The Social Security System (SSS) will implement a 1% increase in its contribution rate, bringing it to 15% from 14%, starting January 2025. This change is in line with the provisions of Republic Act No. 11199. The SSS is also increasing the minimum and maximum Monthly Salary Credit (MSC).
The Social Security System ( SSS ) announced a 1% contribution rate hike beginning January 2025, increasing the rate to 15% from 14%, according to Republic Act (RA) No. 11199, the Social Security Act of 2018. This change also includes increases in the minimum Monthly Salary Credit ( MSC ) to P5,000.00 from P4,000.00 and the maximum MSC to P35,000.00 from P30,000.00. These adjustments mark the final phase of contribution rate and MSC increases initiated in 2019.
The SSS president and CEO, Robert Joseph M. De Claro, stated that these reforms, aimed at securing the long-term sustainability of the SSS, will extend the fund's lifespan to 2053, doubling it from the projected 2032. This will enable the SSS to fulfill its social security obligations to both current and future members during unforeseen circumstances. De Claro explained that the contribution rate and MSC increases will generate an additional P51.5 billion in 2025, with 35% or P18.3 billion directly allocated to the Mandatory Provident Fund (MPF) accounts of SSS members. He further emphasized how this additional revenue allows the SSS to support the national government during challenging times, particularly in providing calamity loans. In 2024, the SSS disbursed P9.7 billion in calamity loans to over 500,000 members affected by calamities. De Claro outlined that in 2025, the SSS's top priority is service excellence for its members. They aim to enhance programs and systems to deliver superior customer service
SSS Contribution Rate Social Security MSC Economic Reform
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