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Section 11. Amount of Contribution

Monthly Compensation (MC) Rate of Contribution

Member Government Agency

If MC is equal to or less than the prevailing

Average   Monthly   Compensation    (AMC)

during a particular period

 

9%

 

 

12%

If  MC  is  greater  than  the  prevailing  AMC

during a particular period:• Up to the maximum AMC limit

• Amount in excess of the AMC limit

 

9% 2%

11.1 For Regular Members

11.2 For Special Members

The Special Member shall pay the required life insurance premiums of 3% of the fixed monthly compensation for both employees’ and government agency’s share.

Section 12 Budgetary Appropriations to Cover Government Agencies’ Contributions

The government agency shall ensure that the necessary amounts for contributions forgovernment share shall be included in their respective annual budgets (or budgetary allocations), including all amounts due the GSIS.

Section 13 Collection of Contributions

13.1. It shall be compulsory upon the government agency to deduct from the fixed monthly compensation the personal share of the members and to promptly remit the same to GSIS.

13.2. It is prohibited for a government agency to delay the remittance to GSIS of the premium contributions deducted from the compensation of the members and use it for other purposes.

Section 14 Remittance of Contributions14.1 Each government agency shall remit directly to the GSIS the employees’ and government agency’s contributions within the first Ten (10) days of the calendar month following the month to which the contributions apply. The remittance by the government agency of the contributions to the GSIS shall take priority over and above the payment of any and all obligations, except salaries and wages of its employees.

14.2 The government agency shall also deduct from the fixed monthly compensation of the employee the loan amortizations (consolidated loans, policy loan, emergency loan, housing loan, and other loans), premium payments (optional, pre-need and other non-life insurance) and other amounts due the GSIS.

14.3 The said amounts shall be remitted to the GSIS within the first Ten (10) days of the calendar month following the month when the deductions were effected, accompanied by supporting lists in the form prescribed by the GSIS.

14.4 The member has the corresponding responsibility to ensure that the required premium contributions and other amounts due the GSIS that were deducted from his compensation are promptly remitted to GSIS.

Section 15 Interest on Delayed Remittance

The government agency shall be imposed interest for every month of delay, or a portion thereof, in the remittance of the monthly premium contributions and other amounts due the GSIS, at the rate of 2% per month simple interest. Such interest will begin to accrue at the end of the month following the due month.

Section 16 Effects of Non-Remittance of Contributions and Other Amounts on the Eligibility to Benefits of Members

16.1 All loan privileges of all the members of the affected agencies will be suspended and they shall be disqualified to receive the yearly dividends.

16.2 Any unremitted premium contributions and loan amortizations and other amounts due the GSIS shall be deducted from the proceeds of the loans and claims that will be due the member.

Section 17 Reports on the Status of Members

The government agency shall report changes in the member’s information, if any, every month as they take place, in the forms or formats prescribed by the GSIS.