The public sector has over the years been one of the driven factors for businesses and companies. One of the key compliance documents you need to secure any government contract is the NSITF. For this reason, this article will serve as a step guide towards the NSITF online registration requirements and the cost involved to get the certificate in Nigeria.
Companies are often required to adhere to all rules and regulations governing the sectors in which they operate in. However, people often focus more attention on private sector compliance and less attention on public sector.
To do business in Nigeria, especially if you are a contractor, getting all necessary government compliance documents is very vital towards the success of company.
In a world where one government policy can change the trajectory of your company, it now lays emphasis on public sector compliance documents.
Now, let’s look at how the NISTF works and how you can register and get the certificate
What is NSITF?
NSITF simply means Nigeria Social Insurance Trust Fund. It is a Federal Government Agency saddled with the responsibility of managing all employees’ compensation scheme.
The agency fund acts by providing all kinds of social benefits like medical treatments, social security, compensations for patients who got disabled while in active service, compensation to deceased parents in times of death of employees
The overall aim of the fund is to ensure the welfare or employees both in public and private sector and compensate them in times of need and when they face severe life challenges.
These goals can be further classified into 3 categories namely;
- Workplace social security
- Financial security
- Employee compensation
- Security for employees
- Retirement emoluments
The Nigeria Social Insurance Trust Fund (NSITF) operates under the Federal Ministry of Labour and Employment. It was established in 1993 by Decree No. 73. It succeeded the National Provident Fund (NPF), which was established in 1961.
Why NSITF Registration is Important for Businesses
I know you would be wondering, If NSITF and ITF relates to public sectors, why should my company register for any of them?
Well, all companies operating in Nigeria with a employees from 5 and above are expected to register for the trust fund and make contributions to it annually.
Below are key reasons to register for the NSITF in Nigeria
- NSITF is a strong legal compliance for employers across all sectors
- Companies looking forward to obtain government contract must register and contribute to the fund as it is a key compliance document for government contracts and bidding
- NSITF is often required for many company registrations and renewals
- It serves and protects employees under the Employee Compensation Act
- Eligible companies who have failed to register often suffer huge fines and openalties for non compliance.
Who Must Register for Nigeria Social Insurance Trust Fund?
The following entities are mandated to register and get a Nigeria Social Insurance Trust Fund certificate in Nigeria
All employers of labour in Nigeria with a minimum of 5 employees are required to register contribute to the trust fund. This also includes
- All companies in Nigeria registered with Corporate Affairs Commission (with employees ranging from 5 and above)
- Non Governmental Organizations
- Academic Schools and training institutes
- Companies provides hospitality and accommodation services e.g Hotels, restaurants, and resorts
- Construction and engineering companies
- Architectural companies
- SMEs and startups (with considerable number of staff)
- Partnerships and enterprises with staff
- Telecommunication companies
- Consulting companies
- Real estate companies
- Survey companies
- Mining companies
- IT companies
- Startups
NSITF Online Registration Requirements in Nigeria
Similarly to PENCOM registration, employers of Labour that wishes to register the Nigeria Social Insurance Trust Fund and must provide the following documents at the point of registration
To register for NSITF, employers must provide:
1. Complete CAC Registration Documents
This documents includes;
- Certificate of Incorporation
- Status Report
- Memorandum & Articles of Association
We can do your CAC registration @ Legacy Benjamin Consult. Send us a WhatsApp DM 08066108299
2. Company Contact Information
- This includes the following
- Registered business address (utility bill proving the address)
- Email and phone number of parties involved in the company
3. Employer Identification Details
The following details of all your employees must be provided. The include;
- Tax Identification Number (TIN)
- BVN of employees
- Passport photographs
- Next of Kin of Employees
- Full Names
- Number of employees
- DOB
- NIN of employees
- State of Origin
- Marital Status
- Monthly payroll details or salary structure
4. Fill Form
You will be required to fill the following forms
- NSITF Employer Registration Form
- Nigeria Social Insurance Trust Fund Employee Compensation Form
5. Authorized Signatory Details
- Name of director or representative
- Identification (National ID, International Passport, Voter’s Card or Driver’s License)
Having understood the document requirements for NSITF registration, let’s proceed on the steps to do the main registration
How to Register for NSITF in Nigeria: Step Guide
The following are the steps you should take to register for the Nigeria Social Insurance trust Fund in Nigeria for your employees
1. Create Employer Profile
Visit the nearest NSITF office or recognized agent to initiate registration under the Employee Compensation Scheme.
Fortunately, we have direct contact with the NSITF office. This means you don’t have to go through the whole stress.
All you need to do is send us a DM on WhatsApp @ 08066108299 and relax while we process your NSITF registration for you
2. Provide Required Documents
We have already mentioned some of these documents above. They include all CAC documents, TIN, bio data of emplyees and and employee payroll details.
3. NSITF Assessment
Once you have provided all these documents, NSITF will now take time and make an assesment of your company. They will calculate staring from your date of CAC company registration while also taking into consecration your payroll.
In some cases, and based on my personal experience interacting with NSITF officials, most companies end up paying penalty fees for late compliance.
Once this assessment is procedure is over, the office will tell you how much you are supposed to contribute to the scheme.
4. Make Payment
Once you have passed the assessment stage, you will be required to make the necessary payment as required by the NSITF office
5. Get Your NSITF Certificate
Once payment is confirmed, the NSITF Employer Registration Certificate will be issued.
Cost To Get NSIFT Certificate in Nigeria
The cost of NSITF registration and certification could sometimes vary from company to company and depending on the number of total employees.
Below is how much employers will pay
| Component | Estimated Cost |
| Reg & Certification | ₦50,000 |
| Annual contribution | Employers must contribute 1% of the total salaries of at least five staff members for a maximum period of 72 monthsfor companies whose turn over is above ₦50,000,000 (fifty million) |
| Penalties for late filing | 10% for the monthly payroll not remitted |
| Profession fee | This ranges from ₦100,000 to ₦250,000 |
How to Calculate NSITF Contribution
Let’s take for example, If your total yearly salary expense is ₦10,000,000
NSITF Contribution = 1% × ₦10,000,000 = ₦100,000
and vice versa
How Long Does It Take to Get NSITF Certificate?
The whole process of registering and obtaining the Nigeria Social Insurance trust Fund Certificate takes between 10 to 20 working days depending on the nature of the company and complexity.
Factors that may delay processing includes
- Incomplete documents
- Old CAC registration
- Incomplete details of employees
- Non compliance fines
- Late payment
- Government strikes
Penalties for Not Registering with NSITF
Failure to register or pay contributions to the trust fund may result in:
- Fines and penalties
- Legal actions under the Employee Compensation Act
- Disqualification from contracts and bidding
- Loss of employee protection claims
How to Verify NSITF Certificate
If you want to verify the NSITF certificate, all you need to do is visit te online portal. Input the certificate number and click to verify
NSITF Certificate Renewal
The Certificate is valid for only 1 year after which you are expected to make annual payments for renewal.
Deadline for certificate renewal is 31st December of Every year.
NSITF Office Locations and Contact Channels
- Head office: Plot 794, Muhammadu Buhari Way, Central Business District, Garki, Abuja, Nigeria.
- You can also visit the website
- They also have branch offices across all the 36 states in Nigeria
FAQs On Getting NSITF Certificate
Q: Is NSITF registration compulsory in Nigeria?
A: Yes. Companies with employees from 5 above are supposed to register and contribute annually.
Q: How much does NSITF registration cost?
A: Registration and certification cost ₦50,000 and professional fee about ₦100,000 above
Q: Can an individual or freelancer register for NSITF?
A: No. Unless he has employees
Q: Do small businesses with less than 5 employees need NSITF?
A: No they don’t.
Q: How long does it take to get the NSITF certificate?
A: It takes about 10 to 20 working days
Q: Is NSITF a one-time payment or annual?
It is a one time payment. However, you are supposed to pay annually for renewal
Q: Can I register NSITF online?
A: Yes. But you need someone like Legacy Benjamin Consult @ 08066108299 to complete the registration with contact of NSITF
Q: What happens if a company doesn’t register for NSITF?
A: You will pay penalty fines and face legal actions for non compliance
Q: Is NSITF required for bidding contracts and government jobs?
A: Yes
Q: Can I update staff salary after registration?
A: Yes
Q: Is NSITF the same as pension or PAYE?
A: No. Pension relates to PENCOM Certificate registration
Conclusion:
In conclusion, The Nigerian Social Insurance Trust Fund is a federal government agency that ensures employers in organization get social security, health well being and all kinds of emoluments.
Employers of labour are requires to register for NSITF and get the certificate and contribute annually to the scheme.
I hope this guide has giving you sufficient insights into the NSITF Registration requirements, cost and procedure to remit your annual contributions
If you need further assistance, send us a DM. Also leave a comment below
