The Schemes
What is Social Security?
What Are The Social Security Schemes?
How Are The Schemes Financed?
What Are The Contribution Rates?
When Should Contributions Be Paid?
How Are Contributions Paid?
Can A Member Withdraw Part of His Contribution?
What does NASSCorp Do?
Who can be a member of The Social Security Program in Liberia?
How does one obtain a membership Identification Card?
Update of Personal Records
Benefits and Qualifying Conditions
Disablement Benefit
Death Benefit i.e. dependent's benefit to widow, children, etc.
Constant Attendance Allowance
Funeral Grant
Medical Care
How does one get Retirement Pension?
How does one get Invalidity Pension?
If one dies before age 60, what happens to his/her contributions?
The Role of Investment in the Scheme
What is the Future of Social Security in Liberia?
What is Social Security?
Social Security is a program, which provides insurance coverage to workers and/or their dependents in the event of interruption in their income by sickness, injury or death. Since most people don't put aside money for old age or unforeseeable contingencies of life, Social Security can help by providing cash income for them when they are no longer working and medical care whenever they sustain job-related injury. Top
What Are The Social Security Schemes?
The Social Security Schemes of NASSCORP operates/administers a defined benefit contributory schame.
Employment Injury Schame (EIS) is funded by contributions solely from employers for the benefit of the employee.
National Pension Scheme (NPS) is funded by contribtuion in equal amount from both employers and employees for the benefit of the employees. Top
How Are The Schemes Financed?
The schemes are financed by both employer and employee, through contribution payment. Top
What Are The Contribution Rates?
The contribution rate is 7.75%. The employer pays 4.75% while the employee pays 3%. Employer contributes 1.75% for the Employment Injury Scheme and 3% on behalf of his employee under the National Pension Scheme. Employee contributes 3% for his/her pension. Top
When Should Contributions Be Paid?
Contributions to the program are paid on a monthly basis. Top
How Are Contributions Paid?
Contributions are paid to recognized banks, authorized employees of NASSCORP and to the cashier office at the Corporation's head office. Top
Can A Member Withdraw Part of His Contribution?
No. Social Security is not like a bank where one can automatically carry out withdrawal. There are qualifying conditions for one to receive benefits. Top
What does NASSCorp Do?
The National Social Security and Welfare Corporation provides cash income for the protection of its members in the interruption of their income due to injury, invalidity, old-age or death and to dependents of the deceased insured person.
Its statutory duties are:
- Register all employees and issue them individual Social Security numbers
- Collect contributions of members and compile relevant data related to the contributions
- Maintain and update personal and financial records on members
- Process and pay benefits for members when due
Manage and invest the Social Security funds. Top
Who can be a member of The Social Security Program?
All persons employed by entities within the length and breadth of Liberia. The Employment Injury Scheme protects employees who are employed by any employer employing one (1) or more employees while the National Pension Scheme covers all employees who are working in Liberia (abroad for Liberian employer) for an employer who has five (5) or more employees.
Exemptions from the schemes are:
- Domestic servants, casual workers, members of the employer's family, seamen working aboard ships flying Liberian flag around the world, and members of the security forces are excluded under the Employment Injury Scheme.
Persons born before September 1, 1929, persons under the age 16 or above the age of 65, persons who earn less than L$50.00 monthly from a job, wives working for their husbands ( or vice versa), members of the Armed Forces are excluded under the National Pension Scheme. Top
Membership Identification Card?
Each insured worker is entitled to an I.D. Card which must be safely kept as long as you are in an entity. If your Social Security ID Card gets missing, inform your employer about it so that NASSCORP may issue you another one. Top
Update of Personal Records
Personal records of employers and employees are updated periodically. Employers' records are updated in conformity with NASSCORP Act/Regulations to ensure that employers pay their contributions and that employees receive their just entitlements when due. They enable us to prepare and issue statements of . account to employees on a regular basis. Top
Benefits and Qualifying Conditions
- An employee qualifies for benefits under the Employment Injury Schemes if he/she sustains job-related injury or become disabled as a result of an accident arising out of his/her employment. Dependents of an employee who dies as a result of such an accident are also entitled to benefits. Top
The Employment Injury Scheme (EIS) provides five (5) benefits. They are:
- Disablement Benefit
- For Temporary Disablement Benefit (TDB), the insured person receives benefit payable at the rate of 65% of his/her monthly remuneration for the duration of the temporary disablement.
- For Permanent Disablement Benefit (PDB), assessed at 100%, the benefit is payable at the rate of 65% of his/her monthly remuneration in a monthly pension manner. Top
- Death Benefit i.e. dependent's benefit to widow, children, etc.
- Death Benefit (DB) is payable to the widow of the insured deceased employee for life or till remarriage. Children are entitled to same till they attain age 18 or 21, if continuing education. In case there's no widow, the benefit is paid to a parent or grandparent for life. The rate of benefit is 50% of the deceased's monthly earnings. The widow receives 20%, while the balance 30% is paid to the children. Top
- Constant Attendance Allowance
- Constant Attendance Allowance (CAA) If an insured person who is entitled to Permanent Disablement Benefit is so severely incapacitated as to constantly require the personal attendance of another person, he or she shall be entitled to Constant Attendance Allowance. The CAA is 25% of the rate of Permanent Disablement Benefit admissible to the disabled person. CAA is payable for as long as the insured remains so severely incapacitated as to constantly require the personal attendance of another person. Top
- Funeral Grant
- This is $500.00 (depending on the currency in which contribution was made) given to the person who incurs funeral expenses. Top
- Medical Care
- Medical Care Medical Benefit is awarded immediately following a job-related accident. The standard of medical care consists of out-patient and in-patient treatment, all necessary drugs and dressing, pathological and radiological investigations, specialist consultation and care, etc. Medical care is provided at recognized hospitals and clinics.
An insured person is eligible for pension if he/she retires from work due to old age or invalidity, and dependents of deceased member of the scheme are also eligible for survivors' pension provided their breadwinner made at least 50 (Fifty) monthly contributions to the scheme regardless of age.
The three types of benefits under the NPS are:
- Retirement Pension
- Invalidity Pension
- Survivors' Pension
However, in a situation where one cannot qualify for full pension, whatever amount paid to the scheme for more than 12 months will be refunded with interest at the prevailing market rate as grant, i.e., Retirement Grant, Invalidity Grant and Survivors' Grant. Top
7.1 How does one get Retirement Pension?
An insured person is entitled to retirement pension of 25% of his/her average earnings for life, if he/she satisfies the following conditions:
(a) He/she attains age 60 (or maximum 65) and retires from work
(b) He/she pays a monthly contribution of 3% of his/her average earnings for 100 months ( or eight (8) years and (4) four months). His/her employer must also make a concurrent monthly contribution of 3% of the worker's average monthly earnings. For each 10 months' contributions paid in addition to the first 100, the rate of pension benefit will be increased by 1%. Top
7.2 How does one get Invalidity Pension?
If you are permanently incapable of work because of some disease or disablement, you can get an Invalidity Pension even before age 60. You will get Invalidity Pension of 25% of your average earnings for life. However, you must satisfy two conditions:
(I) Medical Condition – You have to be examined by a medical board, which will decide whether or not you are permanently incapable of work
(II) Contribution Condition – You must have paid at least 50 monthly contributions during the last 60 months prior to your stopping work, or you must have paid contributions for at least two-third of all possible months from the date you joined the scheme. Top
7.3 If one dies before age 60, what happens to his/her contributions?
As long as you have paid at least 50 monthly contribution, Survivors' Benefit (Pension) will be paid to your dependents. A widow receives for life or till remarriage 50% of what the deceased would have received before he/she died. Each child ( up to a maximum of five (5) ) will gat 10% of your pension entitlement. The children will receive allowance up to age 18 or until they finish full-time education. Top
The Role of Investment in the Scheme
The Act of NASSCORP empowers it to invest 25% of the Corporation's reserve Capital into profitable ventures. Investment is an integral part of the Corporation's functions, as returns from investment supplement contributions collected from employers and strengthens the liquidity position of the Corporation. The institution has undertaken short and long-term investment initiatives aimed at enhancing the viability of the Corporation. Top
What is the Future of Social Security in Liberia?
The future of Social Security in Liberia lies in improving upon the performance of existing schemes, widening the coverage of the program to include the informal sector; and the launching of the third scheme, the Welfare Scheme. Strengthening cooperation and collaboration with employers in the administration of the program will ensure a successful future of the Social Security Program. Creating and increasing awareness about the program to make it understood and accepted by the insured population and the general public is, by all accounts, pivotal to the future growth and viability of the Liberian Social Security Program, the objective to which we have dedicated ourselves. Top
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