Tag Archives: retirement

Enjoy Your SSS Pension – P1,200 per month?

by Bobet Prudente

Imagine retiring, and getting a pension of P1,200 per month.

If you read the newspapers, you probably remember the President was in the headlines in early 2016, for vetoing a proposed law raising the pension of SSS retirees by P2,000 per month. He said doing so will bankrupt the SSS fund.

It was such a distressing news. SSS could not afford to raise the pension by P2,000?

Maximum Contribution for 30 years

I computed how much I’d get as pension when I turn 60. I was a senior manager for more than 30 years, and hence paid the maximum SSS contribution for 30 years. Therefore, I expect the highest possible pension for 30 years contribution.

And the number I got was….. (drum roll please) ….. P 9,900 per month!


How could a highly paid employee, paying maximum contribution for 30 years, survive on P9,900 per month when he retires?

But that is NOT the sad part. P9,900 is for those who paid maximum. How about those who paid less?

What if you paid for only 10 years?

There are Filipinos who paid less, and contributed for 10 only years.

The minimum pension after paying 10 years is P1,200 per month!
Can you imagine living with a pension equivalent to P40 PER DAY?

The maximum pension after paying 10 years is P6,400 per month.

What if you paid for more years?

If you contributed:

  • for 10 years, your pension will be P1,200 – P6,400 per month.
  • for 15 years, your pension will be P1,200 – P6,400 per month. (same as 10 years!)
  • for 20 years, your pension will be P2,400 – P6,700 per month.
  • for 30 years. your pension will be P2,400 – P9,900 per month.
  • for 40 years, your pension will be P2,400 – P13,100 per month.
  • for 45 years, your pension will be P2,400 – P14,700 per month.
Maximum SSS Pension after 20 Years of Contribution : P6,700

After contributing the maximum SSS premiums for 20 years, you will be eligible to a maximum pension of P6,700

We must build our own retirement fund!

Obviously, we can’t depend on the government or the SSS to provide us enough during our retirement. We must take control of our future, and build our own retirement fund. Otherwise, we might be among those who will retire with a P1,200 pension, or if you contribute the maximum premium for 30 years, P9,900 per month.

Do we want to prepare for your retirement?
We must take control of our future, so we will not retire dirt-poor.

Would you like to attend our free 1-hour “Building Your Future – Controlling Your Money” seminar in various locations, to get financial education?

After attending the Building Your Future seminar, you can attend workshops 1 to 4 at the
World Centre for FREE.

The third workshop is particularly interesting if you are planning to build your retirement fund.

Workshop #3. Building Wealth. Asset Accumulation.

  • Wealth Formula.
  • The Hidden Cost of Waiting.
  • The Rule of 72. Understanding Interest.
  • Peso Cost Averaging.
  • Mutual Funds.
  • Passive vs. Active Management.
  • Saving for your Children’s Education.

Plan to retire rich and retire happy!

My wife Mary Ann and I conduct the “Building Your Future” financial seminars on Mondays at 2pm and 6pm in Quezon City.  Click here to register for our FREE seminar.