The Fiji National Provident Fund (FNPF) has introduced a new member initiative called the ‘Transfer of Savings on Entitlement,’ which will take effect on January 1, 2025. This product aims to assist members approaching entitlement events, such as retirement, by providing an alternative to the traditional contribution-based system. It allows members to transfer a portion of their savings to the FNPF account of a loved one.
This innovative feature is crafted to enhance financial flexibility, enabling individuals to transfer elements of their entitlement payouts or benefits to other members, including specified beneficiaries. Chief Executive Viliame Vodonaivalu emphasized that this advancement stems from recent amendments to the FNPF Act 2011, which permits members to delegate all or part of their payouts under certain conditions.
Vodonaivalu stated, “This new transfer option is a step forward in providing our members with greater flexibility and control over their retirement savings. We understand that each member’s financial situation is unique, and this product offers them the ability to support loved ones or diversify their savings approach when it matters most.”
He highlighted that by allowing members to transfer savings to other FNPF members or their nominees, the initiative fosters a more inclusive environment, particularly in times of entitlement or in unfortunate circumstances such as medical incapacitation or death.
This initiative reflects FNPF’s commitment to adapting to the evolving needs of its members, seeking to offer customized financial products that accommodate various life situations. The Fund remains dedicated to exploring innovative strategies to bolster its members’ financial well-being, with this new offering anticipated to become a significant addition to their services.
This initiative signifies a progressive step towards ensuring that members have more choices for their retirement, ultimately contributing to the financial resilience of both individuals and families in Fiji. By empowering members to support each other through their savings, FNPF is not only meeting immediate financial needs but also nurturing a community-oriented approach to retirement planning.
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