Send money to the Philippines Online!

Send money to the Philippines Online!
Remit.com.au makes sending funds to friends and family in the Philippines as easy

Carousel

Sponsored Links
SEARCH THIS SITE
JBSOLIS is a site for overseas Filipino workers, health and insurances, OWWA, PAG-IBIG, bank and cash loans, foreclosed properties, small house designs, local and overseas job listings.
Advertisement

Sunday, July 28, 2019

How Much SSS Pension You Will Receive When You Retire?




Do you know how much you will receive from Social Security System (SSS) when you retire starting this 2019? If not then, this article is for you!

When Republic Act 11191 or the Social Security Act of 2018 or becomes a law, SSS increased the monthly contribution by 12 percent with an aim to provide better pension and benefits for members which means, the higher the contribution, the higher the pension.

Ads


Retirees are entitled to an SSS pension increase of PHP 1,000 as approved by the president in 2017. So the next question would be, how much SSS pension will I received if I retire? Please take note that SSS pension is computed based on the following three factors;
  • Paid Contributions
  • Number of Active Years as an SSS member
  • Number of Dependent Minor Children You Have
There are three formulas used to compute your SSS pension, but the following formula will more lively give you the highest possible amount of pension.

Manual SSS Pension Computation

PHP 300 + 20% of average monthly salary credit (AMSC) + 2% of AMSC for each credited year of service (CYS) in excess of ten years + PHP 1,000

40% of the average AMSC + PHP 1,000

PHP 1,200 if CYS is somewhere between 10-20 years; PHP 2,400 if CYS is 20 years or more + PHP 1,000
Ads


Here's a clear example:

You are earning PHP30,000 and has contributed to the SSS for 40 years. According to the new SSS contribution table effective April 2019, his AMSC is PHP 20,000. Here’s how your SSS pension computation will look like.

Monthly Pension (MP) = PHP 300 + (20% of AMSC) + [2% of AMSC x 30 years (40 years – 10)] + PHP 1,000


MP = PHP 300 + (0.20 x 20,000) + (0.02 x 20,000 x 30) + PHP 1,000

MP = PHP 300 + PHP 4,000 + PHP 12,000 + PHP 1,000

Monthly SSS Pension = PHP 17,300

Sponsored Links

If you want an easy way to compute your SSS pension without formulas, there's SSS Retirement Benefit Estimator found on the SSS website. All you need to enter is your birthdate, the month and year when you started as an SSS member and your current monthly salary! Then enter the captcha code and click the ‘Compute’ button. The SSS calculator will show you two sets of monthly pension amounts: one for when you retire at age 60 and another for when you retire at 65. The SSS pension is higher if you choose retirement at age 65.



Now I guess you already know how much SSS pension you will receive when you retire? So will it be enough for your needs? If not, as early as you can, start investing in something or start a small business that will give you additional income when you retire. Take note that when we retire, we stop earning from our employer but our needs for food, medicine, and other things will continue.


This article is filed under pension, SSS, social security system and retirement benefits.

©2019 THOUGHTSKOTO