The National Pension Commission (PenCom) has launched a new Pension Contribution Remittance System, a platform designed to optimise the process of remitting pension contributions into employees’ Retirement Savings Accounts (RSAs).
Developed in collaboration with the Pension Operators’ Association of Nigeria (PenOp), PenCom in a statement disclosed that the approved Payment Solution Service Providers (PSSPs) would enhance accuracy, efficiency, and transparency in pension contributions.
The commission said the introduction of the Pension Contribution Remittance System is a response to the challenges frequently encountered by employers, including errors in contribution schedules and verification delays.
PenCom in a statement said in the past, it identified a challenge of uncredited pension contributions, primarily due to incomplete documentation from employers, which resulted in Pension Fund Administrators (PFAs) being unable to credit the RSAs of affected employees.
By completely automating pension remittance processes, PenCom and PenOp have taken significant steps towards creating a more robust Contributory Pension Scheme (CPS) for employers and employees, solving the challenge of uncredited pension contributions in the accounts of PFAs. By this development, all employers are to channel all pension contributions through the approved PSSPs, who then validate the PFAs and Personal Identification Numbers (PINs) of the RSA holders with PenCom’s database to eliminate errors, which led to uncredited pension contributions.
Key Features of the New System include Error Prevention Mechanisms, Seamless Validation Process, Convenient Access to Payment Providers, Instant Online Payment Options and No Costs to Employers.
Recently, PenCom expressed concerns about the growing pile of uncredited pension contributions in PFAs’ accounts and called for strict compliance from employers and contributors while emphasising that the inability of PFAs to credit employees’ RSAs could potentially affect their retirement plans.
PenCom stated that employers now have the flexibility to select from multiple approved PSSPs, enhancing their choice according to preferences for service, speed, and accessibility. Approved PSSPs so far are PAYPEN by Netline Limited, PENCENTRAL by Chamsaccess Limited, PENSPHERE (formerly PAYTHRU) by Pethahiah Rehoboth Int’l Limited, PENREMIT by Cyberspace Limited, PENSOL by Uniswitch Technology Limited, ENCO by Gemspay Solutions Limited, AWABAH by Awabah Remit Services Limited, PCOSS by Nigeria Inter-bank Settlement systems Plc and INTERSWITCH by Interswitch group.
To ease the shift to this new system, PenCom outlined a comprehensive, user-friendly guide that employers can follow. These guidelines potentially would assist them in Selecting a Payment Solution Service Provider (PSSP), Registering on the Chosen Platform, Prepare and Uploading Employee Remittance Schedule, Automatic Validation of Employee Information and Payment Initiation and Confirmation.
PenCom has set June 1, 2025, as the deadline for adopting this new remittance process.
Good production costs money and you can support what we do. Please find our details below👇🏾👇🏾👇🏾 Account name: MARKET ONLINE MEDIA Bank: UBA Acc No: 1026401930.
