The Pension Funds Amendment Act lV promulgated in 1997 and effective from 06 April 2001, amends the Pension Funds Act with regard to setting out procedures for control and reporting of arrear contributions.

The introduction of Regulation 33 of the Pension Funds Act lays down specific criteria for the provision of minimum information by an employer to a fund in terms of the payment of contributions.

And, also sets out the reporting procedures for arrears contributions.
Summary of the provisions of Section 13(A) and regulation 33 are listed below:

• Contributions due must be paid in full into the funds bank account  within 7 days after the end of the month for which they are due. 
• The employer must provide the fund with the following information as prescribed by Regulation 33 of the Pension Funds Act.

(a) Period that the contributions are payable
(b) Name and address of employer or pay-point where deduction was made and responsible person to contact.
(c) Detail of members: full names, date of birth, identification number, employee number, date of membership, pensionable salary and amount of contributions split between member and employer and indication of voluntary contributions paid.
(d) Subsequent returns in respect of each contribution period must reflect the same information as the period before. i.e. the information provided in the initial contribution statement and reconciliation setting out differences in the data, such as new members, reduction as a result of membership terminations etc.

• Section 13A (2) (a) compels the employer to complete a monthly reconciliation of contribution payments, prepared and submitted to the Fund together with payment within 7 days after the end of the month for which they are due.

• Is responsible for checking the receipt of electronic transfers into the Funds bank account and reporting non-payment to the Principal Officer and the Trustees. The Trustees are required in terms of the Pension Funds Act to report non-compliance to the Financial Sector Conduct Authority. 
• The Principal Officer is required to bring any infringements to the notice of the members of the Fund. 
• Compound interest on late payments is calculated in terms of the Industrial agreement.

The Financial Sector Conduct Authority requires Fund Administrators to report Firms that have not adhered to the stipulated time limits for remitting contributions. Such companies risk prosecution by the Financial Sector Conduct Authority.