Thursday, July 18, 2024

“Abu Dhabi Pension” makes amendments to the pension system and introduces new benefits


The Abu Dhabi Pension Fund announced amendments to the Pension Law and introduced new benefits aimed at maintaining a competitive and stable pension system that achieves parity between citizens working in the public and private sectors in the emirate.

These amendments also include a modern and flexible pension system that is compatible with the operational and social needs of the insured and provides an opportunity to receive better pension benefits while continuing to work after the minimum service eligible for retirement.

The amended Act applies to the insured who continue in service, without prejudice to their vested rights, the insured retains the right to calculate pension for their periods of service as per earlier system and the same applies to other insurance benefits. Insurer received under the system prior to amendment.

Among the most important amendments involving the pension system is the increase in the maximum percentage of retirement pension to 100% of salary, subject to deduction on completion of maximum years of service, where the insured receives retirement pension equal to 80% of salary. Subject to deduction on completion of minimum years of service eligible for retirement. (25 years), and he can increase this percentage by an amount equal to 2% annually for each additional year of service until he reaches 100% of the salary course Retirement pension has been stopped at 80%, an exemption that did not exist in the system before the amendment, even if the insured worked for long years.

The Finance said the revised pension law is equal for insurers working in the government and private sectors, it has unified the system of calculating retirement pension for all insured and will be calculated on the basis of average salary. The maximum salary for the insured has been aggregated for the last six years, subject to deduction.

See also  Sustainability of Educational Development | son of Tira

As per the amended law, the percentage of pension contributions was 26% of the salary subject to deduction, of which the new insured pays 11%, while the employer pays 15% without any change in the percentage of pension contributions. Current Insurance (Continuing in Service).

Under the amended Act, the minimum pensionable age has been fixed at 45 years in the first year of application, with a gradual increase of six months every year on completion of 25 years of service till the age reaches 55 years.

Considering the role of the family in building and nurturing society, the revised pension system includes provisions for women who have children, allowing them to benefit from the early retirement system.

These amendments have also provided many new features such as optional subscription system has been introduced for women who have children and women who want to leave work to devote themselves to family during retirement to ensure continuity of retirement benefits.

With the aim of providing an opportunity for national expertise to continue to contribute in various fields, the new amendments allow the joining of retirement pension and salary after completing the maximum years of service or reaching the retirement age specified by law. national economy in the long run.

An insured who fulfills one of the pension conditions under the previous pension system will be eligible for retirement under the new pension system, while being given the option to continue working to benefit from the new benefits offered by the revised system, particularly the possibility of escalation. A percentage of retirement pension is deducted on completion of 100% of salary. Maximum years of service.

See also  "Finance": General rules for determining income subject to corporate tax

Provision of voluntary registration for women with children and postgraduate students.

Bill Dittman
Bill Dittman
"Freelance alcohol fan. Coffee maven. Musicaholic. Food junkie. Extreme web expert. Communicator."

Share post:


More like this

Embrace the Adventure: Discover Dubai’s Dune Buggy Tours

Introduction to the Dubai Dune Buggy Tour Buckle Up, Adventure...

Why Estonia is the Perfect Launchpad for Luxury Brands

The world of luxury fashion is synonymous with elegance,...

The Real Benefits of Being a VIP in the Online Casino Scene

Becoming a VIP can be a long process that...

The Evolution of Online Casino Bonuses: Trends and Future Predictions

Online casino bonuses have transformed from basic sign-up offers...