Egypt Pension Guide — نظام المعاشات في مصر

the Egypt state pension system under the National Organization for Social Insurance (NASS — الهيئة القومية للتأمين الاجتماعي) for 2026. The guide covers: the defined benefit formula — 1/45 of the average wage × years of service, with the maximum pension of 80% of the average wage; the retirement age — 60 for males and 55-60 for females depending on the law; the minimum contribution period of 15 years; the early retirement at age 55 with the actuarially reduced benefit; and the supplementary pension schemes (Shamel — شامل) available through the private insurance companies.

State Pension System — الهيئة القومية للتأمين الاجتماعي (NASS)

Administering body — NASS: The "الهيئة القومية للتأمين الاجتماعي" (the National Organization for Social Insurance — NASS) administers the "نظام المعاشات" (the "pension system") for the public and private sector employees in Egypt. The NASS is the sole administrator of the mandatory state pension scheme under Law 148/2019.
Coverage: The mandatory coverage applies to: (a) all Egyptian employees working in the "قطاع حكومي" (government sector), (b) all Egyptian employees in the "قطاع خاص" (private sector), (c) the Egyptians working abroad under certain conditions, (d) the self-employed who register voluntarily. The foreign employees working in Egypt are generally excluded from the mandatory NASS scheme unless they are covered by a bilateral social security agreement.
Funding — PAYG: The Egyptian state pension is a "نظام الدفع أثناء التشغيل" (the "pay-as-you-go" or "PAYG" system) — the contributions collected from the current workers and the employers fund the pensions of the current retirees. The NASS manages the "صندوق المعاشات" (the "Pension Fund") which has faced significant fiscal pressure due to the demographic shifts.

Pension Formula — معادلة حساب المعاش

Basic formula — 1/45 × average wage × years: The monthly pension is calculated as: 1/45 × متوسط الأجر (average wage) × عدد سنوات الاشتراك (number of contribution years). For example: an employee with an average wage of EGP 10,000 and 30 contribution years receives: 1/45 × 10,000 × 30 = EGP 6,667/month.
Average wage definition: The "متوسط الأجر" (the "average wage") is the average of the "أجر الاشتراك" (the "contributory wage") over the last 5 years (60 months) of contribution. The contributory wage includes the base salary plus the "العلاوات الخاصة" (the "special allowances") and the "المكملات" (the "supplements"), subject to the contribution ceiling.
Maximum pension — 80% of average wage: The pension is capped at 80% of the average wage. Using the formula, this cap is reached after approximately 36 years of contribution (36 × 1/45 = 80%). Additional years beyond 36 do NOT increase the pension amount, though the excess contributions may be refunded.
Minimum pension: The "حد أدنى للمعاش" (the "minimum pension") is set by the government and adjusted periodically — approximately EGP 1,200-1,500/month in 2026 for the full pensioners. If the calculated pension falls below the minimum, the NASS pays the minimum amount.

Retirement Age — سن التقاعد

Male retirement age — 60: The standard retirement age for the male employees in Egypt is 60 years. The male employee must have completed at least 15 contribution years to qualify for the old-age pension at age 60.
Female retirement age — 55 to 60: The retirement age for the female employees depends on the applicable law: (a) under the Law 148/2019, the female retirement age is 60 (equalised with males), (b) under the previous Law 79/1975 (still applicable to certain categories), the female retirement age is 55. The female employees hired after 2019 are subject to the uniform age of 60.
Extended work beyond retirement: The employee may continue working beyond the retirement age with the employer's consent. The contributions paid after the retirement age do NOT increase the pension amount (since the 80% cap applies) but may increase the "علاوة سنوية" (the "annual increment") applied to the pension calculation.

Early Retirement — المعاش المبكر (Age 55+)

Eligibility — age 55+ and 20+ contribution years: The employee may retire early at age 55 provided they have completed at least 20 contribution years. The early retirement is available to both the males and the females under the same conditions.
Reduced benefit — actuarial reduction: The early retirement pension is reduced by an actuarial factor based on the number of years between the early retirement age and the normal retirement age. The approximate reduction is 3-5% per year of early retirement. For example: retiring at 55 (5 years early) results in a reduction of approximately 15-25% of the full pension amount.
Partial pension: The early retiree receives a "معاش مخفض" (the "reduced pension") for the period between the early retirement and the normal retirement age. At the normal retirement age, the pension is recalculated to the full amount (but not exceeding 80% of the wage).
Working after early retirement: The early retiree may continue working without affecting the reduced pension, but additional contributions to the NASS in a new job may increase the final pension amount at the normal retirement age.

Supplementary Pension Schemes — شامل (Shamel)

Private supplementary schemes: The "نظام شامل" (the "Shamel" system) is the supplementary pension scheme offered by the private insurance companies registered with the "الهيئة العامة للرقابة المالية" (the Financial Regulatory Authority — FRA). These schemes are voluntary and supplement the NASS state pension.
Features: The Shamel plans typically offer: (a) the "معاش إضافي" (the "additional monthly pension") on top of the NASS pension, (b) the "تعويض دفعة واحدة" (the "lump-sum payment") option, (c) the "مزايا إضافية" (the "additional benefits" such as the early retirement option, the disability coverage, and the survivor benefits).
Tax treatment: The contributions to the Shamel schemes are tax-deductible up to a limit (approximately 15% of the annual gross income or EGP 10,000, whichever is lower). The lump-sum payout at retirement is partially exempt from the income tax (the first EGP 200,000 of the lump sum is exempt as of 2026).
Alternative — corporate pension funds: The larger employers may establish the "صناديق معاشات خاصة" (the "private pension funds" or the "corporate pension funds") for their employees under the FRA supervision. These funds operate on a defined contribution basis and are regulated under the Law 54/1975.

Survivor and Disability Pensions

Survivor pension — معاش الوفاة: The insured employee's death (whether in service or in retirement) entitles the eligible dependents to the survivor pension. The eligible recipients include: the spouse (the "أرمل/أرملة"), the minor children (the "أبناء قصر"), the parents (the "والدان"), and the dependant siblings. The total survivor pension is distributed among the eligible recipients according to the statutory shares.
Disability pension — معاش العجز: The employee who becomes permanently disabled ("عجز كامل" — "full disability") is entitled to the disability pension if they have at least 3 contribution months (for the work-related disability) or 12 contribution months (for the non-work-related disability). The disability pension is calculated using the same formula as the old-age pension.
Work injury: The work injury ("إصابة العمل") benefits include: (a) the "تعويض إصابة عمل" (the "work injury compensation") at 100% of the wage for the first 6 months, (b) the "معاش إصابة عمل" (the "work injury pension") for the permanent disability, (c) the medical treatment and rehabilitation costs covered by the NASS.