Social Security System (SSS) President and Chief Executive Officer Rolando Ledesma Macasaet called on members to take advantage of the SSS savings program that will allow their invested money to grow and earn a higher return yearly.
In a press briefing, Macasaet said that SSS offers them the MySSS Pension Booster as a program to boost their retirement funds and savings, which can provide a projected annual return rate of 7.2 percent.
Macasaet said that the MySSS Pension Booster is composed of mandatory and voluntary schemes. “Under the mandatory scheme, members contributing above the ceiling of P20,000 to the Regular SSS Program are automatically enrolled in the savings plan.”
Meanwhile, Macasaet said that the voluntary scheme is open to all members, especially those who want to invest more in their retirement or savings. SSS also invites those applying for the issuance of a Social Security (SS) number to enroll in the program.
Macasaet explained that they only need P500 to start savings in the voluntary scheme of the MySSS Pension Booster, and they can contribute any amount anytime because there is no limit on the amount they can invest.
“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,” he remarked.
He said that SSS allows partial or full withdrawal of their savings in the program wherein they get their total contributions together with the investment earnings.
He added that members are encouraged to retain their money in the program until they retire. “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.
Start investing now
Macasaet told maritime professionals, Overseas Filipino Workers (OFWs), self-employed professionals, and corporate executives, to start building their retirement funds as early as today, adding, “Planning and saving for retirement should begin from the first day they start earning money.”
“When people are in their 20s, they have their whole life ahead of them. Saving for their retirement becomes their least priority. 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,” Macasaet.
Macasaet explained that one of the benefits of planning their retirement early is they will have sufficient time to grow their retirement fund to a level they want. “When they start young, they save smaller amounts regularly and avoid feeling the pressure of saving larger amounts a shorter period because their retirement is nearing,” he said.
He added that another advantage of saving for retirement early is compound interest, as in the case of the MySSS Pension Booster, where members’ pooled contributions earn investment income annually.
“The younger they start contributing to the MySSS Pension Booster, the longer they have time to grow their retirement savings. If they start contributing now while they are in their 20s, they will have ample time to build the retirement fund they want rather than start saving when they are already in their 40s,” he said.
Macasaet emphasized that they could maximize their earnings from the MySSS Pension Booster if they stay in the program for at least five years or more because the longer they leave their money with SSS, the bigger earnings they will get.
Earlier this week, SSS rebranded its Worker’s Investment and Savings Program (WISP) and WISP Plus into the MySSS Pension Booster as SSS repositioned its savings program to cater to corporate managers and executives, doctors, lawyers, OFWs, Filipino expats, seafarers, and young professionals who want to boost their savings or retirement funds.
The MySSS Pension Booster is among the reforms introduced by Republic Act No. 11199 or the Social Security Act of 2018, sponsored by Finance Secretary Ralph G. Recto during his tenure as a senator, who also serves as the Chairperson of the Social Security Commission, the highest governing body of the SSS.
To learn more about the program, please access this link https://rb.gy/gxfr35 to make that move and get that boost.