On 27 June 2017 the PSCBC concluded Resolution 1 of 2017 on certain changes to the pension benefits of members of the Government Employees Pension Fund (GEPF). One of these changes pertained to the replacement of the Orphan’s Pension with a Child’s Pension.
The changes, however, could not be implemented immediately, because it required further processes of legislative and pension rule amendments. The GEPF Board of Trustees has now approved the introduction of the Child’s Pension benefit with effect from 01 June 2018.
How does the Child’s Pension differ from the Orphan’s Pension?
- The Orphan’s Pension was only payable if a GEPF member or pensioner died and there was no surviving parent (natural or adoptive) to take care of the eligible child/children. The Child’s Pension does not require for both parents to have passed away in order for the child to qualify for the pension.
- Under the provisions of the Orphan’s Pension children could only qualify up to the age of 18 years of age, and up to the age 22 years if still a fulltime student. In terms of the Child’s Pension the pension is payable up to the age 22 years regardless of whether the child is a student or not, and qualifying disabled children will also receive the Child’s Pension regardless of their age.
- Under the Orphan’s Pension the maximum benefit that a child could qualify for was 10% of the monthly pension of the member. This is now increased to a maximum of 25% by the Child’s Pension, to be reduced proportionally if there are more than 4 qualifying children (and the spouse’s pension is not payable) or more than 2 qualifying children (where the spouse’s pension is payable - i.e. spouse qualifies for 50% or 75% depending on choice exercised by member).
According to the GEPF, children currently receiving the Orphan’s Pension have automatically been converted to the Child’s Pension.
For further information please consult the GEPF or your provincial office.