Retirement Scheme

INTRODUCTION

The Assemblies of God Ministers’ Pension Scheme (The Scheme) is a welfare scheme, which came into existence through a resolution passed at the 2012 General Council in session at UDS, Wa, Upper West Region and promulgated in January 2013.

Retirement Age

Under the Scheme, the retirement age of an Assemblies of God, Ghana Minister is sixty five (65) years.

What will happen to the existing arrangement where retired pastors are paid monthly allowances?

The beneficiaries of the old Scheme will not be transferred to the new Scheme, nor will new members be admitted into the old Scheme. Eventually the old Scheme will die a natural death. They will continue to receive their monthly allowances as per the present arrangement. Their allowances will however, be reviewed periodically.

Enforcement of the basic SSNIT (Tier 1) and Occupational Pension [Tier 2] Scheme

The National Administrator of the AG Ministers’ Pension Scheme will work with local churches to ensure that ministers of the AG Ghana contribute to the SSNIT Tiers 1, 2 and 3.

Why contributions to SSNIT Tiers 1 and 2 are important?

The contribution to SSNIT, known as Tier 1 will enable contributing Pastors when they attain the SSNIT retirement age of 60 to receive monthly pension payment from SSNIT, can also access the National Health Insurance Scheme. The 2 will enable the contributing Pastor obtain a lump-sum payment from the Fund Manager when s/he attains the age of sixty (60) years.

General Council End of Service Benefit [ESB]

The ESB takes the form of a lump sum payment by the Scheme to a retiring minister at the end of his tenure at age 65. It is based on a biennially (2 years) reviewed notional salary since there is no uniform salary scale in A/G. We are starting with a notional salary of two hundred Ghana Cedis (GH₵ 200.00) and a maximum length of service of thirty (30) years.

The ceiling of thirty years has been imposed in this initial period because of the Scheme’s inadequate financial condition for now. However, as and when the financial position of the Scheme improves the cap will be removed to ensure that Pastors are paid for the whole number of years of service they have rendered.

What will be done to maintain the real value of the notional salary?

The review of the notional salary will always be informed by professional advice.

Retirement Service

In addition to the ESB lump sum payment to the retiring pastor, a befitting retirement service shall be organized for the retiring pastor by the Executive Presbytery through the Scheme with all relevant stakeholders involved. The ESB cheque(s) will be presented to the beneficiary at this ceremony. The retiring pastor’s local church will be required to give a monetary gift to the retiring minister to address a particular perceived need of the pastor as mutually agreed with the District/Regional leadership.

WHO ARE THE ADMINISTRATORS OF THE SCHEME?

The independent body responsible for the affairs of the AG Ghana Pension Scheme is the AG Ghana Pension Board. It is currently made up of the following six (6) members:

Mr. E.Baba Mahama, Chartered Accountant, Chartered Insurer and immediate past M.D of Vanguard Assurance Ltd (Chairman),
Mr. Alex Owusu Ansah, Former Deputy Managing Director of Agricultural Development Bank (Member)
Rev. Sam Ato Bentil, General Treasurer (Member)
Mr. Samuel Ewool, a Chartered Accountant, Chartered Surveyor and M.D of Buena Vistas Homes (Member)
Rev. Peter Bandim, National Administrator of the Scheme
Mrs. Evelyn Daawee-Keelson(Nee Kwakye), Principal State Attorney, Attorney-General’s Dept (Secretary)

How will the Scheme be funded?

Pastors and their churches will contribute to the SSNIT Tiers 1 & 2 and the monthly welfare dues. Where, for reason of being in a deprived area, or being a start-up, etc. a pastor or local church is unable to meet these obligations the General Council, acting through the Executive Presbytery will step in to provide help for not more than five years. The General Council annually will levy all local churches to raise an amount through the Operations Levy for the sub-funding of the Scheme, by the last Sunday in March each year. Proceeds from this activity are invested to earn interest.

Exit Arrangement

Normal exit arrangements will involve systematic notification of the prospective retiree of his exit date five years to time, face-to-face meeting with him to try and understand his individual situation and possible retirement counselling.

Transitional Provisions

The exit arrangement will take into account appropriate compensation for pastors who have had to make their exit soon after or in the middle of major church projects carried out by them.

The Scheme effectively started from January 1, 2013. The Board has two years within which to gather funds and put in place arrangements to ensure that the first batch of retirees can be properly seen off in a befitting manner.

Please, are you sure your name is in the AG Pensions Database?

The benefit of the scheme outlined in this document can be enjoyed only by those whose names are in the AG Ghana Pensions Database.

For further details, a Policy Manual or enquiries you may contact the National Administrator through:

pension@agghana.org

233-277-81339, 233-302-224558, 224048, 235039