THE Social Security System (SSS) has reported that it registered a jump in its total member contributions for 2018 of 13.89 percent amounting to P181.92 billion, on the back of “strengthened collection efforts.”
“We are very pleased that we have ended the year 2018 on a positive notch,” SSS President and CEO Emmanuel F. Dooc said. “Contribution collection comprised more than 86 percent of our total revenue last year.”
Dooc said the SSS recorded total member contribution in 2017 at P159.72 billion.
Based on the SSS’s unaudited financial statement, total revenues for 2018 reached P212.57 billion, which grew 6.02 percent from the P200.50 billion recorded in 2017.
Total expenditures also increased
5.33 percent to P189.84 billion compared to the P180.23 billion recorded in the
previous year.
Under the agency’s expenditures, benefit payments amounted to P180.08 billion from P170.69 billion in 2017, following the adjustments in Employees’ Compensation (EC) benefits in the middle of the year, which contributed largely to the increase in expenditures.
Meanwhile, the agency’s operating expenses settled at P9.76 billion registering a slight uptick of 2.3 percent from the P9.54 billion recorded a year ago.
“As you can see, benefit payment was P9.39 billion higher than last year. Increase in the number of benefit claims rose by an average of 7 percent in the last six months of the year,” Dooc said. “The implementation of the EC benefit adjustment also contributed to the increase in benefit disbursements along with the release of the 13th-month pension of qualified pensioners and their dependents.”
Last year, the SSS announced the release of P442.38 million for the pension adjustment of EC pensioners following President Duterte’s approval in May.
According to the SSS, more than P442.38 million was disbursed to 17,619 EC pensioners for the additional benefit of P1,150 per month starting January 2017 until October 2018. This includes the 13th- month pension for 2017 and for the additional P425 per carer’s allowance month starting May 2018 to October 2018.
The SSS said its financial standing remained well-managed with total resources amounting to P507.32 billion for 2018, which grew slightly by 0.48 percent than the 2017 year-end level of P504.87 billion.
“We hope to continue this positive growth performance in terms of our collections this year,” he said. “We are hopeful, especially with the anticipation of the passing of the SS Act of 2018, to continue to post positive growth performance and further serve our members and pensioners quality programs and privileges.”
Over the weekend, Duterte signed into law the bill seeking to amend the charter of the SSS in a bid to ensure the long-term viability of the state-run pension fund.
The measure aims to increase monthly contributions from the current 11 percent to an additional 1 percent starting on the year of implementation until it reaches 15 percent in 2025. There will also be a gradual adjustment of the minimum and maximum monthly salary credit, among others.