Contents (685 Mandate Merten. Le sence Coverage treet Macs |. Republic Act 8291(38 Act of 1907). 8, Pesierti Dore 1148 non or Cash Payment y Bert Repub Ac 680 Mage 87 Pepa ct 7699 (Te Poraity Law) (case Sry on Reet Bnet (ther Social nswance Benet A Savicrsip Bent 8. Funeral Benet ©. Unempnent Bent .Dsbity Bent Nonwerk Reed 1. Permanent ot Dsabiy 2. Peanert Pail isaity 8. Temporary Toa Dsbily .Cvstras Cash Git an Peion hease Frequently Asked Questions on Oiends 2 oss This brochure primacy discusses the retirement beneft for members ‘of the Government Service Insurance Syston (GSIS), as well as other social insurance benef The GSIS hopes that through this information too}, you, as @ SIS ‘member, wil eta clear understanding ofthe various benefits that you are entitled to receive under the aw. Ifyou area retiring government employee, this handout wil equip you wi valuable information on the retirement options available ta you There are five cfterent retirement modes you can choose from depending ‘on your age and length of servic. You may be eligible in ll ut you can only select one. Enjoy wading! GSIS Mandate Created by Commonwealth Act Ho. 186, the GSIS isa socal insurance institution that provides a defined benefit scheme under the lav. It inures its members against the occurence of certain contingencies in exchange for their monthly premium contributions {SIS members are ented to an array of social security benefits, such as le insurance benefits, separation or retirement benefits, and disability benefits ‘The GSIS is also the administrator ofthe General Insurance Fund by virtue of RA 656 or the Property Insurance Law. It provides insurance coverage to government assets and properties that have government insurable intrest,Membership 6918 members ae casi into types 1. Regular members ~ government employees receiving fxed monthly compensation while in the service of a government agency (thet employer by virue of an appointment or election to pubic affice and regardless of status of appointment, ‘The employees sharein the life insurance and retirement contributions of regular members is 9% of thir basic salary while the employers share is 12% of the same, This fs mandated under Section 5 of RA £8291 or the GSIS Charter. The breakdown of contributions of regular members and their ‘employers is shown as folows: Breakdown Porcentage” of the Contribution oF Conteation fe nsurance Retirement o% 2 m™% CGovernant E 10% (employe share iS ES Total 2% * 1% “ate base moti sary 2. Special members ~ government employees who, based on the Constitution or by virtue of a special law or charter, ae covered ‘nde retirement schemas that are separate from the GIS, funded by their own agency or by the National Treasury. and recognized by the Department of Budget and Management (DBM) Special members are required to remit life insurance premiums only equivalent to 3% of their base salary. Members of te judiciary and ‘constitutional commission fll under this category ‘The contribution of special members and their employers is shown as follows: Percentage" of Contibution Social insurance Contribution Peveentage of Contrib Poreonal (ployee) share m ‘Government (empayer) share wm i) _ | om “ofits monty sary Members may also be classed as follows: 1. Active members ~ GSIS members, whether regular or special, wh are in the government service, 2, Inactive members ~ members who have been separated from the service by resignation, retirement, disability, dismissal, or retrenchment Under RA 8291, the fllowing are not GSIS members: 1. Uniformed personnet of Armed Forces of the Philippines (AFP), Philippine National Police (PNP), Bureau of Jail Management and Penology (BJMP), and Bureau of Fire Protection (BFP), as well as forest rangers of Department of Environment and Natural Resources (DENR) and members of the Philippine Coast Guard; and 2, Contractual employees vino have nv emplayer-employee relationship vith their agencies.Life Insurance ‘The GSIS administers two types fife insurance policy — Life Endowment Polcy (LEP) and Enhanced Lite Policy (LP). “The benefits given under LEP and ELP are summed up in the table below. Lite Endowment Policy Enhanced Life Policy aunty benett {Wo matnty Bonet ‘Termination vate (TV), whien 1.Cashsurendervaive (CSV) 1s 25% mony ie nswance premium pais 2. aero premiums due 0 {No wawor of premiums ue pomanentiidisabity(PTO) (TD) 8. Death benett 2, Death bene (Wo accidental death bono) {Awa dena 4 Poly fan (20% of TV) 4 Accidental death bona 5. Ana dnd 6.Potey loan (0% of CSV) The above benefits are discussed in deta inthe pages that follow. A. Life Endowment Policy Coverage LEP is the old insurance coverage issued to GSIS members who entered the government service bere August 1, 2008, New entrants in the government service (on or ater August 1, 2003) are ow coverad by ELP. LEP Benefits Ht you area LEP holder, you are ented to the following benef: Maturity beneft—the amount payable upon maturity ofthe endowment policy as defines in the policy contract or the certificate of coverage and is equivalent to the original amount of insurance, plus the ‘supplementary and less all outstanding obligations. ‘Supplementares are amounts aided to the original amount of Insurance resuiting from an increase i the salary ofthe member vith the corresponding increase inthe premiums payable on the plan, The amount ofthe supplementary is computed based on the amount of Increase in annual salary, the atained age ofthe member a the tie of increase, and the insurance factor cortespanding tothe plan of Insurance ofthe member, This benoit i atte insurance claim. As such, it as no prescription period under RA 8291. (Cash surrender value ~ the cash value ofthe policy eared during the term of the insurance and is payable to members, less all outstanding joblgations, when they resign or separate from the service before the maturity of the insurance oF when they incur permanent total Aisabilty(PTO), This benefit has no prescription period under RA 8291. Waiver of premiums due to PTD. Premiums that may become due nd payable during the period ofthe PTO shall be deemed waves and considered paid PID is caused by an injury or disease that results in complete reversible, and long incapacity to work orto engage i any gaintul occupation. Since the PTD benefit has a prescription period under‘RA 8291, application or such should be filed within 4 years trom the ‘ate of dsabilty. 4. Death benefit the amount payable to designated beneficiaries or, in their absence, to legal heirs upon the members death due to natural ‘causes prior to the maturity of insurance or during is cominuance This benefit i alte insurance claim. As such, it has no prescription period under RA 8291 5. Accidental death benefit addtional benef equivalento the amount of ‘death benefit (or total gross amount ofthe face value ofthe compulsory life insurance) ifthe member's death is de to accident, as determined by the System and in conformity with ts policies. This benefit is also dubbed “double indemnity” fr eligible members. Section 11.9.1 of RAB281 states: “The GSIS shal pay the acidental death beneft upon recep of writen atice within Thirty (30) days from the date of death of the member and due proof that such death resulted, directly and independently ofall other causes, from bod injury and while hisher insurance is in fore, and that said death was caused solely by extemal, violent, and accidental means and not intentionally caused or provoked by the ‘member, and occured within Ninety (90) days from the date ofthe accident. * 6. Annual dividend the sum of money paid to GSIS policyholders ‘whose life insurance has been in force for at least 1 year based on records submited bythe employer, subject to amount and conditions recommended by the GSIS Actuary Office and approved by the GSIS Board of Trustees. Eligible members may stil request payment of back dividends that ‘were unciaimad in previous dividend years by filing out a Member's Request Form. 7. Policy lan ~ equivalent to 60% of the cash value ofthe policy that could be borrowed by the member. 8 oss B. Enhanced Life Policy Coverage ‘You are covered by ELP under any ofthe following condition: 1. You area government employee wio entered the Service after July 31, 2003; 2. Your LEP has matured after uly 31, 2008. (You wil be issued a new ELP); 3. You are a regular GSIS member whose LEP has lapsed due to ‘nonpayment of lif insurance premiums but continue to be in active service. (You will be issued a new ELP]; or 4. You are a regular GSIS member who opted to convert your existing LEP into ELP. ELP Benefits 1 ation value ~ the accumulated amount earned based on premium payment while the ELP isin fore. Iti equivalent to 25% 1 the monthly ie insurance premium paid, which can be withdrawn upon separation or retirement. 2. Death benefit - equivalent tothe last annual salary muliplied by 15 Compared to LEP. ELPhas higher death benefit as this is focused more ‘onthe financial support to the family and beneficiaries ofthe deceased member 3, Annual dividend based on the termination value and earings ofthe ‘Socal Insurance Fund. 4, Policy loan equivalent to 80% ofthe termination value oss 9Retirement There are five diferent retirement laws to choose from, As a retiing govermert emo, yu may sen ota hat apa yout age and length of government sevice. The fv favs a heey dt of ach are sown (rom th mst recent) s follows: Retirement Law Etectivty Oat ARO (GSIS Act of 1997) une 24 1007 "RA 7690 (The Porabty Law) May 1, 1908 PD M146 (Pancion or Cash Payment) May 1, 1977, RA 1616 (Gratuty Bonet) May 31,1957 A60 (agi 87) she 16,7953 ‘The retiement laws are presented her from the most to the last aval of, A. Republic Act 8291 (GSIS Act of 1997) Eligibility 4. You must have rendered af feast 15 years of service and must be at east 60 years old upon retirement: and 2 You must nothe a permanent total isabilty pensioner. Retirement Benefit ‘There are two choles under this law. Option 1: Lump sum and old-age (basic monthly) pension This consists ofthe folowing: ‘Lump sum~eauivalen to your 60-month (or 5-year) Basie monthly pension (BMP) payable atthe ime of retirement; and ‘+ BMP payable for lie aftr the 5-year guaranteed period Option 2: Cash payment and old-age (basic monthly) pension This consists ofthe flowing: ‘Cash Payment ~ equivalent to 18-month BMP payable upon retiement; and ‘+ Immediate BMP payable for ite rom the date of retirement. Here is how BMP is computed ‘BMP = (0.025) (AMC + P700) (PPP) verage monthly compensation periods with paid premiums, where and Your ANC is computed as follows: 1. your PPPs less than 36 months: Members total compensation (with corresponding paid premiums) prior to unemplaymentisabittyaeaty sanig.2 Actual numberof months such compensation was received 2. your PPP is 36 months or more. Members total compensation (with corresponding paid ane = mums) prior to unemploymentiisabiityeath 36 months oss 1"Under this tw, the BMP should not exceed 90% ofthe AMC. are otice Date of bet Date of entry inservice Dat of retiement Pep Aue. adic AMC + 700) ighest salary receved Age at retremen ‘Computation Juande Cuz DepEd Pung Lupa dune 20,1952 Maren 1.1078 Jury’, 2014 3186574 723,805 55 24 50555 25.000 0 61.52 years ol 4. BMP = (0.025) (RAMC) (PPP) (0.025) 24505.) (3.88874) = Pi9g22.18 2, Ration Option 1: Sear lump sum = (P19522.18) (60 mont) P1,471,990.80 BMP (P19522.18 to start on January 1, 2019, + Option 2: 18-month ash Payment =» (P19522.18} (18monts) = P351,399.24, plus mediate BMP starting January 1. 20id 12 asi Separation Benefit you are inetigibe for retirement benefit under RA 8291 because you didnot ‘meet he required age at ast 60 years ol) or service (atleast 15 yeas), you ‘may be ented to separation benelitin the form of Cash Payment payable atage 60. lHyou meet only the service requirement of 15 years, however, you are also enitied to pension payable at age 60 on top of the 18 times of your BMP payable upon separation Your Cash Payments computed as follows ondition Jutation ‘when Benofit ls & ‘Comp Payable fae 0 Pe Mtl tt ise = ODWAMC)(F) ata go an yee ‘Age: Below 60 . immersion Mi Kiet tsyean = 18 ah re sant ‘gens PPh item Statice |= G0O%AME) PR) nme than yeu ‘Since separation benefit has a prescription period, application should be filed within 4 years trom the time of separation from government service. sis 13B. Presidential Decree 1146 (Pension or Cash Payment) Eligibility 1 2 You must have rendered at least 15 years of service and must at least ‘be 60 years od vpon retirement; and Yur date of eitement or separation is priar fo June 24, 1997. Benefits You are entitled to any af the two benefits discussed below depending on your age and length of service. 1 Pension For pension payment, you can choose trom two options. Option 1: Annuity - the monthly pension paid annually for years, ater whic, your BMP for ite sall commence, ‘Option 2: Five-year ump sum he amount to be received within the S-year guaranteed perio. Your old-age pension is computed as follows: ‘BMP = (0.025) (RAM) (Total years of service) where: RAMO=170% AMC or (WAM is not more ((FAMC is more than P20 than P200), but less than P3,000) (Under PO 1146, AMC should not be more than P5,000,) 14 asi ase Data Name Pedra Jose Office Deped Postion Teacher 1 Date of bith Nach 21,1940 Date of retirement Nah 211996 PP 2022146 anc, 3.00000, AMG (AMC +Pr40) > P3.14000 Highest salary rceved 25,000.00 Computation 1. BNP (0.025) (RADC) Tota years of service} = (0.025) (3,140.00) (2022146) 587.38 * (Hot fective January 1.2019, the minimum pension for old-age and RA 8281 cisabiltypensionrs 1s 5.00000} 2, Ratiromentboneit Option t: Annuity = (Pt 587.38) (12 months) 19,048.56, COnton 2: Actual pariod: March 2, 2000 to March 20,2005 (a 6 ‘months year lump sum = (1.58738) (69 months) = Pa,242.80 ‘BMP (P1,587.38) to start on Apr 1, 2005.2 Gash payment you are at east 60 yeas old and had at east 3 years but less than 45 years of government service, you are ineligible for retirement benefit under PD 1146. You may be entitled, however, to Cash Payment equivalent to 100% of your AMG multipied-y your PPP, as follows ‘cash Paymi t= (AMC) (PPP) C. Republic Act 1616 (Gratuity Benefit) ‘Among the fve retirement laws, thsi the only mode, dubbed “Tae Al,” ‘that does not provide pension benefit to retires, Eligibility 1. You must have entered government service before June 1, 1977, 2, You must have rendered at least 20 years of service regardless of age and employment status; and 3. Your last 3 years of service prior to cetivement must be continuous, except in cases of death, disability, abolition, or phase-out of position due to reorganization. Benefits It qualified, you are ented to receive the folowing 16 oss Gratuity pay or benoit. Ths is payable by your last employer. ts computation is based on your total length of service (converted into Gratuity months), as follows: Gratuity Months | Factor Fist 20 yeast seen 1m 21-30 yas otsace X15 mone Inowossof 80 yeas efserver |X 2menne The total gratuity months shall be multiplied then by the highest compensation you received Refund of retirement premiums. These consist of your personal share with interest) and government share (without interest), both of which ate payable by the GSIS, Basic Data Name Juan def Guz offee Depa Putsg Lupa Date of bith sine 20,1947 Date of entry inthe government © March 1, 1973 Date of erement sana 4, 2000 PPP 51.86574 aM, 23.08.58 AMG (AMC + P700) P55 55 Highest salary received 25,000.00 ‘Ago at oremen 51.52 years ld sis 7Computation 1. Gratuity mont . 2oyeas xt ayers x15 1.80874 years x2 Total gratuity monie= 98. 2 Gratuity benent: Gratuity months) (Kghest salary received) D. Republic Act 660 (Magic 87) Eligibility 1. You must have entered government service before June 1, 1977; 2. Your appointment status must be permanent; 3. Your last 3 years of service orior to retment must be continuous, except in cases of death, dsabilty, abolition, or phase-out of position de to reorganization; and 44. You must be atleast 52 years old and meet the corresponcing years of service (¥OS) required for eligibility. Under this law, your age wien you reed trom age 82 to 87) and YOS sltould be equal to 87, hence, the "Magic 87° formula ‘Age + Service = 87 18 oss Benefits Your annuity under this lw depends on your retirement age. Its tall inte table below. Feticoment age Benefit [andsion Seo am ow 6 tates 60 ‘iow ~ tig penn pat run ith nut "Note that atte the 5-year guaranteed period, within which you obtained any ofthe above benefit, you shal be ented ta a monthly pension fore "Your monthiy pension under RA 660 is computed as folows: = 30,00 + [(2% xM) + (1.23%x P(A) vere = Monthly pension at age 67 'M = Number of years after June 16,1951 (tfectvty date of A650) P= Number of years before June 16, 1951 ‘A = Average monthly slay forthe last 3 years ‘An actuarial adjustment factor, which varies with age, is used in ‘computing annuity. The factors ae shown inthe table below, esis 19Basic Data Name Padro Jose fice DepEd Pung Lupa Date of beth une 20,1947 Date of entry nthe goverment Warch 11973, Date at ratiement shanuaty 1, 2008 PPP ‘8574 Number of years ater June 16,1951 (M) :31.85574 Number f years before June 16, 1951 (): 0 ‘Average monthly salary (A) 23,805 55 Age at retrement| (61.5 years ola Computation 4. Monthy pension: FR =P50.00+ [2% xB) + (1.2% P(A) 5000+ [2% X31 86574) «(1.2% x0) (28805 55), 50.00 + (0.687315) (23,805 58) 50.00 + 15,171.68 15,201.65, ‘Then, gthe actuarial factor at age 61.2 from he table on page 18:4.18 = (8) (Actatal acto) (15,201.63) (1.13) Prr.tr7.8¢ 2, Sino Mr Jos is 6152 years ol upon retirement, hs ented tote alawing ‘+ 8,year lum sum (25 months) payable immedi on Ns retement (danuary 200): {Wnty persion) (3 months) (er7.177.4) (36) st6.402.28 20 ase + Subsequent 2-year lump sum (or 24 months) payable at age 63 (Gune 20,2010) upon request Monthly pension) (24 months) ‘+ Monthy pension (P17,177.84) to startin January 2014 Itis important to remember that if you are claiming for benefits other than retirement under RA 60, you should have made contribution for atleast 5 years to qualify for such benefits, E, Republic Act 7699 (The Portability Law) RA 7699 s another retirement law that you can apply for only: 1. You are not entitled for pension benefit from either or both the GSIS or Social Security System (SSS) because you are tunable to meet the required periods of service or number of contributions; and 2. You have less than 120 months of SSS contributions ar less than 180 months of creditable government service (GSIS) at the time of retirement. (In computing, there should be no overlapping of periods of service or contributions under the GSIS and $88.) The Portability Law provides for totalization, the process of adding Lup the period of creditable services or contributions under bath SSS and GSIS for purposes of eligibility and computation of benetits sis 21‘The amount of benefit to be paid by the GSIS or SSS shall be proportionate to the services rendered or periods of contributions made to each of them, Hence, all services you rendered or contributions you personally paid as a GSIS member, as well as those that were paid by your agency: ‘employer, shall be considered in the computation and payment of GIS benefits. The $88, onthe other hand, shalt shoulder the portion corresponding to your services or contributions to that system. Your benefit under this law is in the form of monthiy pension payable at age 60. Sapa Compas of Beet Under ra T0 sane Basie Data Name Juan deta Guz fice Depe Pulang Lupa Postion Teacher Date of birth March 21, 190 Dat of entry in goverment srvice = March 1, 1887 Date of retiemenvseparation —: March 1, 1996 Period of employment i the 7 years (December 10,1979 val sector (under SSS) t0Decarber 15,1988) PP (unser GSS) years ai 3,000.00 AMG (AMC + 140) 3,140.00, Highest salary receved 25,0000 ‘ge at etiremenv separation 5 years old Date processed January 16,2014 22 oss ‘Computation using the formula under PO-1146, he prevaiing retirement aw in 1996: 1. Compute fst his BMP (lo start at age 6, that i, March 21,2000), ‘BMP = (0.025) (RAMC) (Total yrs of service under GSIS) (0.025) (2140.00 (9) 706.50 (sa retiree under RA 769, Mr. dla rus excluded fram persion Increase ana cash gt) 2. Tea, compute his accrued bene ‘Accrved period : March 21,2000 (is 6th birthday to January 31,2014 last mom of BMP covered inthe ‘computation when his retremant benefit was rocessed ar which he shall receive is regular BMP of P7050 stating February 2014) 157.3548987 months 48. $85 shall compute and gran the benefit fo his period of employment under SSS rom Decamber 101979 to December 15, 1986, SAMPLE? Basi Data Name ado Jose Offce ‘eps Pulang Lupa Date of bith une 20,1952 Dat of ety in service Sty 1, 198 23‘ate of retemanvsepraton = January 1, 2009 PPP 105 years anc, posansss alc (AMG + P700) Pass 35 Highest salary receved 25,000.00 Age at erement| 57.52 years od Date processed January 16, 2014 ‘Computation using the formula under RA 828, te prevaling etroment Taw when Mr Jose retired in 2009: 1. Compute first hs BMP (lo staat age 60, tat is, ne 20,2012). AMP = (0025) (RAMC) (PPP) (0.025) 24505.) (10.5) Poa (As a etree under RA 7699, Mc doses excluded rom pension herease and esh git) eft: ‘Accrued petlad: June 20, 2012s th birthday) 4a January 31, 204 (ast maath of BMP covered in ‘he computation ven his retreat bent was rocessed afer which he stall reve hs regular BAP of P7050 stating February 2018) 1933339 mnths (BMP) (carved period or montis) = (P6,432.68) (1893339) = P24, 365.18 2.Then, compute his acervd Accrued benefit 83.85 shal compute an orate benait for his period of employment Under SSS, fan, prior to is enty in government service 24 esis Case Study on Retirement Benefit Momiber's Name SANET M. REVILLA Dep Putang Lupa Position Clerk Date of bith March 21,1951 Date of sly 4, 1976 Date of 2 uly 4, 2014 PPP 36.24822610 Awe 25,471.08 AMC (AMC+ 700) P26,171.03 Highest salary received : 25,868.00 ‘Ageat retirement 63 years old Question Under RA 8291 1. Compute first her basic monthly pension (BMP) (0.025) (RAMC) (PPP) (0,025) (26,171.03) (36:24322610) 723,713.06 ‘The maximum BMP, however, should not exceed 90% of her AMC (P25,471.03), which is P22.923.93, Hence BMP = P22,928.99, 2, Then, compute her retirement benef * Option +: S.yearlump sum (BMP) (60 months) 22,823.93) (60) P1,375,495.60 IVP (P22,823.93) to start on July 1,200 How much is Ms. Revilla's retirement benefit? oss 2+ Option 2: 18-month Gash Payment (GMP) (18 months} (P22,823.93) (18) 412,690.74 plus immediate BMP (22,823.93) stating sly 1, 2044, : Aside from receiving retirement benef a rei is aso entitled to cash ‘surrender value(CSV). Upon retirement allloan balances maybe deducted from the CSV. These loans, except policy loan, may also be deducted fram the retirement benefit (and hence paid in full or in instalment bass under CLASP) Under PD 1146 PD 1146 is no longer applicable to her. Why? To qualty fr retirement benefit under this law, Ms, Revila’s date of retirement (or separation trom the service) shouldbe prior to June 24,1997, Assuming, however, that she etied or were separated prior to June 24 1907 (say, une 23, 1997, she would have been ented to receive such benefit for having rendered more than 16 years of service (that, frm her entry on July 1, 1976}, 1. Given the above employment data of Ms. Revia in 1997, compute first her BMP. + AMO: P7,286.72 (Note, fowever that under PO 1146, the maximum AMC is 3,000.00, So: P3,000.00 + AMC: AMG + 140 3,140.00, ‘Total years of service (from July 1, 1976 to June 23, 1997): 20,9955987 Hence (0.025) (RAMC) (Total years of service) (0,025) (3140) (20.9985987) 1648.39" (Note: fective January 1, 2013. the minimum pension for all old-age pensioners and for RA 8281 disability pensioners Is 5,000.00.) 2. Compute her two options for retirementseparation benefit, which is payable at age 60: + Option 1: Immediate BMP = From March 21, 2011 (her 60th birthday) to December 3t, 2012: 1,648.39 Effective January 1, 2013: P5,000,00 (new minimum pension) + Option 2: 5-year lump sum (MP) (60 months) {P1,648.39) (60 months) = 98,903.40, ‘BMP (P5,000.00) to start on July 1, 2019 1. Compute frst ner Poyears xt oyears xt 8.00548 years x2 Total gratuity mont 2. Then, compute her gratuity benefit (Gratuity months) (Highest salary received) 51.0106) (P26, 868.00) 1,370,562.47, ‘This oratuty benefit is payable by Ms, Revil’s last employer (DepEd). The GIS, for its part, shall reund her premium contributions personal share (ith interest) and employer share (without interest),Under RA 660 1. Comput fist her monthly pension (R) = 30,00 + [(2% M) + (1.2% PY] (A) here = Monthly pension at age 57 ‘M = umber of years aftr June 16,1951 P= Number of yeass before June 16,1951 ‘A Average monthly salary forthe as 3 years 30.00 + [(2% x 96.24820610) + (1.2% xO} (25,471.03) 530.00 = (0.72486452) (25,471.03) 30,00 + 18,463.05 Pra.493.05 ‘Then, get the actuarial factor at age 63 from the Table of Actuarial Adjustment Factors: 1.4 Henoe R= (R) (Rotaral factor) = (P 18,493.05) (1.1) 20,342.35 2. Then, compute her retirement benefit (age 63} 5-year lump sum (or 60 months) = (Monthly pension or R) (60 months) (20,342.35) (60) P4,220,541.00 Monthly pension (P20,882.35) 0 start on July 11,2019 Under RA 7699 ( ortability Law) Ms, Revila may onlyapply fr reticoment benefit under this twit 1 She Is not ented for pension benefit from the GSIS because she is unable to meet the periods of service or number of 28 sis contributions required under all th avs described above but has rendered services in the private sector and paid corresponding contributions to the Social Security System (SSS) that, when added up, will make her eligible for retirement and pension benefit; ana 2, She has less than 180 months of PPP atte time of retirement, {in computing, there should be na averapping of periods of ‘sevice or contributions under the GSIS and the SSS, any Other Social Insurance Benefits A. Survivorship Benefit In the event of your death, your surviving spouse may file for basic Survivorship pension (BSP), vic is equivalent to 0% of the BMP thet you are ened to. The maximum BSP should not exceed Step 8 of the ‘current salary ofan undersecretary under the Salary Standardization Law, Payment of BSP to your spouse shall be discontinued in case he of she remarries, cohabis, or engages in a common-law relationship, Your surviving children below 18 years od shal aso be entitled to receive dependents pension (DP) equivalent to 10% of your BMP and payable ntl they reach the age of majrity (18 years ol). The grant of DP covers only ive children (counted from the youngest, without substitution, ‘Since May 2011, the 4-year prescription period for his benefit has been relaxed. The GSIS is now treating an application for funeral benefit by the member's heir or beneficiary as “constructive filing” of application ‘or survivorship benefit. B. Funeral Benefit, Funeral benef is intended to help detray the expenses Incidental to the sis 29burial and funeral ofthe deceased member, pensioner, or retiree under any ofthe fie retirement laws Your beneficiary is entited to receive funeral benefit your death occurs: 1. When you are an active member, 2. When you are already separated from the service, had more than 15, vyearsof service, and are entitle to flure pension benefit; 3 Within the 5-year guaranteed period ater you retired under RA 8291; 4. When you are already an old-age pensioner (not a survivorship, pensioner) or a disability pensioner with more than 15 years of service: 5. When you were at least 60 years old when you retired or when you opted to retire under RA 1616 (ven if A 8291 was already in eect); 16. When you retired under RA 1616 prior othe effectivity of RA 8291, and had at least 20 years of service (regardless of your age when you retired). Funeral beef, worth P20,000.00, is paid to nly one of the flowing persons according to order of priori: 1. Your legitimate spouse; 2. Your logitimate child who shouldered the funeral expenses ~ if you ‘are a member, pensioner, or gratutant; or 3. Any person who spent forthe funeral, with valid proots of expenses. For retired unformed members of PNP, BJMP and BFP, the amount of funeral benefit is ied at PY0,000.00. ‘Since this benefit has a prescription period, application should be fled within 4 years from the member’ death. nemployment Benefit You can avai ofthe unemployment benef # you ae 41, Aformer permanent government employee who has pad the required integrates contributions (employer and employee stare) for 12 months under RA 8291, and 2. Involuntary separated from the service due to abolition of your office or position, or du to reorganization, ‘The benefit i in the form of monthly Cash Payment equivalent to 503% of your AMC. The duration ofthe benefit depends on the length of your service and ranges from 2 months up to 6 months. Itis pal according to the following schedule Leg ot Serve Benet Duration 1 years than 3 years norms Sor more yeas utes an 6 yours Sent or mare ys ut ess an 8 ears nents rae yours ut less an 1 ers sont ‘Tornoe yersbutless than 15 yeas none ‘Application fr this benelit should be fled within 4 years from the time finvoluntary separation from government service. It shal be deducted ‘nom faure separation or reirement benefit. D. Disability Benefit (Nonwork-Related) Disability refers to any loss or impairment of the normal functions of physical or mental faculties, which permanently or temporarily prevents a member to continue with work or to engage in any other gainful occupation, resulting in loss of income or diminished earning capacity.‘As soon as you submit the application fr disability benefit the GSIS shall ‘etermine the nature ofyourdisbilty and the corresponding benefit based (on the duration of your incapacity to work and actual loss of income Established medical standards wil aso serve as basis nthe evaluation, ‘Actual loss of income refers to number of days when you-went an leave of absence without pay (LWOP), which fs reckoned immediatly frm the date of your disability and the period of entitlement based on medical valuation. Your disability shall nt be compensable it 1. tis a resuit of or due to your grave misconduct; participation in rts {103s and inexcusable negligence; influence of drugs or alcohol, or wilful intention to injure or kil ourself or another, or 2. You incurred your LWOP ater the duration of entitlement to the benefit. Itis also important to note that any applicable disability benefit shall be suspended under any of the fllaving conditions: 41. You were reemployed; 2. You recovered from your disability, as determined by the GSIS, whose ecison shal be final and binding; 3. You fled to present yourself for medical examination when required by GSIS; or 4. You are receiving other pension einer from GSIS or another local or foreign Institution, There are basically three types of disability benef: permanent total permanent partial and temporary toa Since this beneft has a prescription period under RA 8291, application ‘Should be iled within 4 years from the date of disability. 92 os Re Permanent total aisabilty (PTD) i an injury or disease that results any ofthe following 1. Compete loss of sight of both eyes: Loss of2 limbs a o above the ankle or wrist; Permanent complete paralysis of 2 limbs; Brain injury resulting in incurable imbecity, insanity, or other inreversbie conditions; or 5. Other cases as may be determined by the GSI. PTD benefit may be granted if your salty causad complet, irversibe and ifelong incapacty that permanent hinders yout work orto engage in any gainful occupation esuting in loss of income. The benefits effective Condition Benefit 1a Fo at east 3 years but aot ‘mare than 15 ears pr sopaaton {00% AMCHFPP volo excesd fom me seuce Pr2on0 1 BP 1; and ae seven Ha atlas 18 yore stained upon = reronent “hn ate soon has es than 15 ears sence [fo stat inmost ‘on recent 4. Separate tom the seve tut hag ‘36 monthly contributions within the ‘S-year pried immediately preceding BNP ot torte dae of ‘he PTD, ras pid anos for daly). 15 years ans aay enor ror seprion om the servesann Permanentparta dsablty (PPD) results fromthe completeand permanent loss ofthe use of any of the following (which hinders you to work for a limited perioa of time: any finger; any toe; one arm; ane hand; one foot ‘ane leg; one or both ears; nearing of one or bath ears; ight of one eye or such athe cases as may be determines by the GSS, You are entitled to PPD benefit (inthe form of Gash Payment) if you ‘meet any ofthe folowing conditions, whether you are in or separated {rom the service: 1. You have paid 36 monthly contributions within § years immediatly preceding the PPD, or 2. You have paid at lest 180 monthly contributions. ‘The Cash Payment is computed as follows: Cash Payment = (BMP) (Number of PPO months) {as recommended by the GSIS medica evaluator) ,Tonperary Tota Disab Temporary toa disability (TTD) acorues or arises when impaied physical (or mental faculties can be rehablitated or restored to their normal functions, but such disability has resulted in temporary incapacity to work ‘orto engage in any gainful occupation You are entitle to TTD benefit (or sickness income benef -SIB) under the following conditions: 1. Youare inthe service; or 2, You were separated from the service but have rendered at least 9 years of service and have pai atleast 6 monthly contributions within 12 months immediately preceding the TTD. The SIB ranges from P165 per day to a maximum of P47S per day or 75% ofthe dally wage, whichever is lower. It is pad inte frm of daily income benef (DIB), which is computed as folows: ‘IB = (Monthly saary/22 working days) (75%) ‘The DIB is guided by te folowing conditions: 4. The duration of the disability or sickness must nt exceed 120 days. 2. In extensive, serious, or exceptional cases, the benefit may be extended up toa maximum of 240 days. E. Christmas Cash Gift and Pension increase You stall be ented to Christmas cash git equivalent to @ one-month pension (but not o exceed the maximum limit approved by the GSIS Boara of Trustees) and pension increase you 1. Araan old-age and disabity pensioner under RA 660, PO 1146, or RA 8291 2. Have been a regular pensioner for § years after you retired under Option 2 of RA 8291. (This requirement took effect on January 1, 2006); oF 3, Have been a regular pensioner for 5 years starting at age 60 after you \wore saparated from the service with 18-month lump sur. You are nor ented tothe benefit, however, if you are: 4 An old-age pensioner with less than 15 years of PPP when you reticed; oF 2. An employee compensation o survivorship pensionerFrequently Asked Questions on Dividends When does GSIS give dividends? Acconing to Section 26 of RA 828, “An annual dividend may be granted toll members ofthe GIS whose lite insurance isin fore for atleast one (1) yearin accordance with aaividend allocation formula to be determined bythe GSIS.” Dividends come from theif insurance premium contribution of members (6% personal share and 3% government share) ~ not from ther retirement premiums. Who are entitled or qualified to receive dividends? (Only members wih active policies are entitled to dividends. The folowing ae not ented to dividends: 41. Members whose plcis (LEP) matured during the year; 2. Members whose policies lapsed during the year, 3. Members whose policies wore terminated due to death, reticent, or separation trom service during the year, and 4. Members who have dtauted in their salary and consolidated loans for atleast 12 months or have unpaid premiums for at least 12 months as of the date of reckoning. Is the grant of dividends dependent on the financial performance of the fund? Yes. The grant of dividends is dependent on the financial performance of the Social Insurance Fund 36 oss NOTESGSIS_| Reforms have been implemented to serve you better. Lees FOR MEMBERS: Restored loan privilege of members from suspended agendes. 6S members ‘may ow aval oflans even ifthe agency suspended. Uberalized the terms ofthe Emergency Loan Program. Enjylower intestate and ay fst amortzaton thee months ater loan FOR STRONGER TIES GSIS Reforms: Towards service responsiveness Good news abound at the Government Service Insurance System. | FOR GREATER ACCESSIBILITY ded service delivery chant STranch and extension offices FOR GOOD GOVERNANCE Opened to public the ve THE IMPACT OF REFORMS Improved rating inthe Anti-Red Tape Report Card Survey (ARTA RCS), F ‘eral rating nthe ) Gil service Gm