NGUVULU, Maureen2025-08-072025https://research.unilus.ac.zm/handle/123456789/456Master of Science in Actuarial Science - DissertationAs the global population ages, the importance of robust and effective pension schemes becomes increasingly pronounced, especially in developing economies like Zambia. The adequacy of pension systems is a crucial determinant of the financial security and wellbeing of retirees, influencing their quality of life during post-employment years. Against the backdrop of economic, demographic, and social changes, this dissertation comprehensively evaluated the adequacy of pension schemes in Zambia, in the case of one private company. The study aimed to afford an understanding of the current status of pension provisions in the country by assessing and evaluating the adequacy of benefits provided by private occupational pension schemes in Zambia in meeting the retirement needs of employees. A quantitative approach was adopted, considering the data recorded by the pension scheme since its inception, in which the adequacy of the pension system was assessed. The quantitative information was gathered from the membership data and analysed using a Spreadsheet Pension Fund valuation model in Microsoft Excel 2016, and a model was designed taking into account key pension adequacy indicators. According to global best practice, a target of income replacement rate of 65%-85% guarantees a decent standard of living to employees in retirement, especially in lowincome regions such as Southern Africa. The findings attained from the analysis of the expected replacement rates for the current scheme members based on the current contribution rates showed that the pension scheme provide low levels of benefits to the pensioners. However, increasing the contribution rates would result in the improved targeted retirement benefits from the Fund. A total contribution rate of 25% was required taking into account inflation, in order for the Pension Scheme alone to achieve the target benefits of 65% – 85% replacement rate. Keywords: Pension Scheme, Benefits, Income Replacement RateenThesis