Low-Income Earners: PENCOM Allows Full Retirement Savings Withdrawal
In a move aimed at providing financial relief to low-income earners, the National Pension Commission (PENCOM) has announced a new policy allowing these individuals to withdraw their total retirement savings.
This policy change is expected to benefit millions of low-income earners who have been struggling to make ends meet, particularly in the face of the country’s current economic challenges.
According to a statement released by PENCOM, the new policy is designed to provide low-income earners with access to their retirement savings, which can be used to meet their immediate financial needs.
“The commission has observed that many low-income earners have been struggling to access their retirement savings, which has led to financial hardship for many,” the statement read. “In response to this challenge, the commission has decided to allow low-income earners to withdraw their total retirement savings.”
The new policy is expected to take effect immediately, and low-income earners who wish to withdraw their retirement savings can do so by submitting an application to their Pension Fund Administrator (PFA).
To qualify for the withdrawal, low-income earners must meet certain eligibility criteria, including having a monthly income of N50,000 or less, and having contributed to the National Pension Scheme (NPS) for at least five years.