Zimele Guaranteed Pension Plan
The funds are invested collectively in safe and stable money market securities including government securities (treasury bills and treasury bonds), commercial paper and bank deposits with the objective of providing a guaranteed rate of return to members every year.
Returns earned from these investments are paid out to members in the form of interest income.
The principal is guaranteed in addition to interest earned which is quoted net of management fees of 2% per year.
It is recommended for people who have a few years to retirement age and hence need to preserve their capital and be liquid at retirement.
- Open to all individuals from 18 years of age.
- Capital Preservation: Members' contributions are invested in safe and stable fixed income securities.
- Compound Interest: Interest earned is compounded on an annual basis until the member attains retirement age and wishes to withdraw the funds.
- Tax-free contributions up to a maximum of kshs.20,000 per month or kshs.240,000 per year.
- Minimum monthly contributions ksh.250
- Flexible contributions: Contributions are flexible in that there is no set amount to contribute provided the minimum amount is met.
- Additional contributions can be made at members' convenience.
- Management fee of 2.0% p.a.
- M-Pesa Contributions