Monday, 15 December 2014
The Beauty of the New Pension Scheme -Odunze Reginald
orelowitz.co.za
In May 2001, Engineer Mike Agboola retired as the chief Engineer of Deck Engineering services Ltd. As at that the
time Agboola was retiring he was full hope, aspiring into the next phase of his
life as a senior citizen, He quickly rushed to the schedule officer, who has
been handling pension issues in the company. The schedule officer referred him
to the authorities concerned, on reaching Agboola discovered that his name was
not in the master list , the schedule officer has misappropriated the money, an
order was issued for his immediate arrest but before they could muster the
necessary documents to get hold of him, he has escaped and find his way to a
foreign country. Engineer Agboola was left without any pension, the family of 5
were in serious dire need of the basic things of life, coupled with Agboola
first son who was completing his medical course.
Engineer Agboola died few years later, a dissatisfied
man, the son had a negative picture of the state of the Nigeria economy and pensions, but
with the help of relatives, he was able to complete his medical profession. and
eventually found his way outside the shores of Nigeria, practicing
his medical profession and any time he remembers his father, he vowed that he
will not put his services to the country.
These were the state of pension in Nigeria prior to
the 2004 Pension Reform Act. But all that have change, the pensioners in this
new scheme are happier , able to access their money as at when due as the
objective of the scheme in 2004 as in enshrined
Section 2 subsection a, b and c
(a) ensure that every person who
worked in either the Public Service of the
Federation, Federal Capital Territory or Private
Sector receives his retirement benefits as and when due:
(b) assist improvident individuals
by ensuring that they save in order to cater for their livelihood during old age: and .
(c) establish a uniform set of rules, regulations and standards for
the administration and payments of retirement benefits for the Public Service
of the Federation, Federal Capital Territory and the Private Sector.
And in
Pension Reform Act 2014, the objective under section 1 subsection a, b,c and d
(a)establish a uniform set of
rules, regulations and standards for the administration and payments of
retirement benefits for the Public Service of the Federation, Federal Capital
Territory , state Government, Local Government
and the Private Sector.
(b)Make provision for smooth
operation of the pension scheme.
(C) ensure that every person who worked in either the
Public Service of the
Federation,
Federal Capital Territory or public
service of the State Government , or the public service of
the Local Government and Private Sector receives his retirement benefits as and
when due:
d) assist improvident individuals
by ensuring that they save in order to cater for their livelihood during old age.
From the objectives of the scheme it should be
noted that the basic objective is to receive your retirement benefit as at when
due, anything short of that, may not augur well to the pensioners.
And when this is achieved, the pensioner desires
and aspirations are achieved, no matter how small the benefit may look, it tend
to make the retiree live longer and happily.
Sunday, 14 December 2014
Women see glass half full on financial security-Martha C. White
Women are feeling less financially secure than men these days, despite an improving economy, a new Bankrate.com survey finds.
‘“It’s not an anomaly,” said Bankrate.com chief financial analyst Greg McBride. “This is a consistent reading, month-in, month-out.” While men feel that their financial circumstances improved over the past year, women view their financial security as having deteriorated slightly.
KAREN BLEIER / AFP/Getty Images
Women are feeling more financially insecure than men these days, despite an improving economy.
“I think it still stems from the fact that women feel less confident when it comes to their finances in general,” said Zaneilia A. Harris, president of Harris and Harris Wealth Management Group.
Although job losses and wage stagnation have hit both men and women, Harris argued that women were at a disadvantage in the recovery. High-paying fields such as technology tend to be male-dominated, she pointed out. “You still have us mainly focusing our skill sets in healthcare, in education, in nonprofit — and those positions aren’t going to pay us the salaries we need,” she said, adding that women are also less likely than men to negotiate higher salaries.
Research from the Sloan Center on Aging & Work at Boston College finds that women place a higher priority than men on their job security, but that they’re also less satisfied with their level of job security. Tay McNamara, co-director of research in secondary data studies, suggested via email that this combination could contribute towards women having a dimmer view of their overall financial security.
Video: July
14: In an era of mortgage meltdowns and banks going belly-up, CNBC's
Steve Liesman looks at whether it's possible to feel financially secure.
Other research has shown that female investors tend to be more risk-averse than their male counterparts, which could play a role. “Being risk-averse in investments is associated with a fairly large reduction in your assessment of your finances,” said Steve Sass, program director for the financial security project at the Sloan Center.
Since the research is ongoing, Sass said it’s still unclear how these two viewpoints affect each other, but they could contribute to women entering retirement with inadequate savings. “Risk aversion will almost guarantee that your nest egg won’t grow [as well],” he warned.
Since women have this additional burden, it’s important that they be especially proactive about securing their financial futures, McBride said. “All of that really adds an urgency to women of all ages to take full advantage of tax-favored retirement savings opportunities,” he said.
Culled from NBC
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