Why NSSF deserves applause

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OPINION

By Tom Abise

The rare 13.5% interest declared by NSSF for the financial year 2025 got me fueled up.

I decided to poke around the figures on my NSSF statement just to see what I might not have been thinking about. It was a good idea.  

I was delighted with the energy that kicked in and thought to myself, there is probably music playing out there that many savers are not dancing to.

We battle to earn on a couple of fronts and maybe winning a few, if at all, with the clock ticking away, especially for the middle-aged Prodding these figures can bring a degree of hope, a smile and more as the battle to their financial goals rages on.  

I will start with the law itself. As this portfolio builds up, looking at the total savings before what the savings fetched in interest. I save only 5% against my employers’ 10% which is a win. About 33% is what I have saved, and about 67% comes from the employer(s).

Still, around the law, it is 5% of my gross salary that I throw into this growing financial muscle.

It is doing a good job challenging what I do with the remainder of the course after PAYE, especially if you analyse it in terms of percentages.

Now comes in the interest of the recent and its elder siblings, and the delight continues.

1. Just before this year’s interest was added, accumulated interest commanded about 50% of my account balance. After the years’ interest was added, it rose to 55% of my account balance.
2. Closely related and to more delight, looking at my contributions in the 12 months to June 30, 2025, the interest credited for FY 25 is 2.9 times my total contributions for the 12 months.

When you put together one and two, the thought comes, “probably someone out there is working harder than me without being reminded”.

The fact that the interest was above the rate of inflation is another factor that adds to the flavour.

The other powerful angle to play with, especially when you are in a room where a motivational speaker/colleague is championing multiple income streams, is the monthly breakdown of your annual interest earnings.

Dividing the credited interest this year by 12 reveals what you are quietly earning each month.

Though the funds may not be in your hands yet, they are actively working for your future compounding and growing. After all, your tomorrow is yours to claim, unless proven otherwise, and your financial statement (if you make one) should proudly recognise such an asset.

What makes this income stream even more remarkable is that it demands none of your energy, sleep, or peace to maintain, unlike many others.

The law and compliance of my employers, coupled with the performance of NSSF over the years, deserve applause in building up this portfolio.

On my statement of financial position, it is the only Asset where others are putting in more than myself at the moment.

If your employer is not compliant and you are in a place of influence (say, owner, senior manager, cashier, etc), work on getting them to comply; otherwise, you will be leaving a lot on the table.

Many members of the Fund, especially the middle-aged, regularly battle underperforming investments, piling bills, burnout, etc., the variance between where you wanted to be and where you are smirks and depresses many. Consider trying out this painkiller in addition to the other coping mechanisms you deploy.

While the views expressed are my own, I extend heartfelt appreciation to ChildFund International, my employer, whose contributions account for over 90% of my total and have remained consistent over the years.

Not once have reminders or corrections been necessary. For this unwavering accuracy and timeliness, I say Asante sana to ChildFund International.

The writer is the Global Assurance manager ChildFund International