Pension Administration
Pension plans provide employers and employees with a structured, tax efficient mechanism to set aside a portion of salary to provide employees with income during retirement years. For many employees, this employer-sponsored pension plan is the main source of income during retirement.
Additional details:
Pension Administration Services
The administration of pension plans is complex and requires careful assessment so that the proposed solution fits your needs. Guardian Life is committed to the efficient management of your pension plan. Our pension administration solution integrates the four modules critical to administration: employee data, pension plan rules, government legislation and investment funds. Our system meets the requirements of employers, trustees and the pension scheme members by including detailed reporting and audit trails.
We have capabilities for direct linkage with pension plan sponsors where we download data from the employer’s payroll system, additionally we also have the facility for members to view their account balances, beneficiary designation and other pertinent information relative to their pension plan.
Investment Management Services
The sole purpose of a pension plan is the provision of pensions or annuities for employees, either on retirement at a specified age and after completion of a specified period of service or earlier retirement on becoming incapacitated, or on the death of employees, for their widows/widowers, children or other dependents. Thus a pension plan represents a long-term commitment to the welfare of employees at the end of their working career. Guardian Life Limited is guided by our fiduciary responsibility to offer expert advice to the trustees in keeping with the provisions of the Income Tax Act and the Pensions Act 2004. Guardian Life Limited is guided by an investment policy that emphasizes prudence and safety to protect the retirement benefits of Plan members.
Annuity Administration
Guardian Life Limited will provide the necessary administrative support for the efficient administration of the annuities. The relevant provisions of the Income Tax Act of Jamaica, or other applicable statute will govern the payment of annuities.
The Pensions Act
You should be aware that the government has enacted the Pensions Act, 2004. The purpose of this legislation is to provide a proper framework for the overall management of the pension system in Jamaica and thereby protect the interest of all members of pension plans.
The Act provides for licensing of pension plan administrators, licensing of pension fund investment managers and registration of pension scheme trustees. The Act also deals with winding up of pension fund, distribution of pension plan surpluses and provides a means by which members of pension plans can call on the Financial Services Commission to investigate a pension fund if the member feels that his pension rights are being jeopardized.
With the passage of the Pensions Act, phase one of the reform of the pension system in Jamaica is complete. In phase two, issues to be addressed include locking in of pensions, transferability and portability of pension rights, and vesting of pension benefits.