Definition

The retirement benefit is a cash benefit paid either in monthly pension or as lump sum to a retiree member who can no longer work due to old age. 

Types of retirement benefit

  1. Monthly pension – a lifetime cash benefit paid to a retiree member on a monthly regular basis who has paid at least 120 monthly contributions prior to the semester of retirement.
  2. Lump sum benefit – a one-time cash benefit equivalent to the total contributions paid by the member or his employer/s, including interest earned, paid to a retiree member who has not met the required 120 monthly contributions.

Qualifying Conditions

1. A member with at least one hundred twenty (120) monthly contributions prior to semester of retirement; and

a. Has reached sixty (60) years old and is separated from employment or has ceased to be self-employed, except:

    • In the case of an underground mineworker (R.A. No. 8558), at least 55 years old effective 13 March 1998; and
    • In the case of an underground or a surface mineworker (R.A. No. 10757), at least fifty (50) years old effective 27 April 2016; or

b. Is at least sixty-five (65) years old, except:

    • In the case of an underground mineworker effective 13 March 1998 [R.A. No. 8558] or a surface mineworker effective 27 April 2016 (R.A. No. 10757), at least sixty (60) years old, and
    • In the case of a racehorse jockey (R.A. No. 10789), at least 55 years old effective 24 May 2016.

2. A former retiree-pensioner whose monthly pension was suspended due to re-employment/self-employment and is now separated from employment or has ceased to be self-employed.

Benefit Details

Lump Sum Benefit

A member who has reached the age of 60 years (or 50 years old if underground or surface mineworker) for optional retirement, or 65 years (or 60 years old if underground or surface mineworker; or 55 years old if a racehorse jockey) 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 VM to complete the 120 months to avail the full benefits thru monthly pension. 

 

Monthly Pension

If a member is qualified, the amount of monthly pension will be the highest result of the following formula:

  1. 300 + (20% x AMSC*) + (2% x AMSC) x (CYS** – 10); or
  2. 40% x AMSC; or
  3. Minimum pension (P1,200 if with at least 10 CYS or P2,400 if with at least 20 CYS).

*AMSC (Average Monthly Salary Credit)
**CYS (Credited Years of Service)

Benefit Payment

Mode of Payment

The retirement benefit, either in the form of monthly pension or lump sum amount, shall be credited to the member’s Unified Multi-Purpose Identification (UMID) card enrolled as ATM. If without UMID card enrolled as ATM, the retirement benefit shall be credited to the preferred disbursement account registered by the member through the Disbursement Account Enrollment Module (DAEM) under the E-Services menu of the My.SSS Portal. 

NOTE: In the absence of UMID card enrolled as ATM, members are required to enroll a disbursement account through the DAEM in the My.SSS Portal prior to filing (either online or over-the-counter) of retirement benefit claim.

See also How to enroll an account in the Disbursement Account Enrollment Module

 

Advance 18 Months Pension

A member has the option to receive in advance the first 18 monthly pension in lump sum, discounted at a preferential rate of interest to be determined by the SSS. The option should be exercised upon filing of the initial retirement claim.

For a member confined in the applicable institution such as penitentiary, correctional institution or rehabilitation center, the monthly pension or lump sum benefit shall be paid thru check.

 

Possible deductions from the retirement benefit

1. All unpaid short-term member loans of members claiming for retirement benefit, whether or not the term of payment has expired as of contingency date, shall be deducted in full from the proceeds of the benefit payments.

The date of contingency shall be the cut-off date for charging interest and penalty.

2. The amount of settled unemployment benefit may be deducted, either in partial or full, from the retirement benefit/s of the member in the event of the following:

i. When the involuntarily separated employee files a case/complaint against his/her employer and the final and executory resolution thereof showed:

    1. that substantive and procedural due process was complied with in the termination of employment based on any of the just cause/s under Article 297 (282) of P.D. No. 442 or the Labor Code of the Philippines, as amended; or
    2. that the case/complaint resulted in re-instatement of the involuntarily separated employee with payment of backwages; and

ii. When the employee is rehired or re-employed within the compensable period, or within two (2) months from the date of involuntary separation.

3. Overlapping sickness and partial disability benefits shall be deducted from the proceeds of the benefit payments.

4. Overpaid pension due to dependent’s death, employment or marriage shall be deducted from the monthly pension.

 

Other benefits

A retiree is entitled to a 13th month pension, payable every December. Effective January 1, 2017, all retirement pensioners shall also receive P1,000 additional benefit on top of their monthly pension.

 

Dependent’s pension

The dependent children of a retired member are entitled to Dependent’s Pension which is equivalent to ten percent (10%) of the member’s monthly pension or P250, whichever is higher. This is paid for each dependent child conceived/legally adopted on or before the date of retirement of the member, but not exceeding five (5) in number beginning with the youngest and without substitution.

The following shall be considered as dependent children:

  1. Legitimate, legitimated, legally adopted and illegitimate child who is:
    •   Unmarried;
    •   Not gainfully employed; and
    •   Has not reached 21 years of age or if over 21 years old, he/she is congenitally incapacitated or while still a minor was permanently incapacitated and incapable of self-support, physically or mentally.
  1. A child who has entered into a common-law relationship and has not attained the age of 18. However, upon reaching the age of 18, the child should stop receiving dependent’s pension.

In cases where there are five (5) or more dependent legitimate, legitimated, legally adopted and illegitimate children, the dependent legitimate, legitimated and legally adopted children shall be preferred.

Where there are less than 5 legitimate, legitimated or legally adopted children, the illegitimate children shall be considered to complete the maximum 5 dependents.

Dependent’s pension shall stop once the dependent child:

  • Dies;
  • Reaches 21 years old, unless congenitally incapacitated; or while still a minor has been permanently incapacitated and incapable of self-support, physically or mentally;
  • Is gainfully employed;
  • Marries;
  • Enters a common-law relationship upon attaining at least eighteen (18) years of age; or
  • Attains the age of eighteen (18) while having a common-law relationship.

“Gainfully employed” refers to one who is employed/self-employed (SE) where he/she renders regular work and receives compensation or derives income for at least six (6) continuous months in any given year, as shown in the member’s contribution records/Annual Confirmation of Pensioners (ACOP), or based on findings.

Suspended dependent’s pension of gainfully employed dependent may be resumed, upon submission of proof that indeed, he/she was separated from employment or ceased to be an SE and provided that he/she is unmarried and has not reached 21 years of age, or if over 21 years of age, he/she is congenitally incapacitated or while still a minor has been permanently incapacitated and incapable of self-support, physically or mentally.

Frequently Asked Questions

1. What happens when the retiree pensioner resumes employment?

The monthly pension shall be suspended upon the re-employment or resumption of self-employment of a retired member who is less than 65 years of old. The member shall again be subjected to compulsory coverage. At 65 years old, whether employed or not, he can already claim for retirement benefit.

 

2. How much will be the monthly pension of a member who filed for optional retirement at age 60, becomes re-employed, and then re-applied for technical retirement at age 65?

A pensioner who retires more than once shall be entitled to the higher of:

    1.   The monthly pension computed for the first retirement claim; or
    2. The re-computed monthly pension for the new claim.

 

3. What will happen to the monthly pension of a retiree in case of death?

Upon the death of a retiree pensioner, the primary beneficiaries shall be entitled to one hundred percent (100%) of the monthly pension and the dependents to the dependent’s pension.

If the retiree pensioner dies within sixty (60) months from the start of the monthly pension and has no primary beneficiaries, the secondary beneficiaries shall be entitled to a lump sum benefit equivalent to the total monthly pensions corresponding to the balance of the five-year guaranteed period, excluding the dependent’s pension.

How to Apply

All qualified employee-members, self-employed (SE), voluntary members (VMs) and land-based Overseas Filipino Worker (OFW) members shall file their retirement benefit claim online through the My.SSS portal, subject to the guidelines under Circular No. 2021-021 dated 28 December 2021.

Prerequisites for Online Filing

  1. Member must be registered in the SSS Website to be able to apply for retirement benefit claim online through the My.SSS portal.
  2. Member must have a UMID card enrolled as ATM or an approved disbursement account in the DAEM in the My.SSS portal.

See also How to file a Retirement Claim online
See also How to enroll an account in the Disbursement Account Enrollment Module 

Retirement benefit claims with any of the following conditions/cases shall be filed at any SSS Branch Office or Foreign Representative Office:

  1. With outstanding Stock Investment Loan Program (SILP)/Privatization Loan Program/Educational Loan/Vocational Technology Loan balance;
  2. Dependent child/children under guardianship;
  3. Member is incapacitated, under guardianship, or confined in an applicable institution such as penitentiary, correctional institution or rehabilitation center;
  4. Application of Portability Law or Bilateral Social Security Agreements;
  5. With adjustment or for re-adjudication of claim; and
  6. Unclaimed benefit of deceased member.

 

Required Documents for Over-the-Counter Filing

Present the original and submit photocopy of valid ID cards/documents for authentication purposes, and present the original/certified true copy and submit photocopy of supporting documents:

A. BASIC DOCUMENTARY REQUIREMENTS

  1. Retirement Claim Application/Retirement Claim Application under Portability Law
  2. Member’s/Claimant’s Photo and Signature Card if member has not been issued UMID card

If claimant cannot open a savings account or apply for a debit/cash card (For member confined in the applicable institution such as penitentiary, correctional institution or rehabilitation center)

    •   A written request for exemption from the Pensioner’s Remittance Program stating reason for the exemption
  1. Claimant’s identification (ID) cards/documents (refer to Standard List of ID Cards/Documents)

 

B. ADDITIONAL DOCUMENTARY REQUIREMENTS

If with five (5) or more legitimate/illegitimate dependent children,

–  Birth certificate of dependent child/ren duly registered with the LCR or issued by the PSA, if dependent children are not reported in member’s Personal Record (E1/E4/RS1/OW1/NW1) or with discrepancy in information

If dependent child is born abroad

–  Birth Certificate issued by foreign government or Report of Birth issued by Philippine Embassy or Consulate General shall be submitted, if applicable.

–  Marriage certificate of member duly registered with the LCR or issued by the PSA, if legal spouse is not reported in member’s Personal Record (E1/E4/RS1/OW1/NW1) or with discrepancy in information

If married abroad

–  Marriage Certificate issued by foreign government or Report of Marriage issued by the Philippine Embassy or Consulate General

Note:

–  Documents issued in a foreign country should have English translation. Authentication by the Philippine Embassy or Consulate General is not required if said documents are duly received and signed by the SSS Foreign Representative, Foreign Office.

–  For retirement claims filed abroad, photocopy of supporting document/s with English translation may be presented and submitted in the absence of the original/certified true copy, to be duly received and signed by the SSS Foreign Representative

If filed by authorized representative of the claimant/s

  1. Two (2) valid ID cards/documents of the member and representative; or
  2. Letter of Authority (LOA) signed by the member or Special Power of Attorney (SPA) specifically stating the authority to file and/or sign for and on behalf of the member.

 Note: LOA/SPA should have been made or executed within six (6) months if in the Philippines and one (1) year if abroad.

 

Supplemental List of Documentary Requirements for Retirement Benefit

SUPPORTING DOCUMENTS, WHICHEVER IS APPLICABLE

1. If member is at least sixty (60) years but below 65 years old

a. For employed members/Household Helper

–  Certificate of separation issued by the last employer or all employers (if with multiple employers); or

–  SSS Form – Affidavit of Separation from Employment/Cessation of Self-employment with Undertaking, regardless of status of employer.

Note: If member has no contributions for the last twelve (12) months from date of retirement, member shall no longer be required to submit Certificate of separation.

b. For Self-Employed (SE) members

–  Certificate of non-renewal for all of member’s business permit/license issued by the proper government offices/transfer of ownership e.g. Business Permit and Licensing Office; or

–  Certificate of cessation of business issued by the duly elected Barangay Official where the business or place of residence was located; or

–  SSS Form – Affidavit of Separation from Employment/Cessation of Self-employment with Undertaking

c. For member of Cooperative or registered Association (e. g. TODA, Card Inc., market vendors association) – SSS Form – Affidavit of Separation from Employment/Cessation of Self-employment with Undertaking; or

–  Certificate of termination of membership signed by the authorized company representative/s or signatories in the Specimen Signature Card of the Cooperative/Association.

 d. For Voluntary Member (VM), including Overseas Filipino Worker (OFW)

–  Proof of separation from employment/cessation of business/termination of contract/no earnings is not a requirement

2. If member is an underground/surface mineworker

–  Certification from the employer/s that member was an underground/surface mineworker indicating the period of employment and worker’s job description; or

–  Affidavit of two (2) co-employees attesting that member was an underground/surface mineworker indicating the period of employment and worker’s job description

Additional requirements if underground/surface mineworker is at least 50 years old but below 60 years old (for actual retirement date not earlier than 27 April 2016) or at least 55 years old but below 60 years old (for actual retirement date prior to 27 April 2016)

  •   Supporting documents stated under Part 1a or b depending on the last coverage status of the member

3. If member is a racehorse jockey

–  Certification that member was employed as racehorse jockey by his employer, who must be duly licensed by the Philippine Racing Commission (PHILRACOM) indicating the period of employment

4. If member is filing pursuant to an existing Bilateral Social Security Agreement (SSA)

–  Liaison forms as provided for under the Administrative Agreement of the Bilateral SSA with the following information:

    •  Claim application details; and
    • Insurance periods under SS Law of other country;

–  Photocopies of two (2) valid IDs of member certified by counterpart liaison agencies as provided for under the Bilateral SSA, in lieu of the member’s photo and signature card

5. Additional document if member is applying under the Portability Law

–  Certificate of total contributions issued by the GSIS including the period of contributions

6. Additional document if member is an SSS employee

–  Certification issued by Employee Services Department on the SSS employment history of the concerned employee subject to the applicable rules and regulations on outside/part-time employment of SSS employees and Republic Act No. 11199

7. Additional documents If member is incapacitated and under guardianship

–  Photo and Signature Card of guardian, if guardian has not been issued UMID card

–  Medical certificate issued by his/her attending physician (with license number and address of clinic), within three (3) months from date of filing of claim for guardianship confirmed/certified by the Medical Specialist of SSS Physical Examination Centers (PECs)

–  In-trust for savings account

–  Affidavit for Guardianship of Incompetent Pensioner, if guardian is the legal spouse

–  Application for Representative Payee and Guarantor’s Bond Form, if guardian is other than the parents

8. In the absence of Marriage Certificate

–  Certification of non-availability from LCR/PSA or issued by foreign government indicating that marriage records of the office/agency concerned is intact but there is no record of marriage for the requesting party; and

–  Marriage certificate issued by Parish/Church/ Ministry/Congregation/Sect/other religious organizations/LGU/other person authorized to administer the marriage

If marriage certificate from Parish/Church/Ministry/ Congregation/ Sect/other religious organizations is not available:

–  Certification of non-availability from the Parish/ Church/Ministry/Congregation/ Sect/other religious organizations; or

–  Affidavit/Certificate of solemnizing officer stating the following together with Authority to Administer marriage, if applicable:

      •   Date of marriage
      •   Place of marriage
      •   Reason for non-registration; and
      •   Authority to administer marriage, if applicable.

–  Joint affidavit of two (2) persons who witnessed the marriage together with –

–  Birth certificates of at least two children wherein under both documents the names of parents and the date & place of marriage are indicated (if applicable)

9. Additional document if member is married abroad and has previous marriage in the Philippines, whichever is applicable

–  Certificate of Finality of Annulment/Nullity or annotated Marriage Contract/Certificate; or

–  Certificate of Naturalization prior to marriage abroad and Decree of Divorce after acquiring foreign citizenship, or its equivalent

10. In the absence of Birth Certificate

–  Certification of non-availability from LCR/PSA or issued by foreign government; and

–  Baptismal/Dedication certificate or its equivalent issued by the Parish/Church/Ministry/Congregation/ Sect/other religious organizations (with date of birth of the child and name of parents)

If baptismal/dedication certificate or its equivalent is not available

–  Certification of non -availability from the parish/church/ministry/congregation/sect/other religious organizations; and

–  Any of the following documents where the name of dependent, date of birth and the name of the parents are indicated:

    •   School cards/record of dependent
    •   Educational/insurance plans/health card record
    •   Employment records of member
    •   Philhealth/GSIS/Pag-IBIG records
    •   Income Tax Return of member
    •   Member’s Personal record duly received by SSS prior to May 1997

Note:

–  Baptismal/Dedication certificate or its equivalent certificate must bear the original signature of the Parish Priest/Head of the Church/Ministry/ Congregation/Sect/other religious organizations or his authorized signatory.

–  Dedication certificate or its equivalent certificate issued by the Ministry/Congregation/Sect/other religious organizations in lieu of baptismal certificate must bear the date of birth of the child and the name of parents

11. Additional document for legally adopted child /ren and birth certificate is without annotation

–  Decree of Adoption or Certificate of Finality

Note:  Date of adoption should be prior to date of retirement.

12. Additional document for illegitimate child/children 

–  Any proof of filiation, such as, but not limited to:

    • Birth certificate duly signed by the father as informant
    •   Birth certificate with Affidavit of Acknowledgment duly signed by the father
    •  Will
    •   Statement made before any judicial or quasi -judicial proceedings
    •   Any authentic writing signed by the father (e.g. letter, diary, or other documents such as school records and other public records)

13. Additional document if dependent child is incapacitated

–  Medical certificate issued by the attending physician (with license number and address of clinic), within 3 months from date of filing of claim for dependent’s pension confirmed/certified by the Medical Specialist of PECs

14. Additional document s if dependent child is under guardianship

  • In-trust-For account
  • Member’s/Claimant’s Photo and Signature card (for the guardian), in case the guardian has not been issued a UMID card
  • Claim for Dependent’s Pension Benefit form, if guardian is the parent and legal spouse separated from the member
  • Application for Representative Payee and Guarantor’s Bond Form, if guardian is other than the parent