Common Errors in the Contribution Process

Some of the common errors prevalent in the contributions process are:

  • Fictitious NRC & SS numbers
  • No full names
  • Wrong contribution Period
  • Use of Incorrect Ceiling
  • Wrong Assessments
  • Manual submissions
  • Remittance of contributions for persons above age 55
  • Missing member/beneficiaries data

THE IMPACT OF SUCH ERRORS

Among many others, the following are the obvious impact of the errors mentioned earlier on:

  • Multiple social security numbers
  • Posting of contributions to other wrong employees’ accounts
  • Underpayments and Penalties
  • Reconciliation problems
  • Delays in processing and claim settlement

WHAT SHOULD YOU DO FROM HERE?

  • Confirm that NRC numbers in your payroll system/wages book are correct.
  • Check whether ALL your staff have social security numbers by requesting a list of Members Report from NAPSA
  • Request for an Employer Statement so that you can establish whether all your Monthly Returns have been captured.
  • Provide Monthly Returns for any unprocessed months.
  • Request individual Member Statement for your Staff (for employers) or for yourself (as an individual).

Any employer who defaults on the remittance of contributions or does not abide bythe provisions of the NPS Act commits an offence and can be prosecuted in the Courts of Law.

The Act highlights a number of offences the following list shows some of the common offences.