PenCom: Uncredited Pension Contributions Hit N99.28 Billion as Owners Remain Unidentified

Uncredited pension contributions in Nigeria have accumulated to a staggering N99.28 billion as of March 2026, according to the National Pension Commission (PenCom).

PenCom has made efforts to identify the rightful owners of these substantial funds without success and is preparing to make a decision regarding their disposition. These figures represent deductions made by employers from employee salaries for pension contributions that were never credited or paid into the respective Retirement Savings Accounts (RSAs).

The commission disclosed these figures during a one-year anniversary event for the Pension Contribution Remittance System (PCRS). Saleem Muhammad, Director of PenCom's Surveillance Department, noted that approximately 70% of the uncredited contributions stem from private sector employers, with the remaining 30% coming from the public sector.

Muhammad attributed the accumulation of these uncredited contributions to deficiencies in the former manual remittance system. Key issues include missing contribution schedules, invalid or incorrect RSA Personal Identification Numbers (PINs), mismatched RSA PINs and Pension Fund Administrators (PFAs), database inconsistencies, unidentified payment sources, remittances from personal accounts, weak employer payroll controls, and inadequate Know Your Customer (KYC) procedures. These systemic weaknesses have significantly increased reconciliation efforts and delayed the allocation of contributions to the correct accounts.

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Key causes of uncredited contributions include missing contribution schedules, invalid or incorrect RSA pins, mismatch between RSA PIN and PFA, database inconsistencies, unidentified payment sources, remittances form personal accounts,weak employer payroll controls , weak KYC and data remediation and separation of payment from schedule submission