What is Defined Contribution Scheme?
- Member and Employer contribution rates are fixed as a percentage of salary.
- Accumulated contributions are increased with interest to date of retirement.
- Benefit funded by accumulated credit.
- For more info on the Pension Fund Products please visit your branch or call +265 (0) 1 820 677.
- Member contributions are fixed / employer contributions fluctuate
- Actuarial valuations mandatory once every 3 years
- Benefit is based on salary towards retirement, pensionable service and predetermined accrual rate (e.g. 2%)
- Allows for the incorporation of spouses and children's benefits
- Not recommended in inflationary environments