PenCom Circular on Personal Pension Plan Contribution Categorisation

PenCom Nigeria Circulars

Published January 23rd, 2026

Detected March 23rd, 2026

Summary

The National Pension Commission (PenCom) has issued a circular directing Pension Fund Administrators (PFAs) to distinctly categorise contributions under the Personal Pension Plan (PPP). PFAs must now differentiate between 'Self-Contributions' and 'Employer-Remitted Contributions' in all reporting and statements, effective immediately.

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What changed

The National Pension Commission (PenCom) has issued a directive requiring all licensed Pension Fund Administrators (PFAs) to implement a clear categorisation of contributions under the Personal Pension Plan (PPP). This directive mandates the distinction between 'Self-Contributions' (made directly by individuals) and 'Employer-Remitted Contributions' (made by employers on behalf of employees with authorization). This change is intended to enhance transparency, data integrity, and regulatory oversight of PPP contributions.

PFAs must update their internal systems, operational processes, and reporting templates to reflect this new categorisation. This includes ensuring the distinction is clearly shown in all periodic returns, reports, data submissions to PenCom, and in statements issued to contributors. PFAs are also required to maintain accurate and auditable records of all contributions. Non-compliance with this directive will result in appropriate regulatory sanctions, and the circular takes immediate effect.

What to do next

Update internal systems and reporting templates to distinguish between self-contributions and employer-remitted contributions for PPP.
Ensure all periodic returns, reports, and statements clearly reflect the new contribution categorisation.
Maintain accurate and auditable records identifying the source and nature of all PPP contributions.

Penalties

Appropriate regulatory sanctions in accordance with the Commission's Regime of Sanctions.

Source document (simplified)

NATIONAL PENSION COMMISSION

Plot 174, Adetokunbo Ademola Crescent, Wuse Il, Abuja. P.M.B. 5170 Wuse, Abuja, Nigeria Tel: +234-9-4138736-40, 09-6720091, 6720094, 4133398, 4133363 www.pencom.gov.ng

CIRCULAR

REF: PenCom/lNSP/Surv/2026/87 DATE: 23 January, 2026 TO: All Licensed Pension Fund Administrators SUBJECT: CATEGORIZATION OF CONTRIBUTIONS UNDER THE PERSONAL PENSION PLAN

1.0 The National Pension Commission (“the Commission”) refers to the Guidelines on the Personal Pension Plan (PPP), particularly Sections 2.1 and 2.3, which provide that existing Voluntary Contributions under the Contributory Pension Scheme shall form part of the PPP, and that contributors may make additional pension contributions either directly or through their employers. 2.0 Pursuant to the above provisions and in exercise of its regulatory powers, the Commission hereby directs all Pension Fund Administrators (PFAs) to distinctly categorise contributions under the PPP as follows: 2.1 Self-Contributions – contributions made directly by contributors in their personal capacity; and 2.2 Employer-Remitted Contributions – contributions remitted by an employer on behalf of an employee, pursuant to written authorisation issued by the employee.

3.0 PFAs shall ensure that the above categorisation is clearly reflected in:

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3.1 All periodic returns, reports, and data submissions rendered to the Commission; and 3.2 Statements of Retirement Savings Accounts (RSAs) and any other contribution statements issued to contributors.

4.0 PFAs shall maintain accurate, verifiable, and auditable records sufficient to

identify the source, nature, and mode of remittance of all contributions under the PPP. 5.0 PFAs shall update their internal systems, operational processes, and reporting templates as may be required to give full effect to this directive. 6.0 This directive is issued to enhance transparency, data integrity, regulatory oversight, and clarity in the treatment of contributions under the PPP. 7.0 Non-compliance with the provisions of this directive shall attract appropriate

regulatory sanctions in accordance with the Commission’s Regime of Sanctions .. 8.0 This Circular takes immediate effect. All enquiries regarding this Circular should be directed to the to the Head, Micro Pensions Department. Thank you.