In Kenya’s fast-paced and increasingly informal economy, many individuals earn a living through self-employment, gig work, or small businesses. From boda boda riders and market traders to freelancers and consultants, the number of people operating outside the formal employment sector is growing steadily. While this independence offers flexibility and control, it often comes with one major gap in retirement planning.
Unlike salaried employees who may be automatically enrolled in company pension schemes, non-salaried workers rarely have structured retirement savings. Many rely on daily income with little consideration for the future. However, without a clear plan, the risk of financial insecurity in old age is high. Life expectancy is increasing, and the cost of living, especially healthcare in retirement, continues to rise.
Starting early with a retirement plan ensures that individuals in the informal sector can live with dignity and independence even when they are no longer working. Saving consistently, even in small amounts, takes advantage of compounding growth over time. It also reduces the burden on family and society when one can no longer earn a steady income. Planning for retirement is not just about old age, it’s about securing peace of mind and financial stability.
This is where the Cytonn Personal Retirement Benefits Scheme (CPRBS) becomes an essential tool. CPRBS is tailor-made for individuals without access to employer-sponsored pension schemes. CPRBS is a flexible, accessible pension plan designed specifically for non-salaried individuals. It allows members to contribute as little as KES 1,000.0 per month and offers freedom to pay monthly, quarterly, or even annually. Contributions enjoy tax relief of up to KES 30,000.0 per month, helping members save more efficiently. CPRBS includes life cover, the option to build a post-retirement medical fund, and the unique ability to use up to 60.0% of savings as collateral for a mortgage, all while generating competitive returns, with a declared rate of 27.7% in 2024.
Retirement planning should not be reserved for the formally employed. With solutions like CPRBS, non-salaried workers now have the opportunity to secure their future, protect their families, and build wealth with structure and purpose.
