Contributions, investments boost SSS bottom line

More contributions by its members helped lift the bottom line of the Social Security System (SSS), the government-run pension fund for employes in the private sector. The pension fund on Wednesday said it registered P36.2 billion in net income, up 42 percent from the P25.55 billion a year earlier, largely on increased  contributions and investments. Contributions, which accounted for 74 percent of gross revenues, went up by 10 percent to P94.21 billion, said Emilio de Quiros Jr., SSS president and chief executive officer. Investments and other income went up by 13.49 percent to P33.89 billion, he added. Revenues climbed by 11 percent to P128.10 billion from P115.84 billion. While total expenses went up less than 4 percent to P90.28 billion, cost-cutting measures helped temper expenditures. "As a result of our prudent spending and management of resources, operating expenses grew by only three percent for a total of P7.73 billion last year,” De Quiros noted. “This was only 62.70 percent of the allowed charter limit, which the Social Security law provides must be no more than 12 percent of the total yearly contributions plus three percent of other revenues," he said. "The SSS is doing what it can to keep the fund viable by taking advantage of investment opportunities and carefully managing benefit payouts and operating expenses,” said De Quiros.  “Our initiatives to enlighten more workers on the value of SSS coverage and the importance of active membership also helped boost contribution collections, which is the lifeblood of the SSS fund," he added. — VS, GMA News