Leadway Pensure Charge Nigerians on Early Retirement Planning

Leadway Pensure has charged Nigerians to plan for early retirement planning to have a secured future.

Speaking on the paper titled: ‘Building Financial Wellness: The Role of Retirement Planning,‘ at a one-day training workshop organised by Leadway Group for Insurance and Pension Journalists, the Head of Personal Pension Plan at Leadway Pensure PFA, Mrs. Rahinatu Omolamai called on Nigerians to embrace early retirement planning as a critical tool for combating old-age poverty.

She warned that rising living costs, unstable incomes and changing work patterns have made financial preparedness more urgent than ever, adding that retirement planning should no longer be viewed as an option reserved for salaried workers but as a necessity for everyone who earns an income.

According to her, the current economic realities facing Nigerians—including persistent inflation, declining purchasing power and unpredictable income streams have redefined financial wellness and underscored the need for long-term financial planning.

Omolamai stressed that retirement planning is relevant to salaried employees, self-employed professionals, entrepreneurs, freelancers, business owners, sports personalities and Nigerians earning foreign currency, noting that each category has pension products tailored to their needs.

She explained that salaried workers can strengthen their retirement security through additional voluntary contributions under the Personal Pension Plan (PPP), while self-employed individuals can make flexible contributions based on their income.

She added that eligible foreign currency earners can diversify their retirement savings through Fund VII, which allows pension contributions in foreign currency.

The pension expert also dispelled the widespread misconception that pension savings are inaccessible until retirement, explaining that contributors’ savings are divided into retirement and contingent portions, allowing eligible access to part of their funds while safeguarding their long-term retirement benefits.

Highlighting the impact of inflation and currency depreciation, Omolamai noted that the purchasing power of the Naira has weakened significantly over the years, making diversification an important strategy for preserving the value of retirement savings.

She further drew attention to what she described as the “family responsibility gap”—popularly known as “Black Tax”—where many Nigerians shoulder extensive financial obligations for extended family members often at the expense of their own retirement security.

According to her, effective retirement planning can help break the cycle of financial dependence across generations by enabling individuals to support loved ones without jeopardising their future financial wellbeing.

Omolamai also emphasised the importance of starting retirement savings early, noting that time remains one of the greatest advantages in wealth accumulation.

She explained that individuals who began saving at a younger age benefits significantly more from long-term investment growth than those who delayed until later in life.

She described financial wellness as extending beyond income generation to include meeting present needs, preparing for retirement, protecting against financial uncertainty and creating a lasting legacy for future generations.

Omolamai urged the media to intensify public education on retirement planning, saying their reports and programmes could help change public attitudes toward long-term financial security.

“Every article, interview, podcast or broadcast is an opportunity to move someone from procrastination to preparation,” she said.

She reminded participants that the greatest legacy parents can leave for their children is not merely financial inheritance, but ensuring they do not become responsible for funding their parents’ retirement.

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