2. Understanding Your SSS Program Part I

3. 3 Who Are Covered?  All private-sector workers Not over 60 yrs. old With at least P1,000 monthly income  Compulsory Employed Self-employed (SE)  Voluntary Separated employees Non-working spouses OFWs  Compulsory Employed Self-employed (SE)  Voluntary Separated employees Non-working spouses OFWs

4. 4 How Are Contributions Computed? Monthly Salary Credit (MSC) Contribution Rate Monthly Contribution Amount Min: P1,000 Max: P15,000 Currently at 10.4% of which: Employer 7.07% Employee 3.33% SE/VM/OFW 10.4% Min: P104 Max: P1,560

5. 5 What Are The Benefits Provided?  Long-term Retirement Disability Death (with Funeral Grant)  Short-term Sickness Maternity all Contributions finance all these benefits

6. EMPLOYERS INVESTMENT RESERVE FUND SERVICESWORKERS RESERVE FUND Contributions Benefits Operating Expenses IncomeInvestments MEMBERS & DEPENDENTS How Does Your SSS Fund Work? 6

7. 7 ContributionsP831-billionBenefitsP830-billion Operating exp.P 89-billionInv. IncomeP384-billionREVENUESEXPENDITURES What Is The Status of Your SSS Fund? (From 1957 to Nov 2011) NET REVENUES: P296-billion Total Expenditures P919- billion Total Expenditures P919- billion Total Revenues P1,215- billion Total Revenues P1,215- billion ASSETS: P320-billion

8. 2031 In 2003 : Funds to last until 2031 2015 In 1999: Funds to last until 2015 8 2039 In 2007: Funds to last until 2039 perpetuity Ultimate goal: Gradually back to perpetuity Required Contribution Rate: 14% (per 2007 valuation) perpetuity In 1980: Funds to last in perpetuity What Is The Life of Your SSS Fund?

9. Value of Your SSS Membership Part II

10. 10 Value of Your SSS Membership Becomes SSS memberReaches compulsory retirement TYPICAL WORKER-MEMBER: WITH 20 SERVICE YEARS RETIREMENT BENEFITS (plus 13 th month pension) Contributions (20 years) Pensions (20 years) Min P24,960 P624,000 Max P374,400 P1,638,000 25x in return Up to 25x in return

11. 11 Value of Your SSS Membership Worker dies; with 1 qualifying contribution DEATH BENEFITS (plus P20,000 Funeral Grant) Contributions (1 month) Lump Sum MinP104P32,000 MaxP1,560P92,000 308x in return Up to 308x in return

12. 12 Value of Your SSS Membership Worker gets sick for 120 days; with 3 qualifying contributions SICKNESS BENEFITS Contributions (3 months) Cash Allowances MinP312P1,800 MaxP4,680P27,000 6x in return Up to 6x in return

13. 13 Value of Your SSS Membership Female worker gives birth; with 3 qualifying contributions MATERNITY BENEFITS (Normal: 60 days / Caesarian: 78 days ) Contributions (3 months) Cash Allowances MinP312 P1,000 / 1,300 MaxP4,680 P15,000 / 19,500 4x in return Up to 4x in return

14. 14 Value of Your SSS Membership Worker is partially disabled for 2 years; with 36 qualifying contributions PARTIAL DISABILITY BENEFITS (plus 13 th month pension & Supp. Allowance) Contributions (36 months) Pensions (2 years) MinP3,744P39,000 MaxP56,160P169,000 10x in return Up to 10x in return

15. 15 Value of Your SSS Membership Worker is totally disabled; with 36 qualifying contributions TOTAL DISABILITY BENEFITS (plus 13 th month pension & Supp. Allowance) Contributions (36 months) Pensions (5 years) MinP3,744P97,500 MaxP56,160P422,500 26x in return Up to 26x in return

16. 16 Value of Your SSS Membership Worker dies & leaves primary beneficiaries; with 36 qualifying contributions DEATH BENEFITS (plus 13 th month pension & P20,000 Funeral Grant) Contributions (36 months) Pensions (5 years) MinP3,744P85,000 MaxP56,160P410,000 23x in return Up to 23x in return

17. 17 Pensioner dies 100% of monthly pension for life Primary beneficiaries continue to receive 100% of monthly pension for life SURVIVORS’ PENSION (plus P20,000 Funeral Grant) Value of Your SSS Membership

18. 18 /a Based on 240 monthly contributions (20 years) paid in 1980-1994 & 2005-2009 (w/ 10-year gap in 1995-2004) /b Retired at 65 y.o. in 2010; Based on pension period of 10 yrs., with funeral grant of P20,000 Minimum Case P7,184 P104 P332,000 P2,400 Maximum Case P131,328 P1,560 P839,000 P6,300 Credited Service:20 Years Pension Period:10 Years Contributions Paid /a Last Monthly Contribution Benefits Received /b Monthly Pension Contribution-Benefit RatioP1 : P46P1 : P6 Value of Your SSS Membership (Actual Member Cases)

19. 19 /a Based on 240 monthly contributions (20 years) paid in 1980-1994 & 2005-2009 (w/ 10-year gap in 1995-2004) /b Retired at 65 y.o. in 2010; Based on pension period of 20 yrs., with funeral grant of P20,000 Minimum Case P7,184 P104 P644,000 P2,400 Maximum Case P131,328 P1,560 P1,658,000 P6,300 Credited Service:20 Years Pension Period:20 Years Contributions Paid /a Last Monthly Contribution Benefits Received /b Monthly Pension Contribution-Benefit RatioP1 : P90P1 : P13 Value of Your SSS Membership (Actual Member Cases)

20. 20 Value of Your SSS Membership (Comparison vs. Private Insurance - Standard) Sickness Allowance Maternity Allowance Disability Benefits Retirement Benefits Death Benefits Funeral Grant Continuing / No Lapsation Government Guarantee     

21. Concluding Remarks

22. SSS Program Understand the SSS Program & the value of your membership SSS records Check & update your SSS records & pay your loans on time SSS contributions & loan payments Be vigilant & ensure remittance of your SSS contributions & loan payments 22 Your Role as SSS Members

23. WE ARE ALL RESPONSIBLE FOR THE SSS. 23 Ang SSS: Kabalikat Natin Our Role as Stakeholders

24. 24