Sharon Smith, head of JN Bank’s Insurance Premium Financing and Pensions Unit, has urged the country’s teachers to take the planning of their retirement seriously.
Addressing teachers during an investment forum organised by the Jamaica Teachers’ Association recently, the JN Bank senior manager, who is also a licensed pension adviser, encouraged teachers to find means of supplementing their income at retirement, as pension benefits offered by the state are often not enough to sustain them during their retirement years.
“Your National Insurance Scheme (NIS) and even your government pension alone won’t be enough, and your children are not your pension plan!” she cautioned teachers.
“You must take the matter of planning for your retirement very seriously. There are too many Jamaicans, including teachers, who have fallen on hard times in their retirement years simply because they don’t make adequate preparation for those golden years.”
The state pays $3,400 weekly in benefits under the NIS to contributors, while teachers receive a pension under the state-owned Family Benefit Scheme to which they currently contribute about two per cent under the existing arrangement with the Government and public sector workers.
Smith encouraged the teachers to start the process of planning by being more mindful about how they manage and invest their money.
“Invest in real estate that you can rent or lease; invest in stocks and bonds that can provide a yield,” she advised, pointing to the current strong performance of the Jamaica Stock Exchange.
She also recommended purchasing health insurance and life insurance for their retirement years.
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