Membership
Employers who participate in the NBWPF enable their employees to become members of the Fund. Active membership commences when your conditions of employment compels you to become a member of the Fund and it will cease when you leave the service of your employer, either due to resignation, retrenchment, dismissal, retirement, death, or should your conditions of employment change and you are compelled to become a member of another retirement fund that your employer participates in.
Your Normal Retirement Age (NRA) is an element of your Conditions of Employment that determines when you must retire from employment. Once your active membership has ceased, you will automatically become a paid-up member of the Fund until you exercise a desired and valid option. (Please refer to the Benefit Options section).
MEMBERS ACCOUNT
Each member has an account in the Fund that is invested on his/her behalf by the Trustee through a default investment strategy. Accumulated savings in a previous fund; i.e. a pension, provident or preservation fund, but excluding a retirement annuity fund, can be transferred to your NBWPF account, free of tax.
Throughout your active membership term, the Fund will receive contributions totalling 8% of the Fund Salary ( 4% from the employer and 4% from the employee; and deposits 6% net off 2% for expenses and risk benefits, thereof into your member account.
Growth earned is allocated to your account and this process will continue until your active membership ceases and you elect an appropriate option.
STRONG
SMART
SECURE RETIREMENT
Member Benefits
RETIREMENT BENEFITS
According to the Fund rules, the Normal Retirement Age of your Fund is 60 years but you may voluntarily go on early retirement as from 55 years.
Members whose employers have requested the Fund in writing to retire late may retire at 65 years.
Upon either of the above retirement, 1/3 of your pension will be paid cash tax free and the remaining 2/3 of your pension can also be taken in cash but tax will be deducted. Alternative, you may purchase an annuity with the 2/3 from a registered insurer in Namibia
WITHDRAWAL BENEFITS
If you leave your employment before normal retirement age, your Fund Credit/Fund Value will be paid out to you.
A withdrawal benefit may be claimed if you have left the service of your employer and you have not yet reached your normal retirement age (NRA). The benefits consist of your Fund Credit on the date that you notify the NBWPF of your options.
You can also transfer your Fund Credit (tax-free) to your new employer’s pension fund or to a registered preservation fund of the registered insurer in Namibia. If you choose to take your benefit in cash, tax and arrear taxes (if any) will be deducted from your Fund Credit. Minimum tax is 18%.
DISABILITY BENEFITS
A member will qualify as Disabled under the following conditions:
If they are unable, due to injury, surgery, or illness during the waiting period, to engage in their own occupation or any other occupation suitable for them, considering factors such as age, education, training, knowledge, ability, or experience.
The Registered Insurer must be satisfied that the member’s disability is both total and permanent.
Once classified as Disabled, the member is entitled to a benefit equivalent to what would have been payable had they passed away on the day they became disabled. This benefit is subject to a maximum amount determined periodically by the Registered Insurer.
The current benefit amount stands at N$50,000. The waiting period is defined as six consecutive months of absence from the employer’s service starting from the first day of absence from work. Payment of the disability benefit will be made in a single lump sum.
DEATH BENEFITS
In the event of a member’s death while in service, a lump sum benefit of N$50,000.00 will be disbursed with the member’s fund credit within 12 months. The responsibility of distributing death claims lies with the Trustees.
Please ensure that your family provides the following originally certified copies to the fund for the timely processing of your death claim:
– Member Death Certificate
– Member ID
– Marriage certificate (if applicable)
– The ID or passport of your spouse
– Full birth certificates of member children
– Original Beneficiary Nomination Form
– Affidavit required from all beneficiaries asserting dependency and confirming their relationship with the deceased member.
FUNERAL BENEFITS
If a member passes away while in service, a funeral benefit of N$20,000.00 will be paid to their immediate family as a lump sum within 48 working hours, in accordance with the Rules. This benefit extends to the member’s qualifying spouse and biological children up to the age of 21, including still-born children.
| Details | |||||||||||||||
| Family Funeral Package | |||||||||||||||
|
| ||||||||||||||
BENEFICIARY NOMINATION FORMS
The purpose of the Beneficiary Nomination Form is to advise the Trustees of your dependents and / or nominees and to assist them in distributing your death benefit. This form must be kept up to date at all times. Any changes that you would like to effect at any given time should be indicated on a Beneficiary Nomination Form which can be obtained from the Human Resources Department.