Maldivian Pension System

Maldivian pension system overview

The Maldivian pension system has two major public layers. The Maldives Retirement Pension Scheme, or MRPS, is a mandatory defined contribution scheme for local employees and employers. The Old Age Basic Pension provides a government-funded benefit for eligible senior citizens.

This structure makes the pension system in Maldives a clear example of combining individual retirement savings accounts with a public basic pension.

Maldives Retirement Pension Scheme

MRPS creates a Retirement Savings Account for each member. Contributions and investment returns are credited to that account, and pension payments depend on the accumulated balance.

The Pension Office describes mandatory monthly contributions as 14 percent of pensionable wage, normally split between employer and employee. Members generally draw down from age 65, with early withdrawal from age 55 only if account conditions are met.

AI-generated editorial image of Male civic waterfront for the Maldivian pension system — The Maldivian pension system pairs MRPS retirement savings accounts with a government-funded Old Age Basic Pension.

Old Age Basic Pension

The Old Age Basic Pension is a public basic pension for eligible Maldivian citizens aged 65 or older. It is funded by government resources and adjusted for other pension income under the Pension Act rules.

Voluntary participation and portability

Foreign nationals and self-employed workers may participate voluntarily under MRPS rules. Leaving Maldives, early withdrawal and foreign-worker access require direct review of Pension Office guidance.

What readers should check next

Readers should check MRPS account balances, contribution records, eligibility for Basic Pension, early withdrawal conditions and any foreign-worker withdrawal rules.

Public pillars

Maldives Retirement Pension Scheme

A mandatory defined contribution scheme with Retirement Savings Accounts for participating employees.

Old Age Basic Pension

A government-funded basic pension for eligible Maldivian citizens aged 65 or older.

Private and occupational pillars

Voluntary MRPS contributions

Members and eligible voluntary participants can add contributions subject to scheme rules.

Personal saving

Private saving can supplement MRPS balances and Basic Pension income.

Benefit basis

Contributory vs social assistance pensions

Contributory / work-linked

Maldives Retirement Pension Scheme

Basis: Mandatory defined contribution retirement saving through individual Retirement Savings Accounts.
Eligibility: Local employees between ages 16 and 65 and their employers participate, while foreign nationals and self-employed workers may participate voluntarily.
Funding: Employee and employer contributions, each generally 7 percent of pensionable wage, invested through the MRPS framework.
Note: MRPS benefits depend on accumulated contributions and investment returns in the member's account.

Social assistance / means-tested

Old Age Basic Pension

Basis: Government-funded basic pension for eligible Maldivian citizens aged 65 or older.
Eligibility: Eligibility depends on citizenship, residence, age and limits related to other pension income or state care.
Funding: Government financing rather than individual MRPS contributions.
Note: Basic Pension acts as a public income floor and is distinct from MRPS account drawdown.

Profile details

Eligibility: MRPS eligibility depends on employment, age and participation status. Basic Pension eligibility depends on citizenship, residence, age 65 and other pension-income conditions.
Retirement age: MRPS members generally draw pension savings from age 65, with early withdrawal possible from age 55 if account-balance conditions are met. Basic Pension is for eligible citizens aged 65 or older.
Contributions: The Pension Office describes MRPS as funded by 14 percent of pensionable wage, generally 7 percent employee and 7 percent employer.
Benefits: MRPS benefits are based on Retirement Savings Account balances and investment returns. Basic Pension provides a government-funded benefit adjusted for other pension income.

Tax and portability

Tax treatment: Tax treatment depends on Maldivian pension and tax rules, benefit type and residency.
Portability: Foreign worker participation and withdrawal rules are specific; mobile workers should check Pension Office guidance before leaving Maldives.

Sources

Maldives Pension System Maldives Pension Administration Office government source - pension.gov.mv
Maldives Retirement Pension Scheme Maldives Pension Administration Office government source - pension.gov.mv
Basic Pension Scheme Maldives Pension Administration Office government source - pension.gov.mv
Laws and regulations Maldives Pension Administration Office government source - pension.gov.mv