Handbook for Self-employed Persons - National Insurance Scheme

08where increases are granted, and a minimum pension of $155.00 per week. For self-employedpersons the average annual contributions must be 39.Invalidity pension continues in payment so long as invalidity lasts. However, if invalidity continueswhen the insured person reaches pensionable age, the invalidity pension is converted into an oldage contributory pension of an equal amount. Invalidity benefit may be paid whilst the recipientis living abroad. Additionally, if a person qualifies for an invalidity pension, an invalidity grant isnot payable.Invalidity GrantAn invalidity grant is payable to an insured person who has failed to qualify for an invalidity­pension but who satisfies the following requirements:a) he/she must be under pensionable age;b) he/she must be permanently incapable of undertaking further employment because of a specificdisease or bodily or mental disablement;c) he/she must have at least 50 contributions paid or credited to his/her account.The amount of an invalidity grant is a lump sum equal to 6 weeks average insurable weekly­earnings for each 50 contributions actually paid or credited to the insured person’s account.Average insurable weekly earnings for the purpose of an invalidity grant is the sum of theinsurable earnings on which contributions were based, divided by the number of weeks of­contributions.Old-Age Contributory BenefitOld-age Contributory Benefit may either be a Grant or pension. If a person qualifies for an Old-ageContributory Pension an Old-age Contributory Grant is not payable.As a result of Pension Reform and the introduction of flexible NIS retirement/pensionable ages,persons may retire on an NIS pension at any age from 60 to 70. To ensure that there is no financialadvantage as a result of choice of retirement age; persons opting for early retirement will receivea reduced pension.