How SSS contributions are computed
The Social Security System (SSS) is the mandatory government insurance and pension program for employed and self-employed Filipinos, covering retirement, sickness, maternity, disability, and death benefits. Every month, a percentage of your salary is deducted and remitted to SSS, where it builds your contribution record — the basis for how much you can eventually claim in benefits and pension.
Unlike a flat deduction, SSS doesn't compute your contribution directly from your exact salary. It first converts your salary into a Monthly Salary Credit (MSC) — a bracketed figure that rounds your compensation to the nearest official SSS bracket, in ₱500 increments, between a floor of ₱5,000 and a ceiling of ₱35,000. Your contribution is then calculated as a percentage of that MSC, not your raw salary.
2026 SSS contribution rate
| Share | Rate | Notes |
|---|---|---|
| Employee | 5% of MSC | Deducted from payslip |
| Employer | 10% of MSC | Paid on top of salary |
| Total | 15% of MSC | Final step under RA 11199 |
The 15% total rate took full effect in January 2025 as the final scheduled increase under Republic Act 11199 (the Social Security Act of 2018), and it remains unchanged for 2026. The MSC ceiling was also raised to ₱35,000, meaning the highest possible employee share is ₱1,750 per month (5% of ₱35,000).
Understanding the Monthly Salary Credit (MSC)
SSS uses two related caps that often confuse first-time filers. The ₱20,000 cap is the ceiling for "Regular SS" — the portion of your contribution that funds sickness, maternity, disability, and standard pension benefits. The ₱35,000 cap is the overall posting ceiling. If your MSC falls above ₱20,000, the contribution on the excess is automatically routed into the Workers' Investment and Savings Program (WISP), a mandatory provident fund that builds a separate, additional retirement savings account on top of your regular pension.
Employees' Compensation (EC) fund
Employers also pay a small, separate EC contribution — ₱10 per month for an MSC below ₱15,000, or ₱30 per month for an MSC of ₱15,000 and above. This is entirely employer-funded; employees never see this amount deducted from their own pay. It funds additional benefits in cases of work-related sickness, injury, or death.
Example computation
An employee earning ₱18,500 a month rounds to an MSC of ₱18,500 (already on a ₱500 step). Their employee share is 5% of that, or ₱925, matched by ₱1,850 from their employer, plus a ₱30 EC contribution paid solely by the employer.
An employee earning ₱30,000 a month has an MSC of ₱30,000. Their employee share is ₱1,500, employer share ₱3,000. Since this MSC exceeds ₱20,000, part of that total is automatically credited to WISP rather than Regular SS — meaning some of this employee's contribution builds an extra retirement fund on top of their standard pension.
Self-employed, freelancers, and voluntary members
Without an employer to shoulder the 10% share, self-employed individuals, freelancers, online sellers, and voluntary members must pay the full 15% themselves. You can generally choose your own declared MSC anywhere within the ₱5,000–₱35,000 range, which affects both your monthly payment and your future benefit eligibility — a higher declared MSC means higher contributions now, but larger benefits later. Self-employed and voluntary members are exempt from the EC fund, since that's an employer-only obligation.
Special membership categories
- OFWs — minimum MSC of ₱8,000, higher than the standard ₱5,000 floor, reflecting typically higher overseas earnings.
- Kasambahay (household workers) — MSC floor of ₱1,000. If a kasambahay earns under ₱5,000/month, the household employer is required to shoulder the entire contribution.
- Non-working spouse — contribution is based on 50% of the working spouse's last posted MSC, allowing the non-working spouse to maintain SSS coverage.