SSS nets P83B in 2023, exceeds target by 62.8%

Private sector workers’ pension fund Social Security System (SSS) saw its bottom line in 2023 grow higher than its target.

In a statement on Friday, SSS said it booked a net income of P83.13 billion last year, surpassing the P51.06-billion target by 62.8%.

The pension fund’s earnings last year also exceeded the P52.60-billion net income seen in 2022.

SSS's P83.13-billion profit in 2023 was also the highest net income attained by the pension fund.

“Our revenue in 2023 grew by 15.6% to P353.82 billion from P306.16 billion in the previous year,” said SSS president and CEO Rolando Macasaet.

The bulk of SSS revenue came from contribution collection, which rose by 18.2% to P309.12 billion from the P261.44 billion collected in 2022.

“Our record-high net income last year shows that we continue to strengthen our finances through programs and policies that increase new paying members and strengthen collection efforts,” said Macasaet.

SSS also saw lower-than-revenue expenses at P270.69 billion, wherein the lion’s share of the total expenditure in 2023 went to benefit payments to members and pensioners.

“Our 2023 expenses reflect how SSS has prudently kept its expenses at modest levels and ensure that every peso contributed by its members are well spent for the benefit of all its stakeholders,” said Macasaet.

Benefit payments last year stood at P259.03 billion, up by 6.7% from P242.81 billion in 2022, while our operating expenses amounted to P11.65 billion, up 8.4% than the P10.75 billion a year ago.

“Our operating expenses last year were only 30.32% of the allowed charter limit of P38.4 billion. Based on our charter, the operating expenses are 12% of the contribution collections and 3% of other SSS income such as investments and loans,” said Macasaet.

The SSS chief said the pension fund’s financial performance last was amid the efforts of the SSS management and employees in intensifying its collection activities such as registering new paying members, improved collection from delinquent employers, and the 2023 contribution rate hike. — Ted Cordero/RSJ, GMA Integrated News