SSS Pension Calculator 2026: Retirement Pension Computation and Formula

How the SSS pension is computed

1. Find your AMSC (average monthly salary credit)

   SSS takes the higher of two averages: your last 60 monthly salary credits (MSCs) before the semester of retirement divided by 60, or all your MSCs divided by the number of contributions you paid. Only an MSC of up to ₱20,000 counts for the regular pension.

2. Count your CYS (credited years of service)

   These are the calendar years in which you paid at least 6 monthly contributions.

3. Compute the three options

   and take the highest: (a) ₱300 + 20% of AMSC + 2% of AMSC × (CYS − 10); (b) 40% of AMSC; (c) ₱1,000.

4. Apply the minimum

   at least ₱1,200 if you have 10 or more CYS, or ₱2,400 if you have 20 or more.

5. Add the ₱1,000 benefit allowance

   that all retirement pensioners have received since January 2017.

6. Add any pension increases

   you qualify for under the SSS Pension Reform Program (below).

Example: AMSC ₱15,000 and 25 CYS. Option (a): ₱300 + ₱3,000 + (₱300 × 15) = ₱7,800. Option (b): ₱6,000. Option (c): ₱1,000. The highest is ₱7,800. Add the ₱1,000 allowance: ₱8,800 a month.

Where to find your AMSC and CYS

Log in to My.SSS and open your contribution records (Inquiry → Contributions). Each month shows the salary credit you paid on. If your salary has been steady for the last five years, your AMSC is close to your current MSC, up to ₱20,000. Count the years with 6 or more posted contributions to get your CYS. For the exact figures, ask SSS: the calculator here is an estimate from the figures you enter.

SSS pension examples (monthly)

Monthly pension including the ₱1,000 allowance, before any Pension Reform increase, for a member with at least 120 contributions:

The AMSC above stops at ₱20,000 because only that much counts for the regular pension. Your contributions on an MSC above ₱20,000 go to your MySSS Pension Booster account (the Mandatory Provident Fund), which is paid out on top of the regular pension. See the SSS contribution table.

Why your pension may not rise between 10 and 20 years

Look at the ₱20,000 row: 10 years and 19 years give the same ₱9,000 pension. That's because the law pays the highest of the options, and for shorter careers 40% of AMSC beats the long formula.

The long formula only overtakes 40% once your CYS passes 20 − (15,000 ÷ AMSC), which we worked out from Section 12:

After that point, each extra credited year adds 2% of your AMSC (₱400 a month on a ₱20,000 AMSC). So if you're close to 20 credited years, a few more years of contributions can make a real difference.

The 2026 SSS pension increase

Under the SSS Pension Reform Program, retirement and disability pensioners get a 10% increase in each of 2025, 2026 and 2027, and death (survivor) pensioners get 5%. Circular No. 2026-002 says the increase applies to the monthly pension including the ₱1,000 allowance, and goes to pensioners as of each cut-off date:

Each increase is 10% of the pension being paid at the time, so they build on each other. SSS's own example: the minimum retirement pension of ₱2,200 in June 2025 became ₱2,420 in September 2025 and ₱2,662 in 2026, and becomes ₱2,928.20 in September 2027, about 33% more.

If you retire now: the circular gives each increase to those who are pensioners by its cut-off date. It doesn't give earlier increases to people who retire later, so the calculator doesn't add them. If your pension starts between 1 September 2026 and 31 August 2027, you get the 2027 increase from September 2027. Your SSS award notice shows your actual amount.

Minimum SSS pension in 2026

• 10 or more credited years: ₱1,200 + ₱1,000 allowance = ₱2,200 a month before increases.
• 20 or more credited years: ₱2,400 + ₱1,000 allowance = ₱3,400 a month before increases.
• Someone who was already on the 10-year minimum by 31 August 2025 now receives ₱2,662, per SSS's example.

Who qualifies for an SSS pension

You get a lifetime monthly pension if you've paid at least 120 monthly contributions before the semester of retirement and you are:

• 60 or older and no longer employed (or have stopped being self-employed, an OFW or a household helper). This is optional retirement.
• 65 or older, working or not. This is technical retirement.
• Underground and surface mineworkers and racehorse jockeys have lower ages under their own laws, as listed on SSS's retirement page.

Fewer than 120 contributions? You get a one-time lump sum equal to the contributions paid, plus interest, instead of a pension. SSS lets you keep paying as a voluntary member to reach 120 months and qualify for the monthly pension. See SSS voluntary contribution.

If you retire after 60, the law gives you the higher of the pension computed when you could first have retired or the one computed when you actually retire. If a retiree under 65 goes back to work, the pension is suspended until they stop working again.

13th month pension, the 18-month advance and dependents

• 13th month pension: every December, retirement pensioners get an extra month's pension.
• 18-month advance: when you file, you can choose to receive your first 18 monthly pensions as a lump sum, discounted at an interest rate SSS sets. Monthly payments then start after the 18 months.
• Dependents' pension: each dependent child adds 10% of the monthly pension or ₱250, whichever is higher, for up to 5 children. A dependent child is unmarried, not employed, and under 21 (or older if incapacitated from childhood), and was conceived or adopted on or before the retirement date.
• 5-year guarantee: the pension is paid for at least 60 months. If you die within that time without primary beneficiaries, your secondary beneficiaries get the balance of the 60 months as a lump sum.

How to raise your SSS pension

• Reach 120 contributions so you get a pension, not a lump sum.
• Pass the 40% break-even point (about 20 credited years on a ₱15,000 to ₱20,000 AMSC). Every year after that adds 2% of your AMSC.
• Keep your MSC at ₱20,000 in your last five years. Your last 60 MSCs are one of the two AMSC averages, so higher contributions near retirement can raise it. Check your MSC with our SSS contribution calculator.
• Pay at least 6 contributions each year so the year counts as a credited year.
• Pension Booster: contributions on an MSC above ₱20,000, or voluntary MySSS Pension Booster savings, build a separate account paid on top of the pension.

Common mistakes

• Using your salary instead of your AMSC. The pension uses salary credits, capped at ₱20,000 for the regular pension, not your actual pay.
• Counting all years worked. A year counts only if at least 6 contributions were posted for it.
• Adding the 10% increases to a new pension. They go to pensioners as of each cut-off date.
• Forgetting the ₱1,000 allowance. The formula gives the basic pension; the allowance is added on top.
• Expecting a pension with fewer than 120 contributions. That's a lump sum unless you keep contributing.

Frequently asked questions

Keep reading

Sources

• Republic Act No. 11199 (Social Security Act of 2018): Sec. 8(m) and (q) definitions, Sec. 12 monthly pension, Sec. 12-A dependents' pension, Sec. 12-B retirement benefits (Lawphil)
• SSS Retirement Benefit: qualifying conditions, formula, 13th month pension (SSS)
• SSS Circular No. 2026-002, SSS Pension Reform Program, 20 April 2026 (PDF)
• SSS to roll out Pension Reform Program starting September 2025, with sample pensions (SSS)
• SSS begins early June rollout of 2026 pension hike (SSS, 1 June 2026)

Last checked 26 October 2026. See how we research and the updates log.