P.E.S.O. - FUND; AN SSS ANNOUNCEMENT

SSS announced today the launching of its Personal Equity and Savings Option (PESO) -fund.  It is similar to the OFW's flexi-fund, with similar provisions.

It is voluntary, and is open to members who are below 55 and are paying the maximum contribution for SSS for SEVMs and OFWs. Employed members may join even if they are not at the maximum levels.

Benefits  and Income are tax-free because this is earmarked for a retirement fund.  CONTRIBUTIONS to the fund are NOT tax-free, unlike the PERA fund discussed a few years, but never flew.

Income is guaranteed because it is pegged to the T-bill rate, same as the flexi-fund.

Details will follow at a later post.
If readers will remember, Pag-ibig also announced a similar, if smaller program that may appeal to the smaller-income would-be investor.  The Pag-ibig offer is also less restrictive.  However, I have yet to compare possible incomes and growth of fund.

A comparative post of the Flexi-fund, P.E.S.O. - Fund, Pag-ibig, and  PERA fund will follow at a later date.

If you read about it, and have questions. You can ask on this post.

NOTE:  RIGHT NOW I AM SEEING CERTAIN DISCREPANCIES IN THEIR ANNOUNCEMENT.  HENCE, I AM GIVING TIME TO CHANGE CERTAIN ITEMS BEFORE I START THE DISCUSSION.

More discussions on Circular 2013-003 and the AlkanSSSya program

if you readers are familiar with the Social Security System, Horace T. Templo is the former Chief Actuary and EVP of Operations.

Click here for Horace Templo's discussion of 2 SSS initiatives - Age 65 and over Circular 2013-003 and the AlkanSSSya program

There has been a lot of discussions about this Circular.

i suggest reading the following sections in the SSS Law (RA 8282)

Section 9 on Coverage.
Section 12-B on Retirement Benefits.
Section 13 on Death Benefits.

Let me know your conclusions.

Click here to read the SSS Law (RA8282) and the Sections

It is likely that this circular will be suspended/withdrawn.

Part 1. For SS Memberswho are 65 and are not yet pensioners

SSS has recently amended their policy such that any SSS member who has reached 65 and has not yet qualified for a pension must signify their intention to continue paying to qualify for a pension by accomplishing a new form called Application for Voluntary Payment of Contributions for Members Aged 65 years old or over.

It is imperative that these members now submit the properly filled-up form to any SSS branch on or before end-of-business-day of Monday 1 July 2013.

 See below for the image of the form.  This form is from SSS.

Click here to download the form.