SSNIT sets 2026 pension indexation at 10%, raises minimum pension to GH¢400

The Social Security and National Insurance Trust has approved a 10 percent pension indexation for 2026, lifting the minimum monthly pension and skewing gains toward low-income retirees as it seeks to balance social protection with the long-term sustainability of the fund.

The decision, taken in consultation with the National Pensions Regulatory Authority and in line with the National Pensions Act, raises the minimum monthly pension for new retirees to GH¢400 from GH¢300.

Existing pensioners currently on the minimum will see their monthly payments increase to GH¢409.56, a jump of 36.52 percent, according to a statement issued by SSNIT.

The indexation framework applies a uniform six percent increase to all pensions, alongside a redistributed flat amount of GH¢91.56 drawn from the remaining six percent of the overall adjustment. This structure is designed to deliver higher effective gains to pensioners at the lower end of the scale while keeping increases for higher earners closer to the headline rate.

SSNIT said the approach reflects the solidarity principle underpinning social security systems, where redistribution is used to narrow disparities among beneficiaries.

“Redistribution is a mechanism applied to the indexation rate to cushion low-earning pensioners in conformity with the solidarity principle of social security,” the trust said, adding that defined benefit schemes such as SSNIT’s naturally mirror contributors’ historical salary levels.

In explaining the rationale for the 2026 adjustment, SSNIT pointed to a combination of macroeconomic and scheme-specific factors, including salary growth among active contributors, projected average inflation of 8 percent plus or minus two percentage points by the end of 2025, and the implications of higher payouts for the fund’s long-term financial health.

While the changes strongly favour low-income pensioners, higher earners will also see nominal increases. The highest-paid SSNIT pensioner, who received GH¢201,792.37 per month as of December 31, 2025, will see their pension rise to GH¢213,991.47 in 2026, broadly in line with the overall indexation rate.

“The effective increase in pensions for 2026 will vary across the pension spectrum, reflecting differences in pension levels and the impact of redistribution,” SSNIT said.

The Trust noted that low-income pensioners will experience “substantially higher effective increases” due to the strengthened minimum pension floor.

Pension payments under the SSNIT scheme will continue to be made on the third Thursday of every month.

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