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SSS Retirement Pension and Other Benefits

Updated: Jan 31

Retirement is a stage in life that every person will eventually reach. With that in mind, it is crucial to prepare for retirement by securing a pension plan. One of the most popular pension plans in the Philippines is the Social Security System (SSS) Retirement Pension. In this article, we will discuss everything you need to know about SSS Retirement Pension Benefits.


What is SSS Retirement Pension?


The SSS Retirement Pension is a social insurance program that provides financial assistance to eligible members who have reached the age of 60 and have retired from work. It is a monthly cash benefit that aims to help retired members sustain their daily needs and supplement their retirement savings.


Who are Qualified to Avail SSS Retirement Pension?

Member must have paid at least 120 monthly contributions prior to the semester of retirement and is any of the following, whichever is applicable:


For Optional Retirement:

1. at least 60 years old and separated from employment or has ceased to be a Self- employed, OFW or Household Helper;

2. at least 55 years old and separated from employment or has ceased to be a Self employed, if an “underground mineworker";

For Technical/ Mandatory Retirement:

3. at least 65 years old whether still employed/Self-employed, working as OFW/Household Helper or not;

4. at least 60 years old whether still employed/Self-employed or not, if an “underground mineworker or;

5. a total disability pensioner who has recovered from disability and is at least 60 years old (or at least 55 years old, if an underground mineworker).


What are the Factors that Affect Your SSS Pension:

  1. Average Monthly Salary Credit (AMSC): The AMSC is the average of your last 60 monthly contributions. It is the basis for calculating your SSS pension. The higher your AMSC, the higher your SSS pension will be.

  2. Credited Years of Service: The number of years you have contributed to the SSS determines your credited years of service. You need to have a minimum of ten years of credited service to qualify for an SSS pension.

  3. Retirement Age: The retirement age for SSS members is 60 years old. However, you may opt to retire at the age of 65 to receive a higher pension.

  4. Dependents: If you have dependents such as a spouse or children, you are entitled to receive additional benefits. Your dependents may receive a monthly pension of 10% of your pension or a lump sum benefit equivalent to 60 months of your pension.

Types of retirement benefits


1. Lump sum amount – one-time payment granted to a retiree. The amount is equal to the total contributions paid by the member and/or by his/her employers, including interest earned.


Qualifying Conditions:


a. Member is at least 60 years old (or 55 years old, if an underground mineworker) for optional retirement, or

b. 65 years old (or 60 yrs old, if an underground mineworker) for technical retirement, and has paid less than 120 monthly contributions.


A member filing for retirement benefit and has paid less than 120 monthly contributions shall be given the option to continue paying the contributions as a Voluntary Member to complete the 120 months to avail the full benefits thru monthly pension.


2. Monthly pension – a lifetime cash benefit paid to a retiree on a regular basis.


Qualifying Conditions:


Member must have paid at least 120 monthly contributions prior to the semester of retirement and is any of the following, whichever is applicable:


a. at least 60 years old and separated from employment or has ceased to be a Self-employed/OFW/Household Helper (optional retirement);

b. at least 65 years old whether still employed/Self-employed, working as OFW/Household Helper or not (technical retirement);


How can I apply for SSS Retirement Pension?


Members have two options for filing a retirement claim. Over the counter or online application using My.SSS portal.


Before filing for SSS Retirement benefits, prepare the following requirements needed:

  1. SSS retirement claim application form (SSS Form DDR-1)

  2. Primary ID or two secondary IDs

  3. Birth certificate or any valid ID showing your date of birth

  4. Original and photocopy of passbook/ATM card with name, or copy of bank-validated deposit slip or Cash Card Enrollment form.

  5. Other supporting documents, if necessary


For Over the Counter Application, follow below steps:

  1. Prepare the needed documents.

  2. Visit any SSS branch and submit your retirement claim application form and other requirements.

  3. Wait for the processing of your application.

For Online Application, the following qualifications has to be met:

  1. Must have disbursement account enrolled in the Bank Enrollment Module of My.SSS such as:

    1. UMID-ATM

    2. UBP Quick Card

    3. Any PesoNet-accredited bank

  2. They have no cancelled or multiple SS number/s

  3. They have no outstanding loan balance under the:

    1. Stock Investment Loan Program

    2. Privatization Fund Loan Program

    3. Educational Loan Program; or

    4. Vocational Technology Loan Program

  4. They have no dependent children

Once you met the above qualifications, follow below steps using My.SSS Portal.

  1. Log in to My.SSS

  2. Click member account

  3. Under E-Services tab, click submit Retirement Claim Application

  4. For covered employee, enter the date of separation

  5. Check the personal information if correct then proceed to check your eligibility for the retirement claim.

  6. Answer the questions regarding employment as to mineworker, racehorse jockey and if you have dependent children.

  7. If qualified, you will then receive the proceeds on the account enrolled in the Bank Enrollment Module.


How is the SSS Retirement Pension computed?


The amount of your SSS Retirement Pension benefit depends on your paid contributions and the number of credited years of service. The higher your contributions and credited years of service, the higher your monthly pension will be.


Step 1: Determine your Average Monthly Salary Credit. To compute your AMSC, you need to add your last 60 monthly contributions and divide it by 60. You can refer to your SSS contributions record to get this information.


Step 2: Compute your Credited Years of Service (CYS). To compute your credited years of service, you need to count the number of years you have contributed to the SSS. You can also check this information on your SSS contributions record.


After getting your AMSC and CYS, you can proceed computing for your pension. There are three formulas to compute for your SSS Pension. Whichever is the highest among the three will be the final pension.


Formula # 1- Based on the Credited Years of Service (CYS)

= P 300 + (20% AMSC)+[2% AMSC (CYS-10)]


Formula # 2- Minimum SSS pension

= P 1,200 if CYS is somewhere between 10-20 years;

= P 2,400 if CYS is 20 years or more


Formula # 3- Based on the Average Monthly Salary Credit (AMSC)

= 40% AMSC


For us to understand better, let us compute the pension plan of Juan dela Cruz given the following data:

  • Average Monthly Salary Credit is 16,000 and;

  • Credit Years of Service is 25 years

SSS Pension computation formula

On the above illustration, the final pension is P 8,300 + P 1,000.


Pursuant to the Memorandum from the Executive Secretary released dated February 22, 2017, an additional P 1,000 is to be given to all qualified Pensioners and Beneficiaries of SSS.


SSS retirement benefit estimator is also available at SSS website for easy reference. Just follow the link at https://www.sss.gov.ph/sss/portlets/retirementestimator/retirementEstimator1.


*Note: This SSS pension computation doesn’t account for inflation. For a more accurate estimate of your expected pension, consult your local SSS office.


What are the other benefits of SSS Retirement Pension?


Aside from the monthly cash benefit, eligible members of the SSS Retirement Pension are also entitled to the following benefits:

  • 13th-month pay: Retired members who have at least one contribution in the calendar year are entitled to a 13th-month pay equivalent to one-twelfth of their annual retirement pension.

  • Automatic PhilHealth membership: Retired members who are not yet PhilHealth members will be automatically enrolled in the program and will be entitled to its benefits.

  • Funeral benefit: A one-time cash benefit equivalent to the member's monthly pension multiplied by the number of years of service will be given to the primary beneficiaries or nearest surviving relatives.

To know more on other benefits with other government agencies, visit our blogs at www.aanyahr.com. With AanyaHR, we keep you updated on the latest changes to SSS, Philhealth & HDMF as you can view latest blogs upon logging in to the system. For more features, visit our website



Source: SSS


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14 Comments


Guest
Feb 04

pwede po ba ang ewallet (gcash)na disbursement acct. para sa retirement benefits?

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Guest
Dec 19, 2023

Tanong lang po ilang days pwedeng makafile ng retirement claim after mg enrol sa disburesment module? thanks


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Guest
Jan 22
Replying to

kapag okay na ang lahat

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Guest
Dec 02, 2023

tanong long po pag mamatay yong parents ng minor any po ba requirement para ma claim yong pension thank you po

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Guest
Nov 23, 2023

where to submit documents for voluntary contributions 120 months retirement

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Guest
Jan 22
Replying to

sa sss po

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Guest
Nov 20, 2023

Pwede po bang alisin as primary beneficiary ang asawa kung matagal ng hiwalay? At ipalit ang name ng magulang na nanay para sa bagong beneficiary?

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Guest
Jan 22
Replying to

pwede atleast ma represent niyo po ang mga requirement na need ipasa

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