Umbrella retirement benefits schemes are collective pension arrangements that allow multiple employers to participate under a single trust structure. This model is especially beneficial for small and medium-sized enterprises (SMEs), NGOs, and startups that may lack the capacity to establish and manage standalone occupational schemes. In Kenya, such schemes are regulated by the Retirement Benefits Authority (RBA), and they offer a streamlined, cost-effective way for employers to provide retirement benefits to their staff.
CURBS, managed by Cytonn Asset Managers Limited, is tailored for employers seeking a flexible, well-governed, and tax-efficient retirement solution. It is particularly suited for organizations without existing schemes, those looking to switch service providers, or employers wishing to contract out of NSSF Tier II contributions.
One of CURBS’ standout features is its approval to manage NSSF Tier II contributions, aligning it with Kenya’s evolving pension landscape. Employers contribute a minimum of 2.5% of their employees’ gross salary, matched by an equal contribution from the employee. At retirement, employers can choose whether benefits are accessed as a lump sum or converted into a pension, offering flexibility to suit different workforce needs.
For employees, CURBS offers a host of advantages. There are no setup fees, and members enjoy the same tax benefits as those in occupational schemes. Contributions earn attractive annual interest, and members have the option to contribute to a post-retirement medical fund, an increasingly vital component of long-term financial planning.
Employers benefit from a plug-and-play setup, joining a scheme that is already structured, compliant, and professionally managed. This not only simplifies administration but also enhances employee motivation and retention. Contributions are tax-deductible, further improving the employer’s cost-efficiency.
In essence, CURBS is a strategic tool for workforce empowerment and long-term financial security. With its blend of regulatory compliance, investment performance, and member-focused features, CURBS positions itself as a leading choice for forward-thinking employers across Kenya.
