By Kizito Cudjoe & Christabel Danso Abeam
The Social Security and National Insurance Trust (SSNIT) indicates that they are striving to guarantee better retirement benefits for contributors under the national pension program. This includes regular adjustments to account for fluctuations in the cost of living.
A key aspect of these initiatives involves revisiting the Trust’s investment strategy, as highlighted by SSNIT’s Actuarial Manager, Evelyn Adjei. She further noted that their main emphasis is on fortifying their portfolio to enhance long-term gains for those relying on retirement benefits.
“The current management is looking at what we have, how we can improve those investments, so that we can give people better pensions,” she said.
Mrs. Adjei, who was participating in a panel debate on
‘Enhancing Efficient Pension Administration to Foster Sustainable Retirement Earnings’
At the 2025 Money Summit (TMS) held in Accra, it was highlighted that even though SSNIT increases pensions every year, an individual’s earnings during their employment period remain crucial for calculating their retirement benefits.
“A better pension also depends on one’s salary,” she said. “But SSNIT increases pensions on an annual basis, for retirees to gain back the purchasing power that they had at the time of their first pension.”
She clarified that this yearly modification is designed to protect retirees from inflation and the diminishing value over time.
“Throughout the years, our research has demonstrated that the majority of pensions were raised by over 100 percent within five to six years after retiring,” she noted.
People begin with GH₡1,000 and over a brief period, they manage to grow it to around GH₡2,000 or even GH₡3,000, based on our speed of growth.
She stated that many workers in the nation appear to be more preoccupied with their allowances and similar matters. Because of this, she explained, they make their contributions based on their fundamental salaries.
When employees return home, they exhaust all their allowances. However, SSNIT has been making significant efforts. Upon reaching retirement age, we determine your pension amount and inform you about the payment you will get. Yet, each year, we enhance your pension.
The SSNIT representative stated, “A method to ensure an enhancement of your retirement benefits is through investment,” while also mentioning that “certain of our ventures have faced criticism.” As a result, the present administration has adjusted the focus of SSNIT’s investments.
In the beginning, our substantial reserves enabled us to increase pension payments by as much as 85 percent,” she stated. “However, with an increased number of individuals receiving pensions today, such hikes are no longer possible.
Ms. Adjei emphasized that individuals are enjoying improved pension benefits due to higher salaries. She stated, “With people retiring at higher salary levels, their subsequent pensions have also become more substantial.”
Your pension is directly linked to your stated salary,” she clarified. “Be it GH₵300 or GH₵25,000, this is the figure used for calculating your benefits.
Dr. Francis Sapara-Grant, the Managing Director of Glico Pensions, also took part in the discussions, emphasizing the urgent necessity for early investment and retirement planning.
He motivated Ghanaians, particularly young experts, to start ensuring their economic security by participating in pension plans as soon as possible.
This year’s TMS, a yearly event organized by the Business and Financial Times (B&FT), had a theme of
‘Enhancing Investment and Pension Management: Approaches for Secure Retirement Income and Economic Development’
TMS 25 emphasized the significance of long-term financial planning given the perceived instability within the current retirement system.
As a result, Dr. Sapara-Grant emphasized that having foresight regarding pension planning is crucial for achieving long-term financial autonomy and ensuring national economic stability.
Overall, retirement planning management hinges on timing since it requires an extensive period to craft a successful retirement strategy. Effective retirement should encompass multiple elements, such as strategies that outpace inflation and ensure a consistent income.
Dr. Sapara-Grant also promoted increased investment in additional revenue-generating opportunities to enhance retirement advantages, suggesting that depending exclusively on conventional pension plans might not offer sufficient economic protection over time. This concern arises particularly due to escalating living costs and instabilities within the pension framework.
Planning for retirement income requires a multi-faceted approach; you should incorporate various kinds of investment tools to ensure thorough coverage. Relying solely on a predetermined pension plan that specifies your future benefits is unwise.
He recommended pursuing sustainable strategic investments like property purchases, mutual funds, farming ventures, annuities, and more, so one can count on various sources of income throughout their retirement years.
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