Nowadays, health cards provided by employers or prepaid funded by the card holder have limited access to hospitals, medicines, laboratory tests, and medical consultations.
- Different health cards have varied restrictions depending on the hospital, the amount of the hospital bill, illness, type of medicine, treatment, laboratory test, and much more.
- Health card holders have to break their bank to cope up with these adverse situations.
- More so, with our senior citizens who are sickly and after age 65 they won’t be able to secure one.
Your worries are over!
To supplement the SSS pension fund, the government agency launched last September 2014 the SSS Personal Equity and Savings Option fund or the SSS PESO fund.
Through this, SSS members will enjoy additional income through interest in their savings that is tax-free.
- The investment is distributed into 65% for retirement and 35% for medical and general purposes.
- The yields from the interest rates of a five-year Treasury bill will be channeled to the Retirement account, while those for a 364-day Treasury bill will be deposited to the latter.
- These are guaranteed earnings and can increase based on the performance of the funds which will be automatically credited to the pensioner’s account.
SSS PESO fund’s interest rate are much higher than banks
The earning rate of the SSS PESO fund is between 1.85% to 3.75% annually depending on the performance of the Treasury bill.
The lowest rate is still much higher compared to the bank rate of 0.45% annually offered by banks.
If the SSS pension member starts at age 40 and contributes P100,000 annually, by the time the pensioner reaches 60 years old, the total savings is P2,000,000 that will entitle the pensioner to a total amount of P2,500,000 or an earning of P500,000.
A bank will provide P2,100,000 for the same amount or P100,000 in interest upon retirement.
Watch this video by the Social Security System about SSS P.E.S.O Fund
Who can Avail of the SSS P.E.S.O Fund
- SSS members who have not yet reached 55 years of age
- SSS members who have paid contribution in the regular SSS program for at least 6 consecutive months within the 12-month period immediately prior to the month of enrollment.
- For self-employed, voluntary, and OFW members, they should be paying the maximum amount of contributions under the regular SSS program
- SSS members who have not filed any final claim under the regular SSS program
How to Apply for the SSS P.E.S.O Fund (PF)
- Accomplish the online SSS P.E.S.O Fund Enrollment Form, which you can download here.
Or you may visit the nearest branch to apply for this program.
- Your membership to the SSS P.E.S.O Fund will be activated as soon as you make your first payment.
Please take note that you have to use the official PF payment form.
Maximum payment per year = Php 100,000
Minimum payment per month = Php 1,000
Note: Payments below the minimum amount shall not earn internet and will be subject to automatic refund.
Frequently Asked Questions about the SSS PESO Fund
For the benefit of interested parties here are the answers to the most frequently asked questions about the SSS PESO fund:
- Who are entitled to join?
- Those eligible are employees, self-employed (SE), Voluntary member (VM) and Overseas Filipino Worker (OFW) who meets the following criteria:
- Below 55 years old;
- Paid at least six consecutive month contribution within the 12-month period to the regular SSS program prior to enrolment;
- The maximum contributions under the regular SSS program should be paid by SE, VM, and OFW;
- No final claim under the regular SSS program.
- Are withdrawals allowed?
No withdrawal is allowed in the Retirement account, however, withdrawals are allowed in the Medical and General accounts. Fees, such as penalty and service, are applied to withdrawals that fall within the 5-year holding period.
- When can a member receive the full benefits?
A member has the choice to receive this in monthly pension, lump sum or a combination of both upon retirement or total disability.
In case the demise of the pensioner, the beneficiaries will receive the full amount in a single payment.
- How much is the contribution of a member?
The annual contribution ranges from the minimum amount of P1000 to the maximum of P100,000.
- When does membership start?
A qualified member can apply at any SSS branch and membership begins the moment the first contribution is paid.
For more information about SSS P.E.S.O Fund, you may email email@example.com.