Pension scheme is a scheme of social security which help workers who becomes old and incapable of working for a salary or becomes invalid and incapable of living by working. The scheme helps also the survivors of the deceased worker. The Social Security benefits offered by under pensions scheme are: old age benefits, invalidity benefits, anticipated benefits and survivors’ benefits.
If the member of the pension scheme reaches the retirement age without having contributed for fifteen (15) years, he/she shall receive a lump-sum retirement allowance.
A person who is outside Rwanda may submit his/her application form duly signed and stamped by Rwandan Embassy or Consulate either electronically or by Post. For a person who is unable to go to the Office of social security administration due to physical or mental disability; the application form is submitted by his/her representative with a written proxy signed and stamped by the competent authority of his/her residence For a person who is in a correctional or rehabilitation center, the administration of the center signs and stamp the written proxy of application for pension benefits
An insured that is eligible for early retirement pension benefits; but who did not contribute 15 years; he/she shall receive a lump-sum pension allowance.
If the disability results from a hazard, the member shall be eligible for disability pension, provided he/she is a member at the time of hazard. Where the insured person is already partially disabled and his/her disability subsequently develops to the point where he/she can no longer perform any remunerated activity, he/she shall be deemed to be disabled. .
Declaration and remittance of pension contributions are made on monthly basis; not later that 15 th day of the month following the month to which the contributions related.
Enrolling for pension benefits is compulsory for the following individuals:
The Social Security benefits offered by the branch of pensions are therefore divided into two categories:
The contribution rates are 3% paid by the employer and 3% by the employee.
Voluntary Insurance is when a person who is not subjected to social security by law decides to join the scheme as an individual. This can be achieved by applying to join the scheme and paying the required contributions of 6 % of the salary that he or she has fixed. The salary used as the basis for calculating the contribution shall not be less than the basic salary and may not exceed one hundred and thirty percent ( 130%) of the final salary used as the basis for calculating the contributions. This salary can not increase by more that thirty (30%) every three (3) years.
Who is allowed to be a member in voluntary insurance?
The law provides beneficiaries of pension benefits in case the affiliate dies and these are restricted to spouses, orphans, and parents in case the deceased does not have a spouse or any child.
Article 27 of the law No06/2003 of 22/03/2003 modifying the law of August 22, 1974 concerning organization of social security in Rwanda states that; “If the beneficiary has two or several pensions or allowances, he will receive the bigger amount plus, a half of the others. Nevertheless, the orphan of both parents is entitled to the totality of those social security benefits.”