Abstract
The study looked at separation and the problems associated with Nigeria's contributory pension system. The main purpose of contributory Pension Scheme was created was to give Nigerian workers financial security after retiring from active service. The scheme is designed in such a way that it allows both the employer and the employee to contribute certain amount of money into the Retirement Savings Accounts (RSAs).The National Pension Commission set strict rules for how the money can be managed and withdrawn. The Contributory Pension Scheme, on the other hand, faces a number of systemic problems. These include not enough money in the retirement savings accounts, a lack of accountability and openness, wrong estimates of retirees' life expectancy, and delays in paying out lump sums and other retirement benefits. All of these problems have a big impact on the scheme's goals. The main goal of the study was to look at the problems that the Contributory Pension Scheme (CPS) faces in the Nigerian pension business. It was especially important to look at how well the scheme pays out pension benefits. To describe the factors that made up the Study, the Social Risk Management (SRM) Theory was used. The study used a qualitative research methodology to look at data from secondary sources like books, magazines, the internet, and journals. The study revealed thatcontributory Pension Scheme hasn't worked well because it doesn't include workers from the informal sector and there could be other problems that come with it. Lack of accurate information on retirees' life expectancy, lack of accountability and transparency, and employers who don't send in contributions on time are some of the problems that the study found that make the Contributory Pension Scheme in Nigeria difficult to run and keep going. The study recommended among others, that actuarial techniques should not be used to figure out how long a retiree will live in order to pay them a pension. Instead, pensions should be paid to retirees until they die, so that they don't have to worry about money problems if they live longer than expected. At the same time, employers should be held more accountable and make sure they pay their contributions on time.
Key Words: Retirement Savings Account, Contributory Pension Scheme, Pension Benefits, leaving Service
DOI: www.doi.org/10.36349/fujpam.2026.v5i01.023
author/Orluchukwu Godwin, PhD & Joseph, Ubong Nathaniel
journal/FUJPAM Vol. 5, No. 1
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