What Is a Pag ibig Provident Savings Program?
The Pag-IBIG provident savings program is a fast, easy and affordable way for a member to save for his future needs.
The contributions that a member makes together with the employer’s counterpart are credited to his saving called Total Accumulated Value (TAV).
- A member contributing 2% of his monthly compensation doubles his savings immediately with the addition of the employer counterpart contribution.
- Meanwhile, a member contributing 1% of his monthly compensation triples his savings as the employer counterpart remains at two percent.
Aside from being fully guaranteed by the national government, members’ contributions are deducted from the gross income prior to computation of the income tax.
Members’ savings earn annual dividends that are also tax-free. The dividend rate varies depending on the net income of the Fund at yearend.
What Are The Special Features Of This Program?
Pag-IBIG savings enjoy the following features:
- Double or triple your money benefit
- Tax-free dividend earnings
- Flexibility of savings
- Government-guaranteed
When Can A Member Withdraw His Savings?
A member may withdraw his TAV or savings after 20 years of membership with the Fund and after having made a total of 240 monthly contributions.
A member may also withdraw his savings under any of the following valid grounds:
a. Retirement
• Early retirement at age 45
• Optional retirement at age 60
• Mandatory retirement at age 65
b. Permanent departure from the country
c. Permanent or total physical disability
d. Insanity
e. Termination from service by reason of health
f. Death of the member
g. Optional withdrawal at 10 or 15 continuous years of membership
• A member who registered under RA7742 may be allowed to withdraw his TAV after 10 or 15 years of continuous membership.
• A member who registered under RA9679 may be allowed to withdraw his TAV after 15 years of continuous membership.
h. Other causes as may be provided by the Board of Trustees
Save more with Pag ibig and Qualify for Higher Amounts and Bigger Dividend Earnings
Bigger dividends means bigger savings for you. Consider the following:
|
Monthly Savings |
Savings in 20 years |
Total Savings with 4% |
|
|
Pesos |
|
Annual dividends |
|
|
200.00 |
Php 48,000.00 |
Php 73,015.85 |
|
|
300.00 |
72,000.00 |
109,523.77 |
|
|
400.00 |
96,000.00 |
146,031.70 |
|
|
500.00 |
120,000.00 |
182,539.62 |
|
|
1,000.00 |
240,000.00 |
365,079.24 |
|
|
1,500.00 |
360,000.00 |
547,618.87 |
|
|
2,000.00 |
480,000.00 |
730,158.49 |
|
| Note: | |||
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| Source:http://www.pagibigfund.gov.ph | |||