- Monday, 06 April 2015
The Social Security Act and General Regulations of 1988 define and impose certain responsibilities and obligations on employers and employees in order for them to enjoy the benefits discussed earlier in this Guide. The responsibilities are as follows:
4.0 Registration of Employer
As an organization or employer who has not already registered under the schemes, you must do the following:
Obtain and fill Form 1 (Employer Registration Form) which is the application form for the registration of an employer. This form can be printed from can be downloaded from here or provided by any of the Regional Offices or the Central Office of NASSCORP.
Fill in the form completely. If your organization has several branches branches and each branch is part of the same business and does not operate independently, then only a single Employer Registration Form 1 has to be completed.
Return the completed Form 1 to the NASSCORP Regional Office serving your area for processing and completion of your registration.
NASSCORP's Registration Office at the Central office will process the application and issue you a 9-digit Employer's Code and
Thereafter, use the code number on all your communications and correspondences with NASSCORP (Using your code number will make it easier and quicker to find your records).
4.1 Registration of Employees (Old & New)
To ensure that your employees are registered with NASSCORP, you as an employer must do the following:
Inquire from every employee whether he/she has been previously issued a 9-digit Social Security Number. Those with the 9-digit number are already registered with NASSCORP and therefore you do not need to register them again.
Have each employee, who does not have a 9-digit Social Security Number fill in a Form 2 (Employee Registration Form) fully and attach one color passport-size photo of himself/herself (No erasure or correction is permitted on Form 2; in case of any error on the form, have the employee fill in another form instead)
List all the new employees on Form-3 (Roll of Employment) and attach all of the Form-2s which the new employees have filled in (utilize as many pages of Form-3 as may be necessary).
Deliver all the forms to the NASSCORP Regional Office that is serving your area.
NASSCORP Head office will process the registration forms, issue each employee a 9-digit Social Security Number and a corresponding Social Security ID Card, and transmit them to you the employer.
Upon receipt of the Social Security ID Cards for your employees, check to verify that every employee has a 9-digit Social Security Number and a corresponding Social Security ID Card upon registration and that the information is correct for each employee.
Distribute the cards to your employees.
As an employer you are required to incorporate registration with Social Security into your personnel recruitment services.
In case where the employee changes jobs, he/she will use the same 9-digit Social Security Number within the employ of the new employer.
4.2 Updating of Records on an Employee
In the even an employee leaves a job or several employees cease to work for you the employer, fill in the reversed side of Form-3 (Form-3B) to provide NASSCORP with the particulars of the departing person(s) to update your records accordingly.
4.3 Contributions Payment Obligation
The Social Security Act requires only employers to finance benefits of employees under the EIS and requires both employers and employees to finance the benefits under the NPS by making monthly contribution payments to NASSCORP.
4.4 Contribution Rates
The total contribution rate for you, as an employer under the EIS and NPS coverage is 4.75% or each of your employee's total remuneration each month or each pay period. 1.75% is for EIS coverage, while the other 3% is for the NPS coverage. (EIS coverage of 1.75% is financed by you, the employer, alone).
NOTE: No deductions to be made from the employee's remuneration by you for (EIS). The total contribution rate for each employee under the NPS is 3% of the respective employee's total monthly remuneration.
It is an offence under the Act creating NASSCORP for employers to deduct EIS contributions from earnings of employees.
4.5 Calculation of Contribution Amounts
Your contributions to the EIS and NPS are to be paid together to NASSCORP at the end of each month. The total combined payment is 7.75% of each employee's remuneration for the month.
NOTE: This means that as an employer, you are required to pay to NASSCORP a contribution of 4.75% of your employees' total monthly gross compensation (this amount is not deducted from the monthly pay of the employees) and you are also to deduct 3% of each employee's monthly gross compensation (this amount is directly deducted from the employee's monthly compenstaion).
See example below
Monthly Pay EIS (1.75% of Monthly Pay) NPS (3% of Monthly Pay) Employee Direct Pay deduction (3%) Total Payment You Remit to NASSCORP(7.75%) $ 850.00 $ 14.87 $ 25.50 $ 25.50 $ 65.87 $ 1500.00 $ 26.25 $ 45.00 $ 45.50 $ 116.25
4.6 How to Pay Contributions
To pay social security contributions, you must prepare a check or cash transfer for the amount due in favor of NASSCORP. Please write our the full name (National Social Security & Welfare Corporation) on the check or transfer document.
- Attach a copy of the payroll for the month or pay period for which the contribution is being made. (use the NASSCORP payroll submission format available for download here. You may also obtain a copy of the payroll format from any NASSCORP Regional office. You can also submit copy of your payroll electronically by email through NASSCORP's email account: ."
- Proceed to deposit the check or make cash transfer in NASSCORP's account at the banking window of the Central office.
- Collect your copy of your deposit slip from the bank teller and present it to NASSCORP's cashier who will issue you an official NASSCORP contribution payment receipt.
- If the NASSCORP Central Office is not convenient to you, deposit the check into NASSCORP's designated account at a local bank which is most accesssible to you.
- take the deposit slip issued you be the bank to NASSCORP's Central Office where NASSCORP's cashier will issue you an official receipt.
- If you are located outside of monrovia and do not have access to such banking services, present the check directly to NASSCORP's Regional Director at the Regional office servinf your area.
- The Regional Director will receive the check and issue to you a payment receipt.
4.7 Contribution Payment for Employees With More Than One Job
When an employee has more than one job, EIS and NPS contributions are to be paid on his/her behalf by each employer. When NASSCORP is calculating the amount of benefit to be paid to an employee, the employee will enjoy the advantage of receiving benefit payments that will take into account his/her salaries/remunerations from all places of work.
4.8 Inspection of Employers' Contribution Records
All registered employers are required by law to allow NASSCORP Inspectors to perform the following functions:
- To enter upon the premises or place of business of an employer at all reasonable time to examine, inquire or obtain information from the employer for the purpose of verifying the registration status of employers and employees.
- To enter the premise or place of business of an employer and be allowed to examine documents and other records relating to the employment, promotion, attendance, remunerations, contributions or liability to contribute by or on behalf of the workers, and for inspection to take copies or extracts of documents.
- To require from an employer copies of documents and records relating to past transactions at the office of the inspector or by any other government office or at any other place where such documents can be produced as required by the inspector.
4.9 Safe Working Environment
It is required of all employers to provide a safe working environment for their employees. This includes the availability of safe working tools and gadgets related to the functions of the employee and sanitary conditions in the environment in which the employees work. This is very important in order to reduce the incidences of hazards that often lead to job-related injuries and/or death.