Social Security
Pension Rights
For full pension, a worker must have attained 55 years of age (age 60 for persons whose insurance period began after August 14, 2015) with at least 180 months of contributions. Early Pension is available to workers having attained the age of 50 years (age 55 for persons whose insurance period began after August 14, 2015) with at least 180 months of contributions. The contribution is reduced by 12 months for each year the insured was older than age 38 for those who were aged 39 to 48 on 1 February 2000. The general retirement age is now 60 years. The early retirement age is 55 years while the late retirement age is 65 years.
The monthly pension is an insured worker's average monthly earnings multiplied by the number of months of contributions and the replacement rate. The amount of monthly pension ranges from 20%-40% of the national average monthly earnings. The early pension is at least 20% of the national average monthly earning.
If a worker does not meet the eligibility conditions for pension, he/she would be eligible for old-age settlement as a lump-sum payment.
The National Pension Scheme (Amendment) Act, 2023 introduced partial withdrawals and flexible retirement options. Workers who have contributed for at least 60 months (5 years) can withdraw 20% of their pension savings before reaching retirement age.
Source: §18-22 of the National Pension Scheme Act No. 40 of 1996; ISSA Country Profile Zambia
Dependents' / Survivors' Benefit
National Pension Scheme Act provides for survivors' benefit to the dependents only if, at the time of death, the worker was in recopy of retirement pension or invalidity pension; was entitled to invalidity pension or had at least 60 months of contributions. Eligible survivors include the spouse and children younger than age 18 (age 25 if a student, no limit if disabled).
The amount of survivor pension is equal to the old-age or disability pension the deceased received or was entitled to receive at the time of death. If the deceased was not of pensionable age at the time of death, the disability pension is paid according to the date of death as the date of onset of disability. In case of more than one eligible survivor, the pension is split according to a schedule in law. The survivors' pension is available to the spouse until death (or remarriage). If the surviving spouse is younger than 45 years and has no children with the deceased worker, a limited pension is paid for two years. If the deceased worker was already in receipt of old age or disability pension, this pension is replaced by the survivors' pension.
A lump-sum payment is also available to survivors if the deceased worker did not meet the qualifying conditions. Funeral grant, as a lump sum of 10 times the minimum pension, is paid to the survivor, only if the deceased received or was entitled to receive an old-age or disability pension, or had at least 12 months of contributions in the 36 months before death. If there is no survivor, the grant is paid to the person who paid for the funeral.
Source: §29-34 of the National Pension Scheme Act No. 40 of 1996; ISSA Country Profile for Zambia
Invalidity Benefit
The National Pension Scheme Act provides for invalidity benefit in the case of non-occupational accident/injury/disease resulting into permanent invalidity. Invalidity pension is available if a worker suffers from permanent invalidity or is under pensionable age but has either met requirements for old age pension or has paid at least 60 monthly contributions of which 12 were paid in the period of 36 months immediately preceding the beginning of invalidity.
The minimum amount of invalidity pension is 20% of national average earnings. Amount of invalidity pension is either calculated monthly old-age pension or the minimum monthly pension, whichever is greater, is paid. The insured is credited with 1.5% of indexed monthly earnings for each year of work lost from the time the disability began until the normal retirement age.
Source: § of the National Pension Scheme Act No. 40 of 1996; ISSA Country Profile for Zambia
Regulations on Social Security
- National Pension Scheme Act (No. 40 of 1996)
