In Kenya, teaching is regarded as a secure profession, with teachers receiving benefits such as health insurance and a pension.
Teachers receive a substantial stipend at the end of their careers and are guaranteed a monthly stipend as a pension in exchange for their service. Everything you need to know about the new TSC pension scheme is right here.
There was no set pension amount for retired teachers. Typically, the amount of a teacher’s pension was determined by the number of years of service.
All new teachers employees below the age of forty-five years are subjected to PSSS membership .Those who exceed forty-five years will only be able to join the scheme if they opt to but through filling in the PSSS forms.
How TSC Pension Works
How does the TSC pension work? To figure out my teachers’ pension, specifically the service pension plus commuted pension;
Take one-fourth of the final pensionable emoluments for each completed month of pensionable service, up to a maximum of the highest pensionable salary drawn during service, i.e.
- (Completed month x annual salary) / 480
This means that if you have 10 years of pensionable service and a final salary of Ksh. 420,000 per annum, you would be eligible for; 10 years x 12 months x Ksh 420,000 per annum/480 = Ksh. 105,000 per annum.
Teachers are also entitled to other benefits upon retirement under the provisions of the Pensions Act.
The benefits are typically provided at no cost, and they are not required to contribute a portion of their salary in order to receive these rights.
Teachers receive one or more of the following benefits upon leaving the service.
- Service pension plus commuted pension
- Marriage gratuity
- Injury gratuity
- Death gratuity
- Dependants pension
- Compassionate gratuity
- Annual allowance.