Starting January 2021, the Social Security System (SSS) will also be increasing its monthly contributions to 13 percent of members’ incomes.
This is higher than the current 12-percent contribution drawn from members’ salaries, the Social Security Commission (SSC) said. For the minimum monthly salary credit (MSC) of P3,000, the new rates would mean a P390 contribution from the current P320.
MSC determines the level of contributions and benefits per member based on their monthly earnings.
SSC Chairman and Finance Secretary Carlos Dominguez said the rate increase will secure the long-term viability of the pension fund, and expand coverage and benefits for members and their beneficiaries as provided for under Republic Act No. 11199 or the Social Security Act (SSA) of 2018.
SSS distributed P159.47 billion in social security and benefits from January to October to a total of 3.56 million members and beneficiaries — a 2.6-percent decrease as disbursements were slowed at the height of the COVID-19 pandemic.
Groups called on SSS and Philhealth to delay the contribution hikes to provide relief for Filipinos as the COVID-19 pandemic ravages the country’s economy, leaving millions out of job.
