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Author Topic: Formula for Computing Your SSS Pension in the Future?  (Read 22891 times)


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Formula for Computing Your SSS Pension in the Future?
« on: April 09, 2011, 11:49:10 PM »
According to the SSS website, there are 3 ways of computing your pension:

The amount of monthly pension will be the highest of:

1. 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

2. 40 per cent of the average monthly salary credit; or

3. 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

Now, let's assume the following scenario:

- You are contributing P1,560 to SSS every month
- You worked for a total of 30 years and you are now 60 years old
- Based on the SSS contribution table at, your average monthly salary credit (or MSC) is 15,000

Is this the correct formula for #1 above?

(P300) + (MSC*20%) + ( ( (MSC*2%) * 20 years excess) )

If yes, then your monthly pension is Php 9,300 by the time you are 60.

If this is true then this means you paid a total of P561,600 over 30 years to SSS and you will only get P9,300/month when you retire. This also means that you must be alive for the next 5 years to recover your total investment at SSS.

Can someone clarify if this is correct? Thanks
« Last Edit: April 09, 2011, 11:55:08 PM by Mark »


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