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SocialSecuritySystem(SSS)

RetirementBenefit

ForUndergroundMineworkers

UndergroundMineworkers

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RETIREMENTBENEFITFORUNDERGROUNDMINEWORKERS Pursuant to RA 8558 and Opinion No. 94s.1999 of the Secretary of Justice, the Social SecurityCommissionunderitsResolutionNo.1038,reducedtheretirementagefromsixty(60)tofiftyfive(55)yearsforundergroundmineworkers.Whomayqualifyunderthereducedretirementagerule? Anyundergroundmineworkerwho

1. hasbeenemployedandcertifiedasundergroundmineworkerbyhisemployerwhosebusinessmustbeduly registeredwith the Bureau ofMines as amining company. The certificationmust be properlysupportedbytheworker'sjobdescription;and

2. has been working as underground mineworker for at least five (5) years (either continuous or

accumulated)prior to the semesterof retirementbutwhoseactualdateof retirement isnotearlierthanMarch13,1998.

Whataretheconditionstoqualifyforretirementbenefit? Anundergroundmineworkerwhohaspaidat leastonehundred twenty (120)monthlycontributionspriortothesemesterofretirementshallbeentitledtoalifetimemonthlypension,providedhe:

1. is at least fiftyfive (55) yearsold, separated from employmentor in the caseof selfemployed,hasceasedhisselfemployment;or

2. hasreachedtheageofsixty(60).

Whatarethetypesofretirementbenefits?

1. Monthlypension. Thisisalifetimecashbenefitpaidtoanundergroundmineworkerretireewhohaspaidat least120monthlycontributionstotheSSSpriortothesemesterofretirement.

2. Lumpsumamount. This is granted to an underground mineworker retiree who has not paid the required 120 monthly contributions. It isequal to the total contributionspaidbyhimandhisemployer, includinginterest.Howmuchmonthlypensionwillanundergroundmineworkerreceive? Theamountofthemonthlypensionwillbethehighestof:

1. the sumofP300plus20percentof theaveragemonthly salarycreditplus twoper centof the

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averagemonthlysalarycreditforeachcreditedyearofservice(CYS)inexcessof10years;or

2. 40percentoftheaveragemonthlysalarycredit;or

3. P1,200,providedthatthemonthlypensionispaidfornotlessthan60months.ThelowestmonthlypensionisP1,200ifthememberhasatleast120monthlycontributionsorwithatleast10creditedyearsofservice;P2,400ifhehasatleast20creditedyearsofservice(CYS).A retiredundergroundmineworkerhas theoption to receivehis first18monthlypensions in lump sumdiscountedatapreferentialrateofinteresttobedeterminedbytheSSS.Theoptionshouldbeexercisedupon filingof the firstretirementclaim.Onlyadvancedpaymentsshallbediscountedonthedateofpayment.Thedependent'spensionand13thmonthpensionareexcluded from theadvance18monthspension.Hewillreceivehismonthlypensionstartingonthe19thmonthandeverymonththereafter.Whathappenstothepensionoftheretiredundergroundmineworkerwhenheresumesemployment? Themonthlypensionshallbesuspendeduponreemploymentorresumptionofselfemploymentofaretired underground mineworker who is less than sixty (60) years old. He shall again be subjected tocompulsorycoverage.Howwillthemonthlypensionofanundergroundmineworkerretireebecomputedifheretiresafterage55? Themonthlypensionofanundergroundmineworkerwhoretiresafterage55andhaspaidtherequired120monthlycontributions,shallbethehighestofanyofthefollowing:

1. themonthlypensioncomputedat theearliest timehecouldhaveretiredhadhebeenseparatedfromemploymentorceasedtobeselfemployedplusalladjustments;or

2. themonthlypensioncomputedatthetimewhenheactuallyretires.

Apensionerwhoretiresmorethanonceshallbeentitledtothehigherofeither:

1. themonthlypensioncomputedforthefirstretirementclaim;or

2. therecomputedmonthlypensionforthenewclaim.Howisthemonthlypensionpaid? Themonthlypensionispaidthroughthemember'sdesignatedbank.StartingSept.1,1993,apensionerisrequiredtochoosethebanknearesthisresidencethroughwhichhewishestoreceivehispensionbenefitsundertheMagImpoksaBangkoProgram. If theretiredundergroundmineworkerhasasinglesavingsaccount thathewants theSSS touse forpaymentofhispension,heshouldsubmithissavingsaccountnumberandaphotocopyofthepassbook'sfirstandsecondpagestotheSSSuponfilingofapplicationforretirementclaim.

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Hemustshowtheoriginalpassbookduringthefilingofhisapplicationforauthenticationpurposes.ForATM,thenameofmembermustbeembossedontheATMcardotherwise,acopyofthedepositslipmustbesubmitted. Uponapprovaloftheclaim,theSSSwillmailanoticevoucherinforminghimwhenhecanwithdrawhisbenefitfromthebank.Asidefromtheretirementbenefit,whatelsecanaretiredundergroundmineworkerreceive? Theretiredundergroundmineworkerisentitledtoa13thmonthpensionpayableeveryDecember.Arethechildrenofaretiredundergroundmineworkerentitledtothedependents'pension? Yes.The legitimate, legitimated,or legallyadoptedand illegitimatechildren,bornbefore thedateofretirementofaretiredundergroundmineworkerwilleachreceiveadependent'spensionequivalentto10percentofhismonthlypensionorP250,whicheverishigher. Only fiveminor children,beginning from the youngest,areentitled to thedependents'pension.Nosubstitution isallowed. Iftherearemorethanfivedependents,the legitimate, legitimatedor legallyadoptedchildrenshallbepreferred.Forhowlongwillthedependentchildreceivepension? Thedependents'pension stopswhen thechild reaches21yearsold,getsmarried,getsemployedordies. However,thedependents'pension isgranted for life tochildrenwhoareover21yearsold,providedthattheyareincapacitatedandincapableofselfsupportduetophysicalormentaldefectwhichiscongenitaloracquiredduringminority.Whatwillhappentothemonthlypensionofaretiredundergroundmineworkerincaseofdeath? Uponthedeathoftheundergroundmineworkerpensioner,hisprimarybeneficiariesasofthedateofhisretirementshallbeentitledto100percentofthemonthlypensionandhisdependentstothedependents'pension. If he dieswithin 60months from the start of his pension and he has no primary beneficiaries, hissecondary beneficiaries shall be entitled to a lump sum benefit equivalent to the total monthly pensionscorrespondingtothebalanceofthefiveyearguaranteedperiod,excludingthedependents'pension.Whatdocumentsareneededinfilingforaretirementbenefit? 1. Certification of separation from last employer/s for members less than 60 years of age, if thecertificationportionoftheretirementclaimapplicationisnotaccomplishedbylastemployer. 2.AffidavitofSeparation (SSFormE417), in theabsenceofemployer'scertificationofseparation (iflast employer no longer exists/ ifmember's residence is far from the address of the last employerwithin/outsidethePhilippines).

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3. Certification from the employer/s thatmemberwas an undergroundmineworker indicating theperiod of employmentwith the company supported by theworker's job description (employermustbedulyregisteredwiththeBureauofMines).

Ifwithdependentlegitimateorlegitimatedchildren:

Marriagecontractofmember Birthorbaptismalcertificateofdependentchild/ren

Ifwithillegitimatedependentchildren:

Proofsoffiliationfor illegitimatechild/ren,anyoneofthefollowing(forcontingencyonorafterMay24,1997)

Will Statementbeforeacourtofrecord Any authentic writing (letter, diary or other writing and other documents such as school

cards/recordsofdependent,educational/insuranceplans/employmentrecordsofmember(wherethenameofdependentisindicated)andPhilHealth/GSIS/PagIBIGrecords

Ifdependentisincapacitated

MedicalcertificateofincapacitateddependentissuedbytheattendingphysicianIfmemberisincapacitated

Medicalcertificateofmemberissuedbytheattendingphysician Application for Representative Payee andGuarantor's Bond Form (SS Form BPN109), if guardian is

otherthanspouse Affidavitre:GuardianshipofIncompetentPensioner(SSFormCLD1.1B),ifspouseistheguardian IntrustForAccount

Note:Othernecessarypapersmayberequiredduringtheprocessingoftheclaim.