The Social Security System (SSS) reported profits for the first 10 months of the year reached P37.3 billion, up 14 percent.
SSS President and Chief Executive Officer Emilio de Quiros Jr. said higher profits resulted from the P100 billion or 17 percent increase in members’ contributions.
Contributions which make up 77.5 percent of total revenues rose, de Quiros said after the SSS implemented the new contribution rate and increased the monthly salary credit.
Benefits paid to members reached P85.6 billion, up 13.7 percent from P75.3 billion of the same period of 2013.
More than half of the amount or P46.5 billion was paid for retirement claims, and about one-third or P28.1 billion was disbursed to survivors of deceased members.
“The increase in benefit payments resulted from the 5 percent across-the-board increase for 1.8 million SSS pensioners that took effect this June 2014,” de Quiros said.
Employers remitted about P86.9 billion in employees’ contributions, followed by voluntary paying members at P8.6 billion, and self-employed at P4.5 billion.
The double-digit growth in collections was also achieved through the SSS AlkanSSSya program, which has covered 106,824 members from 1,061 informal sector groups and associations; intensified marketing campaigns for OFWs; and partnerships with 18 microfinance institutions, cooperatives and organized groups, de Quiros said.
The agency’s total revenue stood at P129 billion, representing an increase of 13.2 percent or P15 billion compared to the same period in 2013.
Investment and other income, which comprised 22.5 percent of total revenues had a modest increase of 1.9 percent to P29 billion despite lower interest rates in the market.
“Profits slightly moved up with revenues posting an increment of 13.2 percent vis-a-vis expenditures of 13 percent. Significantly, we were able to keep our operations costs down while outperforming our target by 46 percent,” de Quiros said. Also part of the reason for the increase, he added, was the pensions we advanced to 3,931 pensioners including those affected by Zamboanga siege, Bohol and Cebu earthquake, typhoons Labuyo and
Santi and to 17,394 pensioners affected by supertyphoon Yolanda.
Meanwhile, SSS operating expenses remained below its allowed charter limit at only P6.1 billion or 47.6 percent of the limit.
The financial position of the agency also continued to show solid performance with total resources reaching P436.6 billion, which was 13.5 percent higher than 2013 yearend level of P384.6 billion.