By Brian Jules Campued
The Social Security System (SSS) has launched its new savings program, MySSS Pension Booster, which members can start with as low as P500 and allow their money to earn a higher yearly return.
SSS President and Chief Executive Officer Rolando Ledesma Macasaet urged its members to enroll in the said pension booster program, as it can provide an annual return rate of 7.2%.
“If you want to build your retirement fund while you are young, invest in the MySSS Pension Booster. You have a medium-term financial goal? Why not start saving your money in the MySSS Pension Booster to reach that goal? Our savings program offers so much flexibility than most savings programs,” Macasaet said, as quoted by an SSS press release on June 28.
The MySSS Pension Booster is composed of mandatory and voluntary schemes, wherein the former automatically enrolls members contributing above the ceiling of P20,000 to the Regular SSS Program. The latter is open to all members, those who want to invest more, and also those applying for the issuance of a Social Security number.
While the SSS allows partial or full withdrawal of their savings in the program, members are encouraged to retain their money in the Booster until they retire. He added that the longer they stay in the program, the bigger earnings they will get when they decide to withdraw their money.
“When they get their retirement, total disability, or death benefits from the Regular SSS Program, they will also receive their total contributions plus investment earnings from the MySSS Pension Booster tax-free,” Macasaet said.
Maritime professionals, Overseas Filipino Workers (OFWs), self-employed professionals, and corporate executives are particularly encouraged by the SSS chief to start building their retirement funds early, as they will have sufficient time to grow their fund.
“When people are in their 20s, they have their whole life ahead of them. Saving for their retirement becomes their least priority,” Macasaet said.
“However, the best time for them to start saving for retirement is today while they are young. When they retire, they will realize the immense value of building a retirement fund early in their lives,” he added.
The Pension Booster Program was among the reforms introduced by Republic Act No. 11199 or the Social Security Act of 2018, sponsored by Department of Finance (DOF) Secretary and Social Security Commission Chairperson Ralph Recto during his senatorial stint.
In a news release on June 10, Recto lauded the SSS for launching the new pension scheme, as it would teach financial freedom to Filipinos as well as help boost their financial security.
“This program aligns perfectly well with the national government’s ongoing efforts to ensure financial security for all Filipinos, which is the cornerstone of inclusive growth,” Recto said.
