Social Security
Pension Rights
The constitution of Uganda states that all citizens have the right to a pension and retirement benefits. National Social Security Fund Act, 1985 provides old age benefits to a worker (male and female) who has attained the age of 55 years. An early retirement benefit can also be claimed at the age of 50 years. For different benefits under the Social Security Act, a worker contributes 5% of his gross monthly earnings, while an employer contributes 10% of a worker's gross monthly earnings to the National Social Security Fund (NSSF). A lump sum of total employer & employee contributions plus interest is paid as a pension.
In cases of early withdrawal, the person with less than four years of contributions to NSSF, including switching to another approved pension plan, or permanently emigrate will receive a lump sum of employee contributions plus accrued interest (remaining balance is paid into a reserve account).
There are also regulations for mid-term access to the benefits (draw a portion of accumulated benefit): a person who is a member of the fund with at least 10 years of contributions will receive 20%, and a disabled member (45 years of age) with at least 10 years of contributions will receive a sum of 50 % of the accrued benefits.
The pension must be exempted from tax and reviewed periodically according to the value of money. It must be easily accessible and paid regularly.
Uganda Retirement Benefits Regulatory Authority, regulate and supervise the establishment, management and operation of retirement benefits schemes, in both the public and private sectors.
Source: § 254 of the Constitution of Uganda 1995, amended in 2018; §20 of the National Security Act (Cap. 222) 1985; §4 of the National Social Security Fund (Midterm Access to Benefits) Regulations. 2022; §5 of the Uganda Retirement Benefits Regulatory Authority Act, 2011; ISSA Country Profile for Uganda, 2022
Dependents' / Survivors' Benefit
The National Social Security Fund Act provides survivor benefits to dependents, including the surviving spouse, dependent children (under the age of 18), parents and brothers, grandparents or next-of-kin, and the person who had paid for the funeral. A lump sum of total employee and employer contributions plus interest is paid to the dependents as survivors' benefits if an insured worker dies before retirement. In case of death after retirement, A lump sum of total employee and employer contributions plus accrued interest minus previous withdrawals will be paid.
Source: §24 of the National Security Act 1985; ISSA Country Profile for Uganda
Invalidity Benefit
The National Social Security Fund Act provides for invalidity benefits in the case of illness, an occupational accident resulting in permanent total invalidity for any work that he or she was able to perform before the disability began or permanent partial invalidity that prevents the worker from earning a reasonable living. A lump sum of total employee and employer contributions plus interest is paid in the case of permanent disability to the employee.
Source: §22 of the National Security Act 1985; ISSA Country Profile for Uganda
Regulations on Social Security
- Employment and Labour Relations Act, 2004
Pension Rights
The constitution of Uganda states that all citizens have the right to a pension and retirement benefits. National Social Security Fund Act, 1985 provides old age benefits to a worker (male and female) who has attained the age of 55 years. An early retirement benefit can also be claimed at the age of 50 years. For different benefits under the Social Security Act, a worker contributes 5% of his gross monthly earnings, while an employer contributes 10% of a worker's gross monthly earnings to the National Social Security Fund (NSSF). A lump sum of total employer & employee contributions plus interest is paid as a pension.
In cases of early withdrawal, the person with less than four years of contributions to NSSF, including switching to another approved pension plan, or permanently emigrate will receive a lump sum of employee contributions plus accrued interest (remaining balance is paid into a reserve account).
There are also regulations for mid-term access to the benefits (draw a portion of accumulated benefit): a person who is a member of the fund with at least 10 years of contributions will receive 20%, and a disabled member (45 years of age) with at least 10 years of contributions will receive a sum of 50 % of the accrued benefits.
The pension must be exempted from tax and reviewed periodically according to the value of money. It must be easily accessible and paid regularly.
Uganda Retirement Benefits Regulatory Authority, regulate and supervise the establishment, management and operation of retirement benefits schemes, in both the public and private sectors.
Source: § 254 of the Constitution of Uganda 1995, amended in 2018; §20 of the National Security Act (Cap. 222) 1985; §4 of the National Social Security Fund (Midterm Access to Benefits) Regulations. 2022; §5 of the Uganda Retirement Benefits Regulatory Authority Act, 2011; ISSA Country Profile for Uganda, 2022
Dependents' / Survivors' Benefit
The National Social Security Fund Act provides survivor benefits to dependents, including the surviving spouse, dependent children (under the age of 18), parents and brothers, grandparents or next-of-kin, and the person who had paid for the funeral. A lump sum of total employee and employer contributions plus interest is paid to the dependents as survivors' benefits if an insured worker dies before retirement. In case of death after retirement, A lump sum of total employee and employer contributions plus accrued interest minus previous withdrawals will be paid.
Source: §24 of the National Security Act 1985; ISSA Country Profile for Uganda
Invalidity Benefit
The National Social Security Fund Act provides for invalidity benefits in the case of illness, an occupational accident resulting in permanent total invalidity for any work that he or she was able to perform before the disability began or permanent partial invalidity that prevents the worker from earning a reasonable living. A lump sum of total employee and employer contributions plus interest is paid in the case of permanent disability to the employee.
Source: §22 of the National Security Act 1985; ISSA Country Profile for Uganda
Regulations on Social Security
- Employment and Labour Relations Act, 2004
