The Social Security and National Insurance Trust (SSNIT) has announced a 10% indexation of monthly pensions effective January 2026, providing relief to thousands of retirees while prioritizing enhanced protection for those on lower incomes.
The adjustment, approved in consultation with the National Pensions Regulatory Authority (NPRA) and in line with Section 80 of the National Pensions Act, 2008 (Act 766), applies to all pensioners on SSNIT’s payroll as of December 31, 2025. It exceeds the 5.4% inflation rate recorded in December 2024, underscoring the Trust’s dedication to preserving pensioners’ purchasing power.
Director-General of SSNIT, Kwesi Afreh Biney, speaking at a ceremony in Accra, highlighted the significance of the move. “It is also important to state that the current indexation is higher than the recent inflation rate. What that means is that every pensioner on the payroll has been covered by inflation,” he said, emphasizing the Trust’s unwavering commitment to pensioner welfare.
The 10% indexation incorporates a blended approach: a uniform 6% increase for all beneficiaries, with the remaining 4% redistributed as a flat amount to favor lower-income pensioners. This solidarity mechanism ensures more equitable outcomes, with many lower earners receiving effective increases well above the headline rate.
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A key highlight is the strengthening of the pension floor. The minimum monthly pension for new retirees has been raised from GH¢300 to GH¢400, while existing pensioners previously at the GH¢300 minimum will now receive GH¢409.56 per month—an impressive 36.52% rise. This change directly benefits approximately 2,964 new pensioners and provides substantial additional support to vulnerable retirees.
Mr. Biney stressed the focus on equity and sustainability: “This is testament to our commitment to ensure that those at the lower end are as protected as possible, while ensuring sustainability.”
For higher earners, increases align closely with the 10% rate. The highest-paid SSNIT pensioner, who received GH¢201,792.37 monthly as of December 31, 2025, will now receive GH¢213,991.47 in 2026.
The decision was informed by multiple factors, including salary growth among active contributors, projected average inflation of 8% ± 2% by the end of 2025, and careful consideration of the scheme’s long-term financial health.
SSNIT projects disbursing over GH¢7 billion in total pensions throughout 2026, with monthly payouts exceeding GH¢580 million. Payments will continue on the third Thursday of each month.
