The Social Security System (SSS) will implement a 1% contribution rate hike starting January 2025, raising the total contribution rate to 15% from the current 14%.
This adjustment is mandated by Republic Act No. 11199, also known as the Social Security Act of 2018. It marks the final tranche of increases that began in 2019, aimed at enhancing fund sustainability.
Along with the rate hike, the minimum Monthly Salary Credit (MSC) will rise to ₱5,000 from ₱4,000, while the maximum MSC will increase to ₱35,000 from ₱30,000.
SSS President and CEO Robert Joseph M. De Claro emphasized that these reforms are critical for ensuring the fund’s long-term viability. He revealed that with these adjustments, the SSS fund life is projected to extend to 2053, doubling the initial projection made in 2018.
De Claro noted that the increased contributions will generate an additional ₱51.5 billion in 2025. Of this, ₱18.3 billion will directly benefit members through the Mandatory Provident Fund (MPF) accounts.
He also highlighted the SSS’s role in supporting national government efforts, particularly during calamities. In 2024, the agency disbursed ₱9.7 billion in calamity loans to over 500,000 members.
For 2025, the SSS plans to prioritize service excellence. De Claro said they aim to enhance programs and systems to provide superior customer experiences while expanding coverage for self-employed workers through initiatives like the KaSSSangga Collect and E-Wheels Programs.
With a positive market outlook, SSS also plans to optimize investment income from various asset classes. De Claro noted that this would support economic growth and job generation as businesses expand.
“Our ultimate goal is to make SSS a vital part of every Filipino’s life by providing quality social protection and promoting the importance of saving for the future,” De Claro concluded.