Abu Dhabi, UAE – August 2026: The General Pension and Social Security Authority (GPSSA)
highlighted the 'Purchase of Nominal Service Period' service, one of the key insurance solutions
available, enabling insured individuals to secure their retirement future by increasing their
calculated contribution period, thereby positively impacting the pension value and insurance
benefits payable upon termination of service.
Key Advantages of Purchasing a Credited Service Period
As an essential tool for early retirement planning, purchasing a credited service period offers
insured individuals several key benefits, including:
Increasing the approved contribution period used to calculate the retirement pension.
Increasing the pension amount as a result of the additional years of credited service.
Enhancing the insured individual’s financial stability after the end of their employment.
Conditions and Controls:
The Authority explained that purchasing a ‘Nominal Service Period’ is subject to specific rules
and guidelines aimed at offering insurance fairness and maintaining the sustainability of the
pension system. Crucially, the insured person must already meet the minimum service period
required to qualify for a retirement pension, as purchasing is intended to enhance the pension
amount rather than fulfil eligibility requirements.
Furthermore, applicants must be UAE nationals covered by the provisions of the Pension and
Social Security Law and still in service at the time of submission. Applicants are required to
settle the designated financial cost for the period to be purchased in accordance with legally
established mechanisms, provided that the purchased period does not exceed the maximum
limits stipulated by law. The purchased period is subsequently included in the contribution
period for pension entitlement and other insurance benefits under the governing legal
frameworks.
The Authority emphasised that purchasing ‘Nominal Service Period’ is essential due to the
direct link between pension value and the duration of insurance contributions, with more years
of contribution leading to a larger pension and improved final retirement benefits.
Insured individuals who plan early for their insurance future can leverage this service to secure
a better retirement pension, the GPSSA noted, particularly in cases involving fewer years of
service or when individuals seek to maximise their total legally approved contribution period
with the Authority.
A Call for Early Planning:
The General Pension and Social Security Authority urged insured individuals to regularly review
their insurance status and utilise available digital services to understand the impact of
purchasing ‘Nominal Service Period’ on their future entitlements. It stressed that making
informed insurance decisions during employment years contributes to building a more stable
financial future upon retirement.
In conclusion, the Authority affirmed that the Pension and Social Security System offers a
comprehensive range of options designed to assist insured individuals in strengthening their
insurance rights. The service for purchasing a ‘Nominal Service Period’ remains at the forefront
of these options, playing a key role in supporting the financial and social stability of Emirati
citizens and ensuring a dignified life after service.
