There are four types of benefit payments under the Contributory Pension Scheme, the Pension Fund Administrators Association, has said.

According to the operators, the benefits are normal retirement, annuity, death benefits and temporary loss of job.

Under the normal retirement, PenOp said this involved retirees from the private, public sector, the Ministries, Departments and agencies.

It stated, “When the Federal Government of Nigeria Bonds are released, templates are generated for beneficiaries. For private sector, when complete contribution is confirmed, templates are generated for beneficiaries. Monthly pension are raised and paid to retirees.”

The operators explained that the annuity took care of retirees who might wish to purchase an annuity with their Retirement Savings Account balances.

It stated, “It involves the processing of all annuity requests to the commission, ensure payment of premium is made to the Pension Fund Custodian of insurance companies.”

While explaining the death benefits, the operators said this involved, “The processing of all deceased employees or deceased retirees both public and private sectors to beneficiaries or next of kin.”

PenOp said the temporary loss of job, enbloc, Nigeria Social Trust Insurance Fund, foreign and additional voluntary contribution, involved the processing of benefits for those who were temporarily out of job.

It added that it include, “Those who have clocked retirement age but RSA were less than 550,000 (not enough) to fund programmed withdrawal over an expected lifespan, Nigeria Social Insurance Scheme and foreigners who happen to live and work in Nigeria and participated in Contributory Pension Scheme, and contribution voluntarily made in excess of the mandatory contribution.