Social Security System (SSS) announced that the member contributions will once again increase effective January 2021 as posted in the new schedule below. All members are covered in the new SSS Contribution Table for 2021 including Employers, Employees, Self-Employed, Voluntary, Non-working Spouse, Household employers and Kasambahay.
SSS issued on Monday, December 7 the Circulars 2020-033, 2020-034, 2020-035, and 2020-036 which indicated the new schedule of contribution for members. The increase is pursuant to the enactment of Republic Act No. 11199 or the Social Security Act of 2018 which provides the increase in the contribution rate to thirteen percent.
The new law also sets the minimum Monthly Salary Credit (MSC) to P3,000 and the maximum MSC to P25,000 effective year 2021.
Based on the new contribution table for 2021, the minimum amount of contribution for OFW is at ₱1,040 while the maximum monthly contribution is ₱3,250 which includes the rate for Mandatory Provident Fund (MPF) Program.
Social Security Commission (SSC) through Resolution No. 578 series of 2020 dated November 4 also said that the new contribution table shall be effective starting January 2021.
These Circulars announce the New SSS Contributions Table 2021 for
For Employers and Employees:
SSS Contribution Table 2021 For Self-Employed:
SSS Contribution Table 2021 For Voluntary and Non-working Spouse:
SSS Contribution Table 2021 For Household employers and Kasambahay:
According to SSS, the household employer is one who uses the services of a house helper; whomever pays the compensation for such services – whether the husband, wife, or any other person – shall be deemed the household employer. If you have a kasambahay or household helper, you are obligated to remit premiums based on table below:
SSS Contribution Table 2021 for OFW
The new schedule of contributions for all land-based OFW members is based on SSS Circular No. 2020-039 dated December 17, 2020. This contribution table below reflects the contributions for the regular Social Security and the Mandatory Provident Fund (MPF) Programs administered by the agency.
Based on the table, the minimum amount of contribution for OFW is at ₱1,040 while the maximum monthly contribution is ₱3,250 which includes the rate for Mandatory Provident Fund (MPF) Program.
The increase in member contributions started last year at 12% (from the previous 11%) when the Social Security Act 2018, signed by President Rodrigo Duterte, was implemented. It will be followed by increases to 13 percent next year, 14 percent in 2023, and 15 percent in 2025.
SSS executives explained that the contribution hike will extend its fund life which is now projected to last until 2045.
What do you think of these latest circulars mandating the increase in members’ contribution? While the intent is reasonable, some suggested that the government should temporarily suspend the implementation in view of the current economic struggles experienced by the majority of members due to the ongoing pandemic.
For more information and inquiries on the new members’ contribution schedule for 2021, please visit the official SSS website at www.sss.gov.ph or their social media accounts. Follow Nonoynet.com for more updates on SSS contributions and other government updates.