The Nationwide Pension Fee (PenCom) has suggested small trade house owners to remit staff’ pension contributions as required by means of legislation and make retirement making plans a concern moderately than rely only on their companies for source of revenue in previous age.
Samuel Uwandu, PenCom’s commissioner for inspectorate, gave the recommendation on Tuesday at an engagement with small and medium-sized enterprises (SMEs) and casual sector operators in Lagos, on the second one day of the 2026 Nationwide Pension Week.
The 2026 Nationwide Pension Week is scheduled to run from 26 to 30 October making plans and inspiring wider participation in Nigeria’s pension gadget.
On the tournament, Mr Uwandu mentioned well timed remittance of pension contributions used to be each a criminal legal responsibility and a duty employers owed staff whose efforts contributed to the luck in their companies.
“Pension contributions deducted from staff’ salaries will have to be handled with the seriousness they deserve and remitted in line with the regulations of the Federal Executive of Nigeria,” he mentioned.
He warned that not on time or unremitted contributions may just undermine staff’ retirement safety and weaken public self belief within the pension gadget.
“Compliance with pension responsibilities isn’t simply a regulatory requirement; it’s an expectation and duty of commercial management, and appreciate for the individuals who help in making the trade be successful,” he mentioned.
The commissioner mentioned staff’ wisdom, abilities and dedication have been crucial to trade expansion, including that employers will have to recognise their contributions by means of assembly their statutory responsibilities, paying salaries when due and offering secure operating prerequisites.
“Staff aren’t merely a value of doing trade. They’re companions in development the undertaking,” he mentioned.
Plan for retirement
Mr Uwandu additionally suggested marketers to organize financially for retirement as a substitute of assuming their companies would proceed producing source of revenue indefinitely.
He mentioned many trade house owners trustworthy their best years to development their enterprises, reinvesting profits and supporting their households however paid little consideration to their very own retirement.
In keeping with him, trade house owners will have to imagine how they’d maintain themselves when age, sickness, financial difficulties or different instances made it tricky to proceed operating.
“As your corporation grows, you will have to additionally start to get ready on your monetary long run and retirement,” he mentioned.
He steered marketers to domesticate a financial savings tradition, put aside retirement price range one by one from their trade operating capital and discover suitable long-term financial savings preparations.
Mr Uwandu mentioned the Private Pension Plan (PPP) underneath Nigeria’s contributory pension framework supplies a retirement financial savings possibility for eligible self-employed Nigerians and folks operating within the casual sector.
He suggested trade house owners to hunt steering from approved pension fund directors and PenCom at the preparations acceptable to them.
“The central message right here is understated: retirement making plans will have to now not start simplest when an individual is coming near retirement age.
“It will have to be received when there’s nonetheless time to save cash, give a contribution, take pleasure in long-term accumulation, and construct monetary resilience,” he mentioned.
He added that marketers will have to intention to retire with dignity moderately than stay fully depending on their companies or monetary reinforce from their households.
Prioritising sustainable expansion
Past pension compliance, Mr Uwandu suggested small trade house owners to fortify their monetary control practices to make stronger the sustainability in their enterprises.
He steered them to handle correct monetary information, separate private budget from trade accounts, organize source of revenue and expenditure responsibly, and reinvest an affordable portion in their earnings into their companies.
READ ALSO: PenCom pushes early pension savings among Gen Z, informal workers
He mentioned reinvestment may just lend a hand trade house owners achieve higher apparatus, make stronger era, amplify stock, teach staff and achieve new markets via promoting.
“The place earnings are fed on fully by means of instant private wishes, the trade would possibly combat to amplify or resist sudden demanding situations,” he mentioned.
On the other hand, he wired the wish to stability reinvestment with private monetary wishes, noting that sustainable companies will have to reinforce each expansion and the long-term safety in their house owners.
Mr Uwandu also known as at the executive to offer an enabling surroundings for companies, noting that SMEs give a contribution to employment, abilities construction, native manufacturing and financial actions throughout communities.
He inspired individuals to make use of the engagement to percentage reviews, establish sensible answers and decide to movements that will make stronger the possibilities of Nigerian companies and the welfare in their staff.
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