PenCom Sets Deadline for Adoption of New Pension Remittance System

The National Pension Commission (PenCom) has set June 1 as the deadline for employers to fully adopt a new pension remittance system aimed at streamlining the contribution process.

In a statement issued in Abuja, PenCom announced the launch of the Pension Contribution Remittance System, a platform designed to enhance the efficiency, accuracy, and transparency of remitting pension contributions into employees’ Retirement Savings Accounts (RSAs).

Developed in collaboration with the Pension Operators’ Association of Nigeria (PenOp), the initiative seeks to address longstanding challenges such as uncredited contributions and verification delays affecting Pension Fund Administrators (PFAs).

The commission emphasized that the new system integrates approved Payment Solution Service Providers (PSSPs) to prevent errors in contribution schedules and reduce delays in processing funds. It noted that persistent issues, including incomplete documentation from employers, have led to significant unallocated pension contributions, posing risks to employees’ retirement savings.

To resolve these concerns, the system will now automatically validate PFAs and RSA holders’ Personal Identification Numbers (PINs) against PenCom’s database, eliminating errors that previously caused delays.

Employers are required to strictly comply with the new remittance framework to prevent further accumulation of uncredited funds. PenCom highlighted that the inability of PFAs to credit employees’ accounts due to incorrect or incomplete information has been a major concern, necessitating urgent action.

The new system also offers multiple approved PSSPs, giving employers the flexibility to choose providers based on their service preferences, speed, and accessibility. The approved platforms include:

• 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
• INTERSWITCH by Interswitch Group

These platforms support various online payment options, enabling employers to make immediate contributions to their employees’ RSAs.

PenCom assured employers that adopting the new system would not attract additional costs, encouraging compliance while improving the overall efficiency of pension remittances.