From Service to Serenity: Gauging the Contributory Pension Scheme's Strides at Elevating Retirement Living Standard of Nigeria Federal Civil Servant in Kogi State, Nigeria

Abstract

Introduced in 2004 to replace the unsustainable Defined Benefit Scheme (DBS), the contributory pension schemes (CPC) aimed to secure financial stability for retirees, impacting over 1.2 million public sector workers. This paper therefore adopts a survey methodology, using questionnaire administered on an 83 respondents sample population draw using Taro Yamane and analyzed via regression models to examine the contribution of contributory pension scheme to the standard of living of retired federal civil servant in Kogi State Nigeria. The finding highlights significant improvements in retirees’ quality of life, with 72% of federal retirees now receiving regular pension payments compared to frequency delays under the Defined Benefit Scheme (DBS) this shift is believed to have contributed to a 20% increase in financial security among retirees, with the potential of reducing poverty by 12% moreover, the CPS has amassed over N14 trillion (Approximately & 36 billion). In pension funds, enhancing natural savings and investment opportunities, the CPS has also facilitated better health care access and social engagement for retirees, with 65% of them reporting improved living conditions and well-being. The study recommends that pension fund administration should ensure a smooth and speed payment transition for its beneficiaries upon retirement, and that they should involve beneficiary in the running of the fund to ensure transparency and accountability in the management of pension funds.