Choose Between PAG-IBIG MP2 or SSS PESO Fund for Your Savings

Over the years, people are given more available options for savings, which is a good thing. This is because it allows people, regardless of what income bracket they belong to, to save and help them for their future.

If you are an Overseas Filipino Worker, you are not excused. There are tons of saving options available to you to ensure that you have something to hold on in case your contract overseas ended. 

In separate posts, we discussed about OFW membership in government agencies like PAG-IBIG and SSS. Aside from the benefits you can get from respective government agencies, did you know that they also have savings facility that you can try? 

Here is a closer look between PAG-IBIG MP2 and SSS PESO Fund and find out which savings facility is best for you. 

Common Features:

  • Open to all regular SSS and PAG-IBIG members, including OFWs
  • Tax-free
  • Savings is guaranteed by the government, which means you don’t have to worry about losing your money 
  • Optional savings program offered to all members with up-to-date contributions
  • Higher interest rates compared to banks
  • Monthly payments not required

Nonetheless, there are several differences between the two programs, which you will learn more about in the succeeding sections. 

Eligibility Requirements:


  • No age limit
  • All PAG-IBIG members, including OFWs, regardless of amount of monthly income
  • Open to retirees and pensioners as long as at least 24 monthly contributions were made before retirement

SSS Peso Fund 

  • Open to SSS members must be 55 years of age and below
  • Paid at least six monthly contributions within the last 12 months prior to enrollment
  • For OFWs, SSS payment must be maximum contribution
  • No claim filed under SSS programs such as total disability benefits 

Amount of Investment:


  • Minimum investment of P500
  • Has no maximum savings amount


  • Minimum investment of P1,000
  • Savings and earnings under this facility go to three accounts: retirement / total disability (65 percent), medical (25 percent), and general purpose (10 percent)
  • Maximum savings amount of P100,000 every year

Interest Rate:

When it comes to interest rate, PAG-IBIG MP2 takes the spot. In fact, investment grows faster in MP2 than SSS’ PESO Fund. 

Dividend rate rose from 4.58 percent in 2010 to 8.11 percent in 2017, which means savings is almost doubled. Depending on the market trend, there is a possibility that the dividend rate will go higher. 

On the other hand, SSS PESO Fund’s dividend rate is between 1.85 to 3.75 percent, which is based on T-bill and Treasury Bond rates. The rate may be lower compared to PAG-IBIG MP2, but this rate is still higher compared to what banks offer in their savings and time deposit accounts, thereby allowing you to earn more when you opt for this facility.

Policy on Withdrawal: 


Aside from the savings itself, this facility gives out dividends, which you can claim after five years. 

In case of emergency such as health reasons, disability, or insanity, early withdrawal may be allowed. In case of death of the member before the five-year maturity period, beneficiaries could claim the savings. 

What if you want to reinvest the money? That’s fine. After five years, you can register for a new MP2 account and keep on saving for another five years. You might be surprised with how much your money will grow over the years. 


Just like the MP2 savings facility, you can claim your savings after five years. Here’s the catch: you can only claim up to 35 percent of your savings, which is the medical and general purpose funds. The remaining 65 percent may only be withdrawn when either you reach the age of 60 OR you file for retirement or total disability with SSS. 

In case you withdraw before the fifth year, then SSS will charge a penalty fee. 

That being said, what is the better savings program? 

Both are good, but if you will be wiser with your money, then it is best to go for the PAG-IBIG MP2 savings facility. It is easier, more convenient, flexible, and allows you to grow your money. What more could you ask for? 

9 Replies to “Choose Between PAG-IBIG MP2 or SSS PESO Fund for Your Savings”

  1. Good day po Madam,
    I will finish my 5 year MP2 savings with 500 monthly payment in 2019 and i want to renew for another 5 years with 1,000 monthly payments, is there any requirements for renewal ma’am? Right now i am here in Saudi Arabia.
    Thank you and God bless!

    1. Hello! Please course any inquiries regarding this with PAG-IBIG since we are not affiliated with them. We are merely posting this for information purposes. Thanks!

  2. Good day po, pwede ba Yun peso fund gawin pension at halimbawa maghulog ako itong buwan 1k SA sumunod na buwan Kung may extra ako Pera gawin ko 2k thanks po.

  3. This a big help regarding Retirement funds. We may want PAGIBIG MP2 plans because it may help us grow our money better.

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