10 October 2025
The Government Employees Pension Fund (GEPF) has updated their actuarial interest factors which came into effect on 1 October 2025, reflecting changes in investment return and inflation expectations that affect member benefits. These changes impact how benefits are calculated for members exiting the fund before retirement age, ensuring fair valuation of earned benefits.
What actuarial interest means
The GEPF is a defined benefit fund, where retirement benefits depend on pensionable salary and years of service, rather than contributions. Members earn pension benefits for each year worked, and if they leave early, they receive a lump sum reflecting the present value of the benefits earned to date.
The updated factors reflect economic expectations, as the 2024 actuarial factors have been lowered by about 15% compared to 2021. This is due to updated assumptions of higher future investment returns and inflation, reducing actuarial interest values paid to members.
The impact of the changes
Revised factors apply to all active members who exit on or after 1 October 2025, which affects vested, savings, and s differently due to the Two-Pot Retirement System. Members who exit before this date retain previous factors.
For information regarding changes in the actuarial interest value of the GEPF, please visit the FAQs page on their website and access SanPort with your secure login details. We have made this information available to assist you in enhancing your knowledge and skills, enabling you to confidently provide advice and services to your clients in the public sector.
