GCTU Business School Empowers Students and Participants with Retirement Planning Seminar

The Department of Management Studies’ Welfare Committee has organized a seminar focused on the critical importance of early retirement planning for a secure and comfortable future at the Business School on Wednesday 13th September 2023.

The seminar which witnessed three esteemed speakers, including Ms. Sharon Aseye Amenumey from Databank Ltd, Mrs. Christine Adjei Mensah from the Salvation Army Medical Center, and Mrs. Cynthia Narh aimed at providing invaluable insights into financial management, health management, and the intricacies of Ghana’s social security system.

Ms. Amenumey who made the first presentation on financial management for retirement planning, discussed several important points. Key among them were the financial stages of life, barriers to retirement planning, steps to properly manage finances and the importance of retirement planning indicating that financial discipline was critical in ensuring financial independence and security.

“Discipline is one of the things you need to uphold if you want to be able to plan very well for your retirement.”
Mrs. Mensah, the second speaker, emphasized three crucial points including, investing in one’s health, caring about one’s body and making good life choices in respect of diet, exercise, good rest and avoiding lifestyles like smoking and alcoholism that could negatively impact one’s future life.

Christine emphasized, “What you do today, to your body, will be what you have in 20 years time. So if you want to have a retirement in good health, then in your youth, you have to take care of your body, because that is all you have.”
She also stressed the significance of regular medical checkups and vaccinations to maintain health. She highlighted the availability of vaccines for diseases like Hepatitis B, HPV, and COVID-19. She also encouraged females to undergo mammograms and pap smears, while males should consider prostate examinations as they age.

Mrs. Narh, the final presenter, delivered an insightful presentation on the SSNIT Scheme, emphasizing its significance for individuals of all ages.
She stressed that since retirement is an inevitable cycle, the SSNIT Scheme is designed to provide financial security for all individuals, including the self-employed, irrespective of age and status and it provides the first tier which is the monthly pension, the second tier which is a lump-sum payment by a private entity and the third tier which encompasses individual contributions.
“All of us here will one day have to retire, whether we like it or not. None of us here is going to work forever. Not even the self-employed can say that they are going to work forever. Because along the line, old age and sickness may set in, and you have no choice but to retire.”

The presenter educated participants on the contributions and benefits, noting that workers and employers are expected to share the 18.5% total contribution based on the worker’s declared basic salary. This contribution is divided between the first and second tiers, with SSNIT retaining a portion to invest for future payments. She also explained the eligibility criteria for full and reduced pensions based on age and months of contributions.

“For a full pension, you should be 60, you should have at least made 180 months, and you qualify for a full pension. For a reduced pension, you should meet the 180 months and should be within the ages of 55 through to 59, 11 months.”
The Dean of the Business School, Prof. George Oppong Appiagyei Ampong, who chaired the occasion, emphasized the importance of retirement planning and health in his remarks.

He encouraged students not to underestimate the value of early preparation, stating, “It’s never too late,” and urged them to think about their financial and health futures. Prof. Ampong also stressed that maintaining good health is crucial for a successful retirement and emphasized the correlation between health and financial well-being. He advised students not to procrastinate but to plan for a prosperous retirement.

The seminar served as a vital step towards equipping the GCTU community with the knowledge and tools necessary to make informed decisions and secure a prosperous retirement.