2018 TOP 5 Best Pension Plans

Even if there is no specific age for retirement, the common age for people to retire would be around 60 years or a little older. As we get older, it gets harder and harder to work, get up early in the morning and endure heavy traffic going to the office or workplace. This is why having a retirement plan is beneficial so that a person can retire earlier than 60 years old, or at least choose the age when they will retire.

What is a pension plan?

A pension plan is designed to help people save for their retirement while they will still have the capacity to set money aside at an earlier stage of their lives. Setting aside money from their salaries will enable them to save for their retirement and live a comfortable life in the future.

Pension plans can be claimed in the future as a monthly pension or as a lump sum cash benefit given at one single time. No matter 

What are the best pension plans in the Philippines?

SSS

If you work in the private sector, you will most likely have coverage with the Philippine Social Security System or SSS. The company you worked for will most likely have made payments to SSS, there is usually an employer contribution and a small deduction from your salary as the employee contribution that will be made as a premium payment to SSS that is geared toward your pension. The amount for the payments will be determined by how much salary you make.

GSIS

GSIS is the government counterpart of SSS. If you work in a government office or institution, you will have coverage from GSIS. The principle is generally the same. After you finish working, you will be able to receive a pension from GSIS because of all the contributions you had made over the years you had been working.

Private pension plans

Many private insurance companies offer pension plans in addition to the other insurance products they offer. Companies like Manila Bankers Life Insurance Corporation, PhilAm Life, Sunlife, and other insurance companies offer pension plans that can be either availed of alone or added on to life insurance plans for their policyholders. Even if a worker will have a pension coming from SSS or GSIS, it is still a good idea to have another private pension plan to increase the money that they will receive once they retire.

Savings

Another product that can be used to accumulate a pension would be a savings account. Opening a savings account in the bank can ensure that you will be able to have money set aside for when you will be older.

Investment

Having an investment will not only bring income to a person and their family while they are working, but it can also continue until they will be older. This form of passive income can also help add to the monthly spendable money of a person once they will stop working in the future.

Sign up for a pension plan today!

There are many ways on which you can save for your retirement, the most affordable being in the form of a pension plan. Adding to the amount that you will receive from SSS or GSIS is a good way to make sure that you will not have to ask for money from your younger family members and be able to continue to live life independently even when you will no longer be relying on a salary every 15 days. Make sure that you will be able to live comfortably when you will decide to stop working in the future.