SSSF allows purchase of notional service years

Sharjah 24: As part of its pioneering vision to achieve a decent living and provide a comprehensive social protection umbrella, the Sharjah Social Security Fund (SSSF) has confirmed that insured employees can benefit from the service of purchasing a notional period, pursuant to the provisions of Law No. (5) of 2018 regarding social security in the Emirate of Sharjah. This strategic step aims to improve the value of pensions and enhance financial security for the future.

Boosting pension

This service is one of the most prominent tools offered by the Fund to expand the scope of social protection, enabling insured individuals to increase the value of their retirement pension upon fulfilling the requirement of completing 20 years of actual contribution. They are then entitled to purchase a notional period of service to be added to their actual years of contribution, which positively impacts the value of the pension upon retirement.

The Fund explained that the notional period is a period of time that the insured has not actually spent in employment, but which they can purchase for the purpose of improving their pension. This period does not exceed five years for men and ten years for women, provided that the insured has actually completed 20 years of actual contribution to the system and that they bear 20% of the contribution account salary for each year they wish to purchase.

Mohammed Obaid Al Shamsi, Director General of SSSF, explained that the purchase of the notional term service represents a strategic opportunity for insured persons to increase the value of their retirement pension. He emphasised that this service is part of the Fund's efforts to enhance financial stability and ensure a decent life for citizens after retirement.

Al Shamsi stated that regarding the payment mechanism, the Fund has provided flexible options for insured persons, whereby the purchase cost can be paid in a single payment of no less than 50% of the total value, or the remainder can be paid in installments over a period not exceeding the age of 60 for men and 55 for women, provided that full payment is made before the end of their employment.

Stable life after retirement

Al Shamsi noted that this approach is in line with the vision of His Highness Sheikh Dr. Sultan bin Mohammed Al Qasimi, Supreme Council Member and Ruler of Sharjah, to provide a robust social security system that guarantees a stable life for nationals and their families after retirement, and provides them with financial and moral security, thus enhancing the sustainability of giving and establishing the principle of sound planning for the future.

Al Shamsi emphasised that, through this initiative, SSSF embodies its continued commitment to creating flexible solutions that empower employees to make strategic decisions regarding their retirement future. This initiative also reinforces the concepts of financial responsibility and savings by encouraging insured persons to take advantage of their legal rights, which maximises their retirement benefits and those of their families.

Enhancing employees wellbeing

Al Shamsi noted that these efforts also fall within the framework of the Fund's mission to enhance citizens' quality of life and contribute to building a more cohesive and prosperous society through effective mechanisms for income protection after retirement, reflecting the depth of commitment to the humanitarian and developmental approach adopted by the Emirate of Sharjah.