SSS posts P42.57B collection in Q1 2018
The state-run Social Security System (SSS) said collections from its 15.4 million actively paying members amounted to P42.57 billion in the first three months of 2018 pushing its total revenues for the period to P49.72 billion.
SSS President and Chief Executive Officer Emmanuel F. Dooc said that the total amount collected was a result of aggressive collection drives such as posting of show cause orders in non-compliant establishments, serving of warrants of arrest together with the Philippine National Police (PNP), and the implementation of the Real-Time Posting of Contributions (RTPC) as a new form of collection system.
“There was a large volume of paying members in the first quarter of this year, majority of them are voluntary members. Combined with the implementation of the RTPC since January 2018 which caused the immediate posting of collections in our system,” Dooc said.
Component-wise, collections from the employed sector registered the biggest amount at P35.75 billion followed by voluntary paying members at P4.78 billion, and self-employed at P2.04 billion.
SSS members’ contribution collection from January to March 2018 grew by 7.64 percent from the P39.55 billion booked in the same period in 2017.
On the other hand, investment and other income slipped to P7.16 billion, a 22.50 percent drop from the P9.23 billion recorded in 2017.
Dooc explained that SSS' investment and other income slid in the first quarter due to several factors such as the the unfavorable mark-to-market valuation and timing of receipt of dividend income.
“The Philippine Stocks Exchange index (PSEi) opened at 8,584 on the beginning of the first quarter and closed at 8,039 by end-March 2018 period. This represented a 7.04 percent drop or 604 points, which affected not only SSS but also other investors. Also, SSS dividend income from invested companies for the period of January to March 2018 declined by 9.61 percent to P1.27 billion compared to the P1.41 billion in the same period last year," Dooc explained.
He also noted that payment for member loans was lower in the first quarter of the year because there was no Loan Restructuring Program (LRP) offering during the period offering unlike the posted income from LRP of 2017 same period.
“Our investment in government securities, which comprises majority of our investment power, performed well but was tapered by the fair value loss on government bonds” he said.
Dooc added that SSS had also no programmed Education Assistance Loan Program (EALP) counterpart funding in first quarter 2018.
“But we have high hopes that the proposed amendments to the Social Security Law of 1997 would be passed by the end