The National Social Security Fund (NSSF) has paid out a total of UGX421 billion worth of midterm benefits to over 21,600 eligible members in less than 3 months, following commencement of payments in March this year.
The payments are in respect to Section 20A (1), of the National Social Security Fund (Amendment Act) 2022, that allows midterm access of accrued contributions to eligible members.
Richard Byarugaba, the NSSF Managing Director says surpassing the UGX400 billion mark is a milestone that affirms the Fund’s commitment to pay midterm benefits to qualifying members.
“At the start of this exercise on March 7th this year, we committed to avail at least UGX50 billion every week to pay midterm benefit. This milestone implies that in close to 3 months, we still have sufficient funds to pay every qualifying member,” he said.
A total of 21,603 applications were received by the Fund since it started the process on 7th March, 2022. 13,493 of the applications were received at the Fund’s branch network while 8,110 were received online via its self- service platforms.
At launch of midterm payments, the Fund announced that 41,174 members were eligible for midterm benefit.
Absa, ENS Africa, A&O Shearman and Nomura Advise Asahi Holdings on USD 2.3bn Acquisition of 65% Stake in EABLByarugaba urged eligible members to apply for their mid term benefit using the online channel www.nssfug.org , mobile money and at the Fund’s branch network countrywide.
“On average it takes about 10 days to process a claim under midterm benefit when the member meets all the required conditions, “ He added.
Eligible members for the Midterm benefit as per section 20A of the National Social Security Fund Act, 2022 are defined as ;
- A member who is forty-five years of age and above and who has made contributions to the fund for at least ten years, will be eligible to midterm access to his or her benefits, of a sum not exceeding 20 percent of his or her accrued benefits; and
- A member who is a person with disability is forty years of age and above and has made contributions to the fund for at least ten years, will be eligible to midterm access, of a sum of 50 percent of his or her accrued benefits.
In addition, the National Social Security Fund (Midterm Access to Benefits) Regulations 2022 state that eligible members for the benefit must have at least 120 monthly contributions with the Fund and may opt to apply for his benefits in installments agreed upon with the fund.
Eligible members for midterm access are required to present a National ID, Verifiable mobile phone number, verifiable Bank Account, NSSF Number, 1 e-photo to finalise the verification and application process.
