The Social Security System is set to hike its monthly contribution rate to 13% from the current 12% of members' salaries on January 2021.
The Social Security System or SSS is set to implement a one-percent hike on the members' monthly contribution effective January 2021.
The SSS contribution hike caused the minimum MSC to be raised to ₱3,000 from ₱2,000, while the maximum MSC will go up to ₱25,000 from ₱20,000. The commission clarified the minimum MSC for Kasambahay and Overseas Filipino Workers members will remain at ₱1,000 and ₱8,000, respectively. The SSC Chairman added the full implementation in 2025 of the restructured rates and other related reforms under the Social Security Act of 2018"will offset the adverse financial impact of the ₱1,000 pension increase granted in 2017."
Among the reforms introduced in the new law is the provision of Unemployment Benefit for members involuntarily separated from their jobs and the extension of the MSC cap for the computation of benefits to ₱20,000.