Retirement Benefits of SSS

From the SSS Website

What is the Retirement Benefit?

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

Who May Qualify for a Retirement Benefit?

1. A member who is 60 years old, separated from employment or ceased to be self-employed, and has paid at least 120 monthly contributions prior to the semester of retirement.

2. A member who is 65 years old whether employed or not and has paid at least 120 monthly contributions prior to the semester of retirement.

For Underground Mineworkers:

1. Has reached the age of 55 years old and is an underground mineworker for at least 5 years (either continuous or accumulated) prior to the semester of retirement but whose actual date of retirement is not earlier than March 13, 1998; separated from employment or in the case of self-employed, has ceased self-employment, and has paid at least 120 monthly contributions prior to the semester of retirement.

2. Has reached the age of 60 years old whether employed or not.

What are the Types of Retirement Benefits?

They are:
1. the monthly pension, and
2. the lump sum amount.

The monthly pension is a lifetime cash benefit paid to a retiree who has paid at least 120 monthly contributions to the SSS prior to the semester of retirement, whether employed or not.

The lump sum amount is granted to a retiree who has not paid the required 120 monthly contributions. It is equal to the total contributions paid by the member and by the employer including interest.

 How Much Monthly Pension Will a Retiree Receive?

The monthly pension depends on the members paid contributions, including the credited years of service (CYS) and the number of dependent minor children but not to exceed five. The amount of monthly pension will be the highest of:

  • the sum of P300 plus 20 percent of the average monthly salary credit plus 2 per cent of the average monthly salary credit for each accredited year of service (CYS) in excess of ten years; or
  • 40 per cent of the average monthly salary credit; or
  • P1,200, provided that the credited years of service (CYS) is at least 10 or more but less than 20 or P2,000, if the CYS is 20 or more. The monthly pension is paid for not less than 60 months.

A retiree has the option to receive 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 first retirement claim. Only advance payments shall be discounted on the date of the payment. The dependents’ pension and 13th month pensions are excluded from the 18 months lump sum pension.

The member will receive the monthly pension on the 19th month and every month thereafter.

What Happens When the Retirement 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 old. The member shall again be subjected to compulsory coverage. At 65 year old whether employed or not, he/she can claim for retirement benefit.

How Much is the Monthly Pension Of a Member Who Retires After Age 60 And Who Has Contributed the Required 120 Monthly Contributions?

The monthly pension shall be the higher of the following:

  • the monthly pension computed at the earliest time the member could have retired or had been separated from self-employment or ceased to be self-employed plus all adjustments thereto; or
  • the monthly pension computed at the time when the member actually retires.

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

  • the monthly pension computed for the first retirement claim; or
  • the re-computed monthly pension for the new claim.

How is the Monthly Pension Paid?

The monthly pension is paid through the member’s designated bank. He is allowed to choose the bank nearest his residence through which he wishes to receive his pension benefits under the “Mag-impok sa Bangko” program. This became mandatory effective September 1,1993.

A member must open a single savings account and must submit to the SSS his savings account number and a photocopy of his passbook upon filing of his application. The original copy of the passbook must be presented for authentication purposes.

Upon approval of the claim, the SSS will mail a notice voucher to the claimant informing when to withdraw the benefit from the bank.

Aside from the Retirement Benefit, What Else Can a Retiree Receive?

The retiree is entitled to a 13th month pension payable every December. All retiree pensioners prior to the effectivity of RA 7875 on March 4, 1995 are automatically considered members of PhilHealth and he/she and his/her legal dependents are entitled to its hospitalization benefits. On the other hand, retirees effective March 4, 1995 up to the present will be entitled to hospitalization benefits under PhilHealth only if they have contributed 120 monthly Medicare contributions. The counting of 120 monthly contributions shall start in 1972, when the Medical Care Act of 1969 started implementation.

A copy of DDR print-out indicating the type of claim is retirement in nature and the effectivity date of pensioner in its absence a copy of retiree-pensioner certification issued by SSS shall be required. They need to register under Philhealth for the issuance of a Philhealth ID card.

Are the Children of the Retiree Member Entitled to the Dependent’s Pension?

The legitimate, legitimated, or legally adopted and illegitimate children, conceived on or before the date of retirement of a retiree will each receive dependents’ pension equivalent to 10 per cent of the member’s monthly pension or P250, whichever is higher.

  • Only five minor children, beginning from the youngest, are entitled to the dependents’ pension. No substitution is allowed.
  • If there are more than five dependents, the legitimate, legitimated or legally adopted children shall be preferred.

For How Long Will the Dependent’s Child Receive His/Her Pension?

The dependents’ pension stops when the child reaches 21 years old, gets married, gets employed or dies. However, the dependents’ pension is granted for life for children who are over 21 years old, provided they are incapacitated and incapable of self-support due to physical or mental defect which is congenital or acquired during minority.

What Will Happen to the Monthly Pension of a Retiree in Case of Death?

Upon the death of a retiree pensioner, the primary beneficiaries as of the date of retirement shall be entitled to 100 per cent of the monthly pension and the dependents to the dependents’ 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 five-year guaranteed period excluding the dependents’ pension.

What Documents are Needed in Filing for a Retirement Benefit?

  • Retirement claim application (SSS Form DDR-1);
  • DDR Savings Account form;
  • Certificate of Separation from last employer (for members less than 65 years old);
  • Passbook (if pension);
  • Certified true copies of birth or baptismal certificate of dependent children;
  • Certificate of cessation of business or practice of profession (for selfemployed less than 65 years old);
  • Certified true copy of Marriage certificate (if with dependent children)
  • Proofs of filiation for illegitimate dependent children; and
  • SSS digitized or E-6 (acknowledgement stub) with two valid IDs, one of which with recent photo.

Where Can a Member File His/Her Retirement Application?

Applications forms for retirement benefit are filed at any SSS branch or representative office.

12 thoughts on “Retirement Benefits of SSS

  • i am residing here in regina, saskatchewan canada,, i just want to ask if what would i do if i want to get mu lumpsum thru sss? Please reply

  • how much monthly contribution do i have to pay to received a monthly pension of php 8000.00 when i retire?..thank you:)

  • Henning Holthusen

    can you retire after age 65, say at age 68? I’m asking because my mother in law is 58. Can she pay SSS for 10 years and receive a pension? Is there any way for her to pay retroactively?

  • Hi, just want to ask, what will happen to the pension has an outstanding housing loan? Will it be deducted to his pension and dependent’s pension?


  • What happen to your pension if you have a loan

  • martin m. pila

    Dear Mam/Sir,

    My age this coming Nov. 11, 2015 is 62yrs old, I am planning to retire next year, can I apply now for retirement next year?What are the requirements.


  • Melvin Baltazar

    Ask ko lang po, paano po kung pensionado na sa asawang namatay tapos magreretire na. Dalawa na po ba yung matatanggap nyang pensioin?

  • Ofih amper

    I have paid my SSS premium for 7 years as voluntary member., I will continue paying in these coming 3 years so I can complete 120 months without gap and to be eligible for pension. I would like to receive the max pension after 120 months. My question is: can I increase my premium every month until I reach the maximum of P1,760? As of Oct 2015, I paid P935. can I pay in the following manner: Nov= P1,320 Dec= 1,540 Jan 2016= P1,760? Feb 2016 and succeeding months =P1,760/month? Please advise. Thank you.

  • arnel blones

    I’m 52 years old and i want to applying the optional retirement.. if not applicable in my age what is the age limit for the optional retirement?

  • chiqui


    Im 39. i have paid 96 monthly premiums(nov 15 not yet included.).i’ll be needing to pay 24more months then im done with the 120..i’m currently employed. once completed -what will happen next? do i need to continue paying?pls advice.


  • artemia anos

    Good day po,

    Halimbawa po nag apply ng pension at the age of 61, may makukuha po ba siyang back pay doon sa 1 year na dapat nag pension na siya? aside po sa 18 months lumpsum, may dagdag po ba dahil hindi siya nag apply ng retirement noong 60 age na siya? may 1 year po ba na back pay? thank you po…

  • mark daniel garcia

    apektado po ba ng educational loan ng anak ang retirement pention ng retirees?
    hindi po makapag claim father ko kc my educ loan dw ung kapatid ko/?

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