Old Age Provision Pension
The Old Age Pension (OAP) scheme is one of the most widely accepted forms of social security. It provides security to millions of older people who have worked and saved enough money over a lifetime to be qualified for an income pension. There are two types of pension, namely: Old Age Security or OAS and Guaranteed Income Supplement or GIS. Both are pensions designed to provide a base income to older people in their later years who do not receive any other income from any source. Both pension schemes include a range of different benefits that help people supplement their retirement income. An individual may find the requirement for both types of pension confusing. However, when it comes to OAS, there are only two types of income - a regular income, such as that from an annuity or a lump sum payment, and an annuity payment. The pension fund collects the lump sum payment from the insurance company and distributes it to the retired person's beneficiaries. Once the lump sum is paid, the...