The recently announced Golden Pension Plan (GPP) for expatriates in the UAE will help boost their pension funds.
Expatriates in the UAE – mainly rely on gratuity as their retirement plan.
Be part of a pension scheme and save more with monthly contributions starting at Dh100
Suvarna Pension Scheme is not compulsory for employees but is a voluntary savings measure.
Employees can choose not to be part of the scheme. The company cannot dictate to the employees how much they should save each month.
“Employees have complete flexibility in terms of contributions they wish to make. However, the minimum amount required to be a part of the scheme is AED 100.
Although it is not mandatory, we encourage everyone to supplement the gratuity invested by their employers as it is a great way to prepare for the future. Not only will they save, but they also have the opportunity to earn competitive returns for every dirham saved and qualify for the 35 million dirham rewards program offered by National Bonds.
Under the GPP program, registered employees are eligible for all rewards program prizes.
When can the amount be recovered?
The total amount and the profit earned on it can be recovered when the employees claim their end-of-service benefits in the company.
"With the prior consent of the employer, an employee can avail partial recovery of accumulated funds while still in employment. Employees can continue to contribute to their accounts even after retirement.
GPP, companies can deposit aggregated gratuity funds in their company's central account with national bonds. They have the facility to open individual accounts for their employees and allow gratuity for all of them.
Employees can track their gratuity, savings, profits, and winnings in real-time through the National Bond mobile application.
The pension fund invests in a variety of low to medium-risk Shariah-compliant asset classes decided in conjunction with the corporate during the sign-up process.