You may now have the opportunity to obtain a pension at the conclusion of your employment if you are an expat working in the UAE and have not yet begun saving for retirement.
The Golden Pension Scheme was introduced on October 11 by National Bonds, a Shari’a-compliant savings and investing firm controlled by the Investment Corporation of Dubai. The new programme will provide UAE-based businesses the option to enroll their staff members in pension plans and assist them in saving for retirement. Here is everything you need to know about the UAE’s Golden Pension Scheme for foreign workers.
What is the Golden Pension Scheme?
All governmental and private establishments in the UAE may participate in the National Bonds scheme. National Bonds claims that it is aimed at foreign employees in the UAE who could be searching for financial security after retirement.
Companies must register with National Bonds and sign up for the Golden Pension Scheme in order to enroll employees in the pension plan. The companies have control over how many of their employees are covered by the plan and how much money is allotted to them.
You have the choice to make additional funds of your own to this savings programme if your employer does sign you up for the plan by making monthly contributions as little as Dh100.
Sukuks, which are sharia-compliant saving bonds, would reportedly be issued under employees’ National Bonds accounts.
Can one redeem parts of the pension, whenever one need it?
You have the choice to make additional funds of your own to this savings programme if your employer does sign you up for the plan by making monthly contributions as little as Dh100.
Sukuks, which are sharia-compliant saving bonds, would reportedly be issued under employees’ National Bonds accounts.
How is the pension scheme different from gratuity?
Employees in the private sector are entitled to gratuity at the conclusion of their employment term in accordance with the UAE Labor Law, Federal Decree-Law No. 33 of 2021.
Employers in the UAE have the opportunity to enroll in the Golden Pension Scheme.
Golden Pension Scheme is not a replacement for gratuity. Instead, this scheme may be considered as an enhancement to the gratuity being offered by companies.
Also Read: Are you preparing to work in the UAE? Here are four things to keep in mind
