Legal Questions

What is the coverage of the SSS Law?

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The Social Security Law or Republic Act 1161 was enacted on June 18, 1954. Sections 8 to 10 thereof provides its coverage, to wit;

Compulsory Coverage

1. All employees not over 60 years of age and their employers.

2. Domestic helpers with monthly income of not less than P1,000.00 a month.

3. Self-employed persons as may be determined by the Social Security Commission which may include but not limited to:

a. All self-employed professionals

b. Partners and single proprietors

c. Actors and actresses, directors, scriptwriters and news correspondents who do not fall within the definition of what an employee is under the SSS Law, to wit:

Employee – Any person who performs services for an employer in which either or both mental and physical efforts are used and who receives compensation for such services, where there is an employer-employee relationship: Provided, That a self-employed professional shall be both employee and employer at the same time.

d. Professional athletes, coaches, trainers, and jockeys

e. Individual farmers and fishermen

Voluntary Coverage

1. Spouses who devote full time to managing the household and family affairs.

2. Filipinos employed abroad recruited by foreign-based employers.

3. Persons separated from employment to maintain his right to full benefits i.e resigned employee who wishes to continue paying monthly SSS dues.

4. Self-employed who realizes no income for a certain month.

Coverage by Agreement

Any foreign government, international organization, or their wholly-owned instrumentality employing workers in the Philippines may enter into an agreement with the Philippine government for the inclusion of such employees in the SSS except those already covered by their respective civil service retirement systems.

So when are these persons considered covered by SSS?

For employers, it shall be on their first day of operation. For employees, their coverage starts on their first day of employment.

For self-employed, upon their registration with SSS.

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