Welcome to the world of employment!
Every business industry cannot escape the need for manpower, and yes, salaries or compensation comes in.
In the Philippines, salaries, wages, compensations, or whatever the term that is called out of income from human labor is being integrated by the government mandate for what is known as employee benefits. Examples for these are SSS, Philhealth, Pag-ibig or HDMF. Now, let’s talk about SSS.
The Social Security System is a Government-Owned and Controlled Corporation (GOCC), that is tasked to manage and assist people who are registered for this program to collect a portion of their income as a contribution to the future pension benefit. This will become a form of investment and will be utilized by the SSS to circulate the money and get a return out of it for their cost and expenditures. What is important here is that in the long run, they will serve those persons that reach the age of 60 years and start to receive monthly pensions onwards.
Another thing is that the SSS also offers loan services to members and as well as maternity benefits to pregnant women. When it comes to deceased persons, SSS also facilitates death benefits and will also give a certain amount to the dependents of the deceased until it reaches the legal age of 18 years old.
Now, let’s move on to the terms of contribution. There are 2 modes of remitting your SSS contribution and these are:
- Contribution for an employed person
This mode of contribution applies to the person if he/she is employed in a private company. Whatever the amount of his basic salary will be deducted as part of his/her contribution, may it be semi-monthly or monthly depending upon the discretion of the company.
- Contribution for a self-employed person
This mode of contribution is applicable whenever you are not employed by a private company and decided to contribute for purposes of future benefit claims in SSS. Another case here is when you stop working and decided to continue the contribution for yourself, then this is the right mode for you to apply.
What’s the difference?
· Unlike the self-employed, contributions for employed persons have counter contributions from their employer which makes the amount of contribution larger than the former.
How to know the amount of contribution?
· The SSS provides the table for the contribution that serves as the guide of what amount of contribution are you going to pay base on your salary range.
How to know if your employer remits your contribution?
The image on the left shows you how to inquire using SMS.
Another thing is an online inquiry where you are to log-in on the SSS website to personally check your contribution.
The latest one is the “mobile-based inquiry”. This is where you check your contributions on your smartphone through the SSS app which can be downloaded from the Google Playstore.
Learn the benefits of SSS and start contributing today!