From January 1, 2024, on behalf of the Head of State, it is planned to launch the National Fund for Children program, within the framework of which all minor citizens of Kazakhstan will annually receive 50% of the investment income of the National Fund of the Republic of Kazakhstan (hereinafter referred to as the National Fund). In addition, amounts accrued to children in previous years will continue to be invested as part of the National Fund’s assets. As a result, investment income will be additionally accrued to them.
What can legal representatives of children born in 2006 and later, including those assigned guardianship/trusteeship, do today to guarantee participation in the National Fund for Children program?
The Unified Accumulative Pension Fund (hereinafter referred to as the UAPF) is determined by the operator for recording target assets and target requirements (liabilities), target savings on target savings accounts (hereinafter referred to as the UAPF), and making payments of target savings.
Accounting for target requirements and target savings will be carried out in US dollars.
Until children reach 18 years of age, target requirements and investment income will accrue without the right of early withdrawal. After reaching the age of 18, the UAPF will be opened as a central tax center, the funds from which can be used for two purposes - to improve housing conditions and to pay for education through authorized operators, which will be Kazpost JSC and second-tier banks. It should be noted that after funds are transferred to the central nervous system, these funds cease to be invested.
The accrual of target claims will cease in the event of death or the entry into force of a court decision declaring the participant of target claims deceased or loss of citizenship.
In order to receive target claims/target savings in connection with the death of a participant in target claims/recipient of target savings, their heirs will be able to apply to the UAPF in the manner established by the Government of the Republic of Kazakhstan.
Persons who have left Kazakhstan for permanent residence lose their right to use the funds of the National Fund.
Unclaimed amounts of target savings in the absence of an application for benefits after 10 (ten) years after the beneficiary reaches 18 years of age are subject to transfer to the UAPF to an individual pension saving account to account for voluntary pension contributions. They will be received in accordance with the legislation of the Republic of Kazakhstan.
The UAPF was established on August 22, 2013 on the basis of GNPF APF JSC. The UAPF founder and shareholder is the Government of the Republic of Kazakhstan represented by the State Institution “Committee of State Property and Privatization” of the Ministry of Finance of the Republic of Kazakhstan. UAPF pension assets are managed by the National Bank of the Republic of Kazakhstan. From January 1, 2016, the functions for developing proposals to improve the management of pension assets were transferred to the National Fund Management Council. In accordance with the pension legislation, the UAPF attracts compulsory pension contributions, compulsory occupational pension contributions, voluntary pension contributions, pension benefits, individual accounting of pension accumulations and benefits, provides the contributor (beneficiary) with information on the status of his pension accumulations (for more information visit www.enpf.kz)