SSS clarifies hike on contribution

Oct 14, 2017

Social Security Commission (SSC) Chairman Amado D. Valdez said the pension fund is still studying the possible implementation and effects of a monthly contribution rate increase, contrary to reports that it will implement a contribution adjustment by January 2017.
“The contribution increase is our last option. However, should the institution be pushed to do such action, to secure the fund life of the Social Security System (SSS) and for the benefit of our current and future members and pensioners, we would like to assure the public that the contribution rate increase will be at the minimum amount only. We are trying our best to find ways to generate income for the pension fund,” Valdez said.
Valdez said that under the current administration, based on the latest data, collection from members’ contributions as of the end of first semester of 2017 increased by 9.62 percent to P78.64 billion.
SSS investment income also increased by 12.27 percent during the same period from P16.09 billion to P18.35 billion.
“We are looking at various income-generating schemes including disposal of sub-optimal properties to maximize revenues from these real estate properties,” Valdez said.
Talks on SSS contribution rate increase happened in the wake of ongoing Senate hearings on the SS Reform Act of 2017.
Senator Richard Gordon, author of the bill, said the SS Charter Amendment will be a landmark bill which he will push for passage by end of this year.
“We strongly support Sen. Gordon’s mantra that we should work, save, and invest to prosper. Right now, SSS is the best and affordable savings mechanism for our workers,” Valdez said.
Based on the latest pension simulation by the SSS Actuarial and Risk Management Group, a member with an actual monthly salary of P30,000 at the time of his retirement with 45 credited years of service will have a basic monthly pension of P15,700, or only 52 percent of his last salary under the current P16,000 monthly salary credit (MSC) ceiling.
If the MSC ceiling will be adjusted to P30,000 by 2022, his estimated monthly pension will be at P29,300 or about 98 percent of his last salary at retirement.
The proposed bill to amend the 20-year old SS Charter is currently being deliberated at the committee level in the Senate and was listed as a priority bill of the Legislative-Executive Development Advisory Council (LEDAC) Executive Committee.
SSS eyes the charter amendment proposal as one of the long-term solutions that will make the pension fund viable and sustainable to further serve its future members and pensioners.
One of the major provisions of the proposal is the rationalization of the powers, duties and accountabilities of the Social Security Commission (SSC). With the rationalized powers, it will make it easier for the SSC to diversify SSS investments to generate and boost earnings of the pension fund, and to further improve the benefits being disbursed to its members.
The bill, when enacted into law, will also allow the Commission to condone penalties on delinquent contributions by employers and employee-members, and to determine appropriate monthly salary credit and contribution tables based on actuarial studies for the stability and viability of the pension fund. PR / ABN

RELATED POSTS

SPECIAL TREATS FOR EMPLOYEES

SPECIAL TREATS FOR EMPLOYEES

Benguet Capitol employees availed themselves of free haircut, hot oil hair treatment, foot spa, and manicure and pedicure services, an...

LATEST NEWS

130 FAMILIES EVACUATE BECAUSE OF “KARDING”

130 FAMILIES EVACUATE BECAUSE OF “KARDING”

BAGUIO CITY (September 26, 2022)—Typhoon "Karding" did not directly hit the highland Cordillera though some 139 families in four provinces sought refuge to safer grounds, the social welfare department said. In Abra, 47 families consisting of 156 individuals were...

5 DRUG PERSONALITIES HULI SA BUY-BUST SA BAGUIO, ABRA

CAMP DANGWA, Benguet -- Nahaharap ngayon sa kasong paglabag sa Republic Act 9165 o Comprehensive Dangerous Drugs Act of 2002 ang limang drug personalities matapos silang arestuhin sa magkahiwalay na buy-bust operation na isinagawa sa Baguio City at Abra noong...

PHILIPPINES- CHINA PHOTO EXHIBIT

PHILIPPINES- CHINA PHOTO EXHIBIT

A series of photographs was unveiled at SM City Baguio last September 19, 2022. Chinese Embassy's Minister Counselor Wang Yulei, Mayor Benjamin Magalong, SM Assistant Vice President of Operations SM North 1 Jansenn Pe and SM Mall Manager Rona Correa led the unveiling...

PANGASINAN MANGPATAUD ITI SALT CENTER PARA PANAGSIRARAK, PRODUKSION

LINGAYEN, Pangasinan -Asidegen a mangipasdek iti probinsia a gobierno ti Pangasinan iti maysa a salt center iti probinsia tapno mapasayaat iti panagsirarak ken kamaudiananna iti produksion iti asin nga isut naggapuanan iti nagan ti probinsia. Iti maysa nga interbiu...

LA UNION 121ST POLICE SERVICE ANNIVERSARY

LA UNION 121ST POLICE SERVICE ANNIVERSARY

Affirming the Provincial Government of La Union’s support to the Philippine National Police’s commitment in securing a peaceful and orderly province, Gov. Raphaelle Veronica “Rafy” Ortega-David graced the 121st Police Service Anniversary celebration of the La Union...

DEVELOPERS MEET, DISCUSS SOLUTIONS FOR THE COUNTRY’S HOUSING INDUSTRY

As of 2017 , housing backlog estimated at 6.7 million ; developers target building two million for 2022 Every Filipino family aspires owning a home. Years, the Subdivision and Housing Developers Association, Inc. (SHDA) has relentlessly been trying to make that dream...

FACE MASK BOLUNTARYO NA ANG PAGGAMIT SA BAGUIO

BAGUIO CITY – Sa mga naasiwa na sa paggamit ng facemask ay nagbigay na ng signal si Mayor Benjamin Magalong at ang city council sa pamamagitan ng naaprubahang resolusyon na puwede ng hindi mag face mask o’ boluntaryo na lamang ang paggamit nito sa mga outdoor setting...

ADOPTED SON

ADOPTED SON

Iginawad ng provincial government ng Kalinga ang mataas na pagkilala kay PNP Chief Gen.Rodolfo Azurin,Jr., bilang adopted son ng Kalinga at pinangalanang "Inchakas" sa kanyang pagbisita sa lalawigan noong Setyembre 15, Photo by Kalinga PPO/ABN

MANNALON TI ILOCOS NORTE AGAPIT MANIPUD RICE HYBRID PROJECT

SUIDAD TI LAOAG, Ilocos Norte-Dagiti mannalon a nalipaset iti maysa a 160- hectare hybrid rice cluster technology demonstration project sadiay Ilocos Norte ket agapiten iti mulada inton sumaruno a lawas. Ipalgak dagiti nadumaduma a teknolohia ti panangpataud iti bagas...

ARCHIVE

CONTACT US FOR YOUR ADVERTISEMENTS

MASTHEAD

Pin It on Pinterest