Parliament had approved the increase while passing the NPF Amendment Act 2019.
“The Fund will enforce compliance to the 10% minimum member and employer contribution from 1 January 2022.”
A three year charted scale of the incremental increase of 1 per cent per annum showed that the employee and employers’ contributions in 2019 was 8%, 9% in 2020 and the 10% this year.
According to the SNPF management, the increase of contributions ensures that members will have more funds available to them at retirement and even more so as the Fund plans to build on its record of paying out high yield dividends in the future.
“In addition, increased contributions mean all members have faster access to their entitlements and greater and more flexible options available for borrowing,” SNPF stated.
“The Board and Management of SNPF pledge to invest these contributions in lucrative investments that maximise returns for all members whilst also ensuring a high level of ‘access to finance’ today for our people stimulating economic activity and growth for Samoa.”