The Social Security and National Insurance Trust (SSNIT) has implemented a 15% increase in monthly pension payments as part of its 2024 indexation rate.
This adjustment, guided by Section 80 of the National Pensions Act, 2008 (Act 766), applies to all valid pensioners on the SSNIT pension payroll as of December 31, 2023. These pensioners will see a fixed rate increase of 10%, coupled with an additional flat amount of ¢79.10.
For minimum-wage pensioners, this results in a new monthly pension of GHC409.10, marking a substantial 36.37% rise from the 2023 minimum pension payment.
Meanwhile, the highest-earning pensioner will now receive GH¢186,777.58 each month. Joseph Poku, Chief Actuary at SSNIT, emphasized that this adjustment was collaboratively determined with the National Pensions Regulatory Authority (NPRA) to shield pensioners from the escalating cost of living while upholding the sustainability of the scheme.
Speaking at the launch of the 2024 Pension Indexation Report, Poku highlighted that the 15% increment is a response to SSNIT’s forecast of a 20% wage inflation for active contributors and a 23.16% inflation rate projection for 2024.
The average monthly pension is expected to rise from ¢1,527.29 in 2023 to ¢1,756.38 in 2024. Consequently, the 15% indexation rate will lead to an additional pension expenditure of ¢697.64 million, making the total expenditure for pensioners on the Pension Payroll as of December 31, 2023, reach ¢5,387.72 million in 2024.
Nana Ama Nyamekye/Ahotoronline
