sss.gov.ph My.

SSS Corporate Profile Membership Benefits Loans Publications Other Services Saturday, October 28, 2017

Retirement Benefit
OVERVIEW Q U AL I F Y I NG C O ND I TI O N S HO W T O A P P L Y PENSION DETAILS

There are two types of retirement benefit:

monthly pension - a lifetime cash benefit paid to a retiree who has paid at least 120 monthly contributions to the SSS prior to the semester of retirement.
lumpsum amount - granted to a retiree who has not paid the required 120 monthly contributions. It is equal to the total contributions paid by the member and by the employer including
interest.

Monthly Pension

Benefit Computation

The monthly pension depends on the member's paid contributions,  his credited years of service (CYS), and the number of his dependent minor children that must not
exceed five. The monthly pension will be the highest amount resulting from either one of these three pension formulae:

1. the sum of P300 plus 20 percent of the average monthly salary credit plus two percent of the average monthly salary credit for each credited year of service (CYS) in
excess of ten years; or
2. forty (40) percent of the average monthly salary credit; or
3. P1,200, if the CYS is at least 10 but less than 20; or P2,400, if the CYS is 20 or more. 

The monthly pension is paid for not less than 60 months. 

A member who retires after age 60 with a total of 120 monthly contributions may be qualified to a monthly pension based on whichever is higher of the following:

• the monthly pension computed at the earliest time the member could have retired had been separated from employment or ceased to be self-employed plus all
adjustments thereto; or
• the monthly pension computed at the time when the member actually retires.

A pensioner who retires more than once shall be entitled to the higher of:

• the monthly pension computed for the first retirement claim; or

• the re-computed monthly pension for the new claim

Dependents Allowance

The legitimate, legitimated or legally adopted, and illegitimate children, conceived on or before the date of retirement of a retiree will each receive dependents' allowance equivalent to
10 percent of the member's monthly pension, or P250, whichever is higher.
Only five minor children, beginning from the youngest, are entitled to the dependents' allowance. No substitution is allowed.
If there are more than five dependents, the legitimate, legitimated or legally adopted children shall be preferred.

The dependents' allowance stops when the child reaches 21 years old, gets married, gets employed, or dies. However, the dependents' allowance is granted for life for
children who are over 21 years old, if they are incapacitated and incapable of self-support due to physical or mental defect that is congenital or acquired during minority.

Benefit Payment

The retiree-member has the option to receive the first 18 months' pension paid out in lumpsum, but discounted at a preferential rate of interest to be determined by the
SSS. The member shall start receiving his pension on the 19th month, and every month thereafter. This option for advance payment shall be exercised only when filing the
first retirement claim. It is only the advanced pension payments that are discounted on the date of payment; the dependent's allowance and 13th month pension are
excluded from the advanced 18-month pension amount.

The monthly pension is paid thru the member's designated bank thru which he wishes to receive his pension benefits under the "Mag-Impok sa Bangko" program. This
became mandatory effective September 1,1993.

Upon approval of the claim, the SSS will send the member a notice voucher indicating when to withdraw the benefit from the bank.

Other Benefits

The retiree is entitled to a 13th month pension payable every December.

All retiree pensioners prior to the effectivity of RA 7875 on March 4, 1995 are automatically considered members of PhilHealth and, along with their legal dependents, are entitled to
PhilHealth hospitalization benefits. On the other hand, retirees effective March 4,1995 up to the present will be entitled to PhilHealth hospitalization benefits only if they have contributed
120 monthly Philhealth/Medicare contributions. The counting of 120 monthly contributions shall start in 1972, when the Medical Care Act of 1969 started implementation.
A copy of the DDR print-out indicating the type of claim is retirement in nature and the effectivity date of the pension, or in its absence, a copy of retiree-pensioner certification issued by
SSS shall be required. They need to register under Philhealth for the issuance of a Philhealth ID card for non-paying members. 
IMPORTANT!
sss.gov.ph My.SSS Corporate Profile Membership Benefits Loans Publications Other Services Saturday, October 28, 2017
Upon the death of a retiree pensioner, the primary beneficiaries shall be entitled to 100 percent of the monthly pension, and the dependents to the dependents' allowance.
If the retiree pensioner dies within sixty (60) months from the start of the monthly pension and has no primary beneficiaries, the secondary beneficiaries shall be entitled to a lumpsum
benefit equivalent to the total monthly pensions corresponding to the balance of the five-year guaranteed pension period, excluding the dependents' allowance. 
In case the retiree-member who is less than 65 years old resumes employment or self-employment, the monthly pension shall be suspended and the member shall again be subjected
to compulsory coverage. 
If the retiree-member is 65 years old and older, he can resume employment or self-employment without prejudice to his monthly pension and without need for compulsory coverage.

SSS Homepage Copyright © 1997 Terms of Service

SSS Building East Avenue, Diliman Quezon City, Philippines
For comments, concerns and inquiries contact:
SSS Trunkline No. (632) 920-6401
SSS Call Center: 920-6446 to 55; IVRS: 917-7777; SSS Email: member_relations@sss.gov.ph; SSS Facebook: https://www.facebook.com/SSSPh