R.A.

8282
AN ACT FURTHER STRENGTHENING THE SOCIAL SECURITY SYSTEM THEREBY AMENDING FOR
THIS PURPOSE REPUBLIC ACT NO. 1161, AS AMENDED, OTHERWISE KNOWN AS THE SOCIAL
SECURITY LAW

This Act shall be known as the Social Security Act of 1997

It is the policy of the State to establish, develop, promote and perfect a sound and viable taxexempt social
security system suitable to the needs of the people throughout the Philippines which shall promote social justice
and provide meaningful protection to members and their beneficiaries against the hazards of disability, sickness,
maternity, old age, death, and other contingencies resulting in loss of income or financial burden.

Towards this end, the State shall endeavor to extend social security protection to workers and their beneficiaries.

Coverage
a. Compulsory Coverage
1. Coverage of Employees
a private employee
a household-helper
a Filipino seafarer
employee of a foreign government, international organization of their wholly-owned instrumentality
based in the Philippines, which entered into an administrative agreement with SSS for the coverage of
its Filipino workers

2. Coverage of Employers
Any person who uses the services of another person in business, trade, industry or any undertaking
A foreign government, international organization such as the embassy of the Philippines, may enter into
administrative agreements with the SSS for coverage of its Filipino employees

3. Coverage of Self-employed Persons

Self-employed professionals
Business partners, single proprietors
Actors, actresses, directors, scriptwriters and news reporters are not under an EER
Professional athletes, coaches, trainers, and jockeys
Farmers and fisherfolks
Workers in the informal sector such as cigarette vendor, watch-your-car boys, hospitality girls, among
others

b. Voluntary Coverage
1. Separated Members
2. Overseas Filipino Workers
3. Non-working spouse of SSS members

Effectivity of Compulsory Coverage

1. for an employee on the first day of employment
2. for an employer on the first day the employer hires employee/s
3. for self-employed persons upon payment of the first valid contribution, in case of initial coverage

Rate of Contributions to SSS

The monthly contributions are based on the compensation of members. The current SSS contribution rate is
11% of the monthly salary credit not exceeding P16,000 and this is being shared by the employer (7.37%) and
the employee (3.63%).

Self-employed and voluntary members pay the 11% of the monthly salary credit (MSC) based on the monthly
earnings declared at the time of registration.

For OFWs, the minimum monthly salary credit is pegged at P5,000.

For the non-working spouse, the contribution will be based on 50% of the working spouse?s last posted monthly
salary credit but in no case shall it be lower than P1,000.
Schedule of contribution

Due dates of contributions

Monthly Pension

The monthly pension shall be the highest of the following amounts:

(1) The sum of the following:

(i) Three hundred pesos (P300.00); plus
(ii) Twenty percent (20%) of the average monthly salary credit; plus
(iii) Two percent (2%) of the average monthly salary credit for each credited year of service in excess
of ten (10) years; or
(2) Forty percent (40%) of the average monthly salary credit; or
(3) One thousand pesos (P1,000.00): Provided, That the monthly pension shall in no case be paid for an
aggregate amount of less than sixty (60) months.

Notwithstanding the preceding paragraph, the minimum pension shall be One thousand two hundred pesos
(P1,200.00) for members with at least ten (10) credited years of service and Two thousand four hundred pesos
(P2,400.00) for those with twenty (20) credited years of service
Benefits

Sickness benefit
A member who has paid at least three (3) monthly contributions in the twelvemonth period immediately
preceding the semester of sickness or injury and is confined therefor for more than three (3) days in a hospital or
elsewhere with the approval of the SSS, shall, for each day of compensable confinement or fraction thereof, be
paid by his employer, or the SSS, if such person is unemployed or selfemployed, a daily sickness benefit
equivalent to ninety percent (90%) of his average daily salary credit

Maternity Leave Benefit

A female member who has paid at least three (3) monthly contributions in the twelvemonth period immediately
preceding the semester of her childbirth or miscarriage shall be paid a daily maternity benefit equivalent to one
hundred percent (100%) of her average daily salary credit for sixty (60) days or seventyeight (78) days in case
of cesarean delivery

Permanent Disability Benefit

A cash benefit granted either as a monthly pension or a lump sum amount to a member who becomes partially
or totally disabled. The employee is granted a monthly disability pension, plus P500 supplemental allowance, if
he has paid at least 36 monthly contributions. Is less than 36 monthly contributions, a lump sum amount is
given.

Retirement Benefits
A member who has paid at least one hundred twenty (120) monthly contributions prior to the semester of
retirement and who
(1) has reached the age of sixty (60) years and is already separated from employment or has ceased to be self
employed or
(2) has reached the age of sixtyfive (65) years, shall be entitled for as long as he lives to the monthly pension
Provided, That he shall have the option to receive his first eighteen (18) monthly pensions in lump sum
discounted at a preferential rate of interest to be determined by the SSS

Funeral Benefit
A funeral grant equivalent to Twelve thousand pesos (P12,000.00) shall be paid, in cash or in kind, to help
defray the cost of funeral expenses upon the death of a member, including permanently totally disabled member
or retiree

Death Benefits
A cash benefit granted to the beneficiaries of a deceased member who has paid at least one monthly
contribution.
35 mos. and below contributions lump sum
36 mos. and above monthly pension

Penal Clause

1. One who causes an unauthorized payment; make or cause to make a false statement as to any compensation
paid/received; makes or cause to make a false statement of a material fact in any claim for a benefit under this
act; make or cause to make a false statement, representation, affidavit, or document in connection with such
claim
Suffer the penalties provided for in Art. 172 of the RPC: Penalty of prision correcional in its medium
and maximum periods
and a fine of not more than P5,000

2. One who obtains or receives any money/check without being entitled thereto with intent to defraud any
member, employer, or the SSS
Fine of not less than P6,000 and not more than P20,000
and imprisoned for not less than 6 years and 1 day but not more than 12 years
3.Unauthorized buying, selling, offering for sale, use, transfer or takes or gives in exchange, or pledges or gives
in pledge any stamp, coupon, ticket, book, or other device for the collection or payment of contributions
Fine of not less than P5,000 and not more than P20,000
or imprisoned for not less than 6 years and 1 day but not more than 12 years
Or both
4. With intent to defraud, whoever alters, forges, makes, or counterfeits any stamp, coupon, ticket, book, or
other device for the collection or payment of any contribution
Use, sell, is in possession of any altered, forged or imitated material used in the manufacture of such stamp,
coupon, ticket, book or other device
Fine of not less than P5,000 and not more than P20,000
or imprisoned for not less than 6 years and 1 day but not more than 12 years
Or both
5. Fails/refuses to comply with this Act or its IRR
Fine of not less than P5,000 but not more than P20,000
Or imprisonment for not less than 6 years and 1 day but not more than 12 years
Or both
6. Violation consists of failure/refusal to register employees/himself (self-employed), or deduct contributions
from the employees' compensation and remit to the SSS
Fine of not less than P5,000 and not more than P20,000
and imprisonment for not less than 6 years and 1 day but not more than 12 years
7. SSS employee who receives/keeps funds/property belonging to the SSS who shall appropriate/misappropriate
or consent or through abandonment/negligence shall permit another person to take such funds/property
Failure of the employer to remit monthly deductions to the SSS within 30 days from due date shall be
considered misappropriated
>Shall suffer the penalties provided in Art. 315 of the RPC:
1st. The penalty of prision correccional in its maximum period to prision mayor in its minimum
period, if the amount of the fraud is over 12,000 pesos but does not exceed 22,000 pesos, and if
such amount exceeds the latter sum, the penalty provided in this paragraph shall be imposed in
its maximum period, adding one year for each additional 10,000 pesos; but the total penalty
which may be imposed shall not exceed twenty years. In such cases, and in connection with the
accessory penalties which may be imposed under the provisions of this Code, the penalty shall
be termed prision mayor or reclusion temporal, as the case may be.chanrobles virtual law
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2nd. The penalty of prision correccional in its minimum and medium periods, if the amount of
the fraud is over 6,000 pesos but does not exceed 12,000 pesos;
3rd.The penalty of arresto mayor in its maximum period to prision correccional in its minimum
period if such amount is over 200 pesos but does not exceed 6,000 pesos; and
4th. By arresto mayor in its maximum period, if such amount does not exceed 200 pesos