Withdrawing from the Fund
A member may only withdraw from the fund on termination of employment with their employer in accordance with the Penpro Provident Fund and Penpro Pension Fund General Rules.
Members have the following options when withdrawing from the Fund:
- Cash Withdrawal
Tax may be payable on any cash portion taken.
- Transfer to another Fund
Members may request to transfer all or part of their funds to their new employer’s fund, or into a Preservation Fund.
- Part Cash/Part Transfer
Same rules apply as per (1) and (2) above.
- Obtain a Withdrawal Form from your Employer or download a form here.
- Complete the Withdrawal Form in full and obtain the required Company signature and stamp.
- Gather all other documents required according to the type of withdrawal (see Documents Required below).
- Ask your Company to submit the completed Withdrawal form and documents to Penpro Administrators OR
- email the documents to firstname.lastname@example.org OR
- fax the documents to 0866 815 992
Understanding the Employee and Employer Contributions
- The amount deducted from the member‘s monthly salary/wage.
- The entire amount is credited directly to the member’s investment portfolio each month.
- The amount paid by the company, which may be less, equal to or more than the employee contribution, depending on the special rules set by the Participating Employer.
- This amount is used to pay for Risk premiums if any (e.g. life cover, funeral, disability), commission to the broker appointed by the Employer and administration fees due to Penpro Administrators.
- The balance of the Employer Contribution after these costs is credited to the Member’s investment portfolio.
- Contributions must be received into the relevant umbrella fund account by no later than the 7th day of the month following the month of contribution (salary month). E.g. if the month of contribution (salary month) is January, then the fund contribution must be received by the fund by no later than the 7th of February.
- Every contribution payment must be accompanied by a schedule containing a breakdown of contributions for the employees of the company.
- The schedule contains Employee name, ID number, Salary, contribution breakdown, etc.
- No investments can be processed until both the payment and contribution schedule for the contribution month have been received by Penpro Administrators.
- Penpro Administrators is bound by the terms of the Pension Fund Act to report late and non-payment of contributions and to apply appropriate penalties to the defaulting Participating Employer. Penalties accrue to the Financial Services Board.
Processing of Contributions
- The contribution payment and schedule are processed in the Penpro system.
- The investment portion is paid over to the relevant investment house.
- Confirmation of this investment is returned from the investment house within 2-4 days.
- The confirmation of investment includes the unit rate at which the funds were invested and the number of units purchased in total.
- The investment confirmation is processed in the Penpro system to allocate units to each member of the participating employer according to each member’s contribution amount.