SSS Implements Multi-Year Pension Hike Beginning September 2025
Starting September 2025, the Social Security System (SSS) will implement a multi-year Pension Reform Program (PRP), marking the first time in its 68-year history that pensions will increase annually for three consecutive years. Approved by Social Security Commission (SSC) Resolution No. 340-s.2025, this program aims to provide relief to pensioners by addressing the impact of inflation. The eligibility for the initial adjustment is for pensioners on the SSS roll as of August 31, 2025, with the increased amount included in the September pension payout. This phased approach is intended to ensure the sustainability of the SSS fund while significantly benefiting pensioners over the next three years.
Breakdown of the 2025 Pension Adjustment
All eligible pensioners as of August 31, 2025, will receive an initial increase starting with the September 2025 pension. The increase percentages for 2025 are as follows:
- Retirement and Disability Pensioners: Will receive a 10% increase.
- Death or Survivor Pensioners: Will receive a 5% increase.
These percentages will be applied annually in September 2026 and September 2027 as well. By 2027, retirement and disability pensions are expected to have increased by about 33% cumulatively, while death and survivor pensions will have increased by approximately 16%.
For example, a retirement pensioner receiving P5,000 monthly as of August 31, 2025, will receive P5,500 in September 2025. This adjusted amount will then be the basis for subsequent annual increases.
How the SSS Pension Reform Program Works
The SSS has chosen a multi-year strategy to gradually increase pensions, a move supported by actuarial studies to ensure the long-term financial health of the fund.
Unlike the 2017 P1,000 pension hike which required an increase in member contributions, the current reform will not require additional contributions from active members. The funding for these increases will come from the SSS's successful management of its investments and improved collection efficiency. The program is expected to have a positive impact on the economy over the three years.
Comparison of SSS Pension Adjustments (2025-2027)
| Pensioner Type | Initial 2025 Increase (September) | Cumulative Increase by September 2027 |
|---|---|---|
| Retirement | 10% | Approximately 33% |
| Disability | 10% | Approximately 33% |
| Death/Survivor | 5% | Approximately 16% |
How Pensioners Can Prepare
Pensioners who were active as of August 31, 2025, will automatically receive the increase; no application is needed. The SSS will deposit the adjusted pension directly into the pensioner's registered bank or e-wallet account. Pensioners should ensure their account details are current with the SSS to prevent payment delays and rely solely on official SSS communications for updates.
Conclusion
The SSS pension adjustment, approved in July and effective for eligible pensioners by August 31, 2025, represents a significant step for Philippine social security. The multi-year program, with the initial increase starting in September 2025, provides a sustainable way to increase benefits without raising contributions for active members. This phased increase will help over 3.8 million pensioners cope with inflation and improve their quality of life.
For more official information, visit the SSS News and Updates section. The reform shows the SSS's dedication to supporting pensioners while maintaining the fund's stability.
