MANILA, Philippines — State-run pension fund Social Security System (SSS) targets to expand its coverage to beneficiaries of the Pantawid Pamilyang Pilipino Program (4Ps).
SSS recently inked a memorandum of agreement with the Department of Social Welfare and Development (DSWD) to allow 4Ps beneficiaries to become SSS members and access social security benefits.
The flagship 4Ps is the government’s national poverty reduction strategy, which covers roughly 4.4 million people nationwide.
Following the agreement, SSS president and CEO Rolando Macasaet said the pension fund and DSWD would collaborate to protect the welfare of the most vulnerable sectors.
“We aim to provide them the mechanism to become active SSS members and thereby secure their future through the range of SSS benefits,” Macasaet said.
As such, SSS will develop an AlkanSSSya program designed for 4Ps beneficiaries.
Established in 2011, the program serves as a micro-savings scheme for self-employed workers with irregular income such as tricycle drivers, market vendors, farmers, fisherfolks and other workers in the informal economy.
Macasaet said SSS may also craft a unique SSS contribution table for 4Ps beneficiaries tailored to their paying capacity, considering the current minimum monthly contribution of P570.
Further, the pension fund is exploring options to help 4Ps beneficiaries pay the 120 monthly contributions required to qualify for a lifetime pension when they reach retirement age.
“Once they have paid at least 120 monthly contributions, they will no longer need financial support from the government because they will become qualified to receive a monthly pension,” Macasaet said.
SSS will likewise look at the possibility of reducing the minimum monthly SSS contribution of P570 for 4Ps.
However, a reduced monthly premium will also result in a lower benefit.
Contributions to the SSS will also be voluntary for 4Ps because cash grants cannot be used to pay their SSS contributions since they are intended for health and education, among others.