The increase in members' monthly contribution is set to take place in 2025, Social Security System President Aurora Ignacio announced Tuesday, Nov. 9.
"Ang susunod nating pagtaas ng contribution na nakasaad sa batas ay sa taong 2025. Di tayo basta-basta makakagawa ng increase ng atin lang pong management o commission lang, kailangan nasa batas (Our next contribution hike stated in the law is in the year 2025. We cannot just make an increase based on our management or commission's decision, it must be in accordance to the law)," Ignacio said.
A one-percent contribution increase is imposed on SSS members every two years beginning 2019 until 2025, based on the Republic Act 11199.
"Ngayon po ang ating reserve fund ay nasa P625 billion, yun po yung ating pondo ng SSS ngayon na ginagamit para sa benepisyo ng ating members (As of current, our reserve fund is at P625 billion, that's our SSS fund now that's used for the benefit of our members)," she added, noting that the current fund life of SSS is still until 2054.
However, Ignacio stressed that the actuarial evaluation was done in 2019. The next one will be done in 2023.
"Kaya lang hindi ho kasama sa pinag-aralan ng gumawa ng actuarial evaluation ang COVID pandemic. Dahil nung ginawa ito ay wala pang pandemya (The COVID-19 pandemic was not included in the actuarial evaluation because when the study was done, there was not pandemic yet)."
Ignacio also noted that members' contributions in 2020 declined by 7.8 percent or about P206 billion. In 2019, the SSS collected P223 billion.
"Gawa po ng maraming negosyo na nagsara or nag-layoff ng mga empleyado. Ang kanila pong mga contribution either naputol at the time of the pandemic at hindi na po nakapagpatuloy hanggang sa matapos ang 2020 (It's because many businesses closed or laid off employees. Their contributions were either cut off at the time of the pandemic and did not continue until the end of 2020)."