to ensure the right amount is being paid on your behalf. How many of you even bother to check your SSNIT statement of account? Just a few. You can check it online by reading this post [How to Check SSNIT Statement Online] for the guide.
READ: How To Boost Your SSNIT Monthly Pension As Unemployed Or As Student Or For A Relation
If your allowances are higher than your basic, immediately engage your employer to consolidate your earnings and pay a contribution on the entire earnings. What this means is that you have to ensure that the employer converts a greater percentage of your allowances into your main basic pay so that your SSNIT deductions will increase, which will further increase your SSNIT benefits in the future.
Remember that the highest-earning SSINT pensioner earns more than GHS 187,000 every month. The person was a businessman, not a government worker. You can contribute to SSNIT from all personal businesses you engage in, in addition to what your employer pays for you. This way, you will be investing in your future.
The pension you’ll receive is based on your basic pay (not allowance) declared to SSNIT. SSNIT wouldn’t know the actual amount you receive monthly from your employer. Again, SSNIT does not deduct the contribution from your salary; it’s the employer who makes the deductions on your behalf and pays them to SSNIT.
READ: How to merged SSNIT to Ghana Card Number To CAGD Status: Step-by-step guide
SSNIT sends a statement every quarter. How many go through to know the exact amount your employer is paying on your behalf? If you do not get this statement, check out how to correct the contact details you have with SSNIT so that you can start receiving the quarterly statements.
Sadly, the moment some of you see SSNIT on TV, you change the channel to watch football or a telenovela. However, the same people will say SSNIT isn’t educating them. SSNIT is doing its part. What have you also done to educate yourself on pensions? Take interest in your retirement now.
READ: How your SSNIT Retirement (Pension) Benefit is Calculated
If anyone has any concerns, get to the nearest SSNIT office. Go to the SSNIT website and find out how you can save your pension, future, and SSNIT contributions and prevent future regrets.
Now that you know the reasons and factors that will cause SSNIT contributors to go home with peanuts upon retirement, take proactive steps now.
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