Legal Framework

The payment of permanent partial disability (PPD) benefits by the Social Security System (SSS) is governed primarily by Republic Act No. 11199 (Social Security Act of 2018) and its Implementing Rules and Regulations (SSS Circulars and Resolutions issued by the Social Security Commission). These replaced the old RA 8282 provisions and remain the controlling law as of December 2025.

Under RA 11199, permanent partial disability is treated differently from permanent total disability in terms of duration but uses the same monthly pension amount formula.

Definition of Permanent Partial Disability

Permanent partial disability refers to a continuing disability that results in the loss or impairment of a specific body part or function but does not completely prevent the member from engaging in any gainful occupation for life. It is assessed according to the Schedule of Loss of Functions/Disabilities prescribed by the Social Security Commission (Annex “A” of the IRR and updated SSC resolutions).

Examples from the current schedule include:

Complete loss of sight of one eye — 40 months
Loss of one hand or amputation at wrist — 39 months
Loss of one arm (above elbow) — 50 months
Loss of one foot — 31 months
Loss of one leg (above knee) — 46 months
Complete deafness of both ears — 50 months
Loss of one thumb (including metacarpal) — 22 months
Loss of one index finger — 17 months
Loss of hearing in one ear — 10 months
Loss of all toes of one foot — 18 months

The number of months assigned determines the duration and form of payment.

Eligibility Requirements for PPD Pension

To qualify for any disability benefit (including PPD), the member must:

Have been assessed and approved by an SSS physician or the Medical Operations Department as suffering permanent partial disability.
Have paid at least one (1) monthly contribution prior to the semester of contingency (for lump sum eligibility).
Have paid at least thirty-six (36) monthly contributions prior to the semester of contingency to qualify for the monthly pension form (otherwise, only lump sum is granted even if the schedule indicates 12 months or more).

Form and Duration of PPD Benefits

The benefit takes two forms depending on the number of months indicated in the schedule:

If the prescribed period is eleven (11) months or less → lump sum benefit only.
If the prescribed period is twelve (12) months or more → monthly pension paid only for the exact number of months indicated in the schedule (not lifetime).

Important: Even if the member has more than 36 contributions, if the schedule assigns less than 12 months, the benefit is automatically converted to lump sum.

Computation of the Monthly Pension Amount (Used for Both Lump Sum and Monthly Pension)

The monthly pension amount for PPD is exactly the same as that computed for permanent total disability or retirement.

Formula under Section 10 of RA 11199 (highest of the three):

P300 + 20% of Average Monthly Salary Credit (AMSC) + 2% of AMSC for each Credited Year of Service (CYS) in excess of 10 years; or
40% of the AMSC; or
Minimum guaranteed pension:
- P1,000 — if member has less than 10 CYS
- P1,200 — if member has at least 10 but less than 20 CYS
- P2,400 — if member has 20 or more CYS

Additional benefits added to the basic monthly pension:

10% of the monthly pension for each legitimate/legitimated/adopted child conceived on or before the date of disability, maximum of five (5) children, commencing from the youngest without substitution (dependent children must be below 21 years old, unmarried, and unemployed).
The P500 supplementary allowance that existed under the old law has been effectively integrated into the higher minimum pensions under RA 11199, although existing pensioners as of 2019 continue to receive separate increases granted by the SSC.

For lump sum PPD (period <12 data-preserve-html-node="true" months): Lump sum = Monthly pension computed above × Number of months in the schedule

Commencement of Benefit Payments (Initial Benefits)

Effective date of pension:
- The disability pension is payable from the date of onset of permanent partial disability as certified by the SSS physician, but not earlier than the first day of the month following the semester of contingency.
Retroactive/initial payment:
- Upon approval of the claim, the SSS pays all accrued pensions from the effective date up to the month preceding the date of approval in one lump sum (retroactive payment or “initial benefit”).
- Starting from the month of approval or the following month, regular monthly pensions are credited to the pensioner’s UMID-ATM account or designated bank account under the SSS Pensioner’s Remittance thru Bank Program.
First monthly pension credit:
- Usually credited within 5–15 banking days after claim approval and completion of bank enrollment.
- If the pensioner has no UMID-ATM or enrolled bank account at the time of approval, the initial retroactive amount is released via check mailed to the address on record, and the pensioner is required to enroll in direct bank deposit for succeeding payments.
13th-month pension:
- Paid every December together with the regular December pension. The initial 13th-month pension is pro-rated if the pension started mid-year (e.g., if pension started in July, only half of the 13th-month pension is paid in December of that year).

Mode of Payment for Initial and Succeeding Benefits

100% of SSS pensioners (including disability) are now required to receive payments through bank accounts (PESONet-participating banks or rural banks via Instapay).
No more over-the-counter or check payments except in very rare cases approved by the SSC.
Pensioners abroad may receive payments through Philippine banks or authorized representative with Special Power of Attorney.

Conversion and Adjustment Provisions Relevant to Initial Payment

If within five (5) years from the start of the PPD monthly pension the condition worsens into permanent total disability arising from the same illness/injury, the pension is automatically converted to lifetime PTD pension, with retroactive adjustment from the date of worsening.
Any overpayment discovered during initial processing (e.g., due to overlapping EC disability benefits) is deducted from the initial retroactive lump sum.

Conclusion

The SSS pays initial PPD benefits by first computing the same monthly pension amount used for retirement/PTD, then either paying a lump sum (if <12 data-preserve-html-node="true" months duration) or granting a retroactive lump sum for accrued months plus regular monthly credits thereafter (if ≥12 months duration). The entire process is designed to ensure that the disabled member receives compensation starting from the actual onset of permanent partial disability, with the initial payment covering all back pensions in one release upon approval.

Members are strongly advised to file their disability claim as soon as the disability becomes permanent to maximize retroactive payments and avoid prescription issues.