In accordance with Republic Act No. 11199, also recognized as the Social Security Act of 2018, there are provisions set in place to raise the SSS Contribution rate starting from January of the year when the changes are applied. Here’s a simplified explanation: The government has made a law called the Social Security Act of 2018, and it contains rules about increasing the SSS contribution rate, which is the money people put into their social security fund. These changes usually begin in January of the year when they take effect.
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| Year of Implementation | Contribution Rate | Employer Share | Employee Share | Minimum Monthly Salary Credit | Maximum Monthly Salary Credit |
|---|---|---|---|---|---|
| 2019 | 12% | 8% | 4% | P2,000 | P20,000 |
| 2020 | 12% | 8% | 4% | P2,000 | P20,000 |
| 2021 | 13% | 8.5% | 4.5% | P3,000 | P25,000 |
| 2022 | 13% | 8.5% | 4.5% | P3,000 | P25,000 |
| 2023 | 14% | 9.5% | 4.5% | P4,000 | P30,000 |
| 2024 | 14% | 9.5% | 4.5% | P4,000 | P30,000 |
| 2025 | 15% | 10% | 5% | P5,000 | P35,000 |
This table provides a clear overview of the SSS contribution rates, employer and employee shares, as well as the minimum and maximum monthly salary credits for each year from 2019 to 2025.
On December 20, 2022, Mr. Michael Regino, the President and CEO of SSS, shared some important news. They’re implementing a four-stage plan to increase the SSS contribution rate under RA 11199. This is being done to prepare the SSS fund for future needs, like pensions for members and their beneficiaries. According to Mr. Regino, the fund is expected to remain viable until 2054, which is good news for everyone.
Starting on January 1, 2023, based on the Social Security Commission’s Resolution No 751-S 2022 from November 25, 2022, there will be a new SSS contribution rate of 14 percent. This is a one percent increase from the previous rate of 13 percent. The 14 percent is divided into 9.5 percent for the employer and 4.5 percent for the employee.
Additionally, the minimum Monthly Salary Credit (MSC) will go up from P3,000 to P4,000, and the maximum MSC will increase from P25,000 to P30,000. The extra one percent in the contribution rate will be covered by the employer, while the employee’s share will remain at 4.5 percent.
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SSS Contribution Table for Employees Employers 2023
Want to find out your monthly SSS contribution as a working member?
It’s easy! First, figure out your total salary. Then, take a look at the SSS contribution table, which you can find above. Find the income range that matches your salary, and check the “Total Employee (EE)” column.
Alternatively, you can download the latest SSS table and calculator for a convenient way to calculate your contribution.
If you don’t send the correct amount of SSS contributions or if you fail to send them at all, the Social Security System may assess you. So, make sure your payroll system is updated with these necessary changes.
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