This financial tool is designed for individuals who are members of a specific retirement fund, falling under a particular benefit structure established after a certain date. It provides an estimation of potential retirement benefits based on factors such as age, service credit, and salary history. An example of its use would be for a public sector employee hired after January 1, 2011, who seeks to project their future pension income.
The significance of this instrument lies in its ability to empower members to make informed decisions regarding their retirement planning. It aids in forecasting future financial security, enabling individuals to adjust their savings and contribution strategies as needed. Its development stems from the need for greater transparency and predictability within the retirement system, allowing members to better understand their potential entitlements.
