Here’s your complete guide to monthly payments, deductions, and total interest — so you’ll know exactly what to expect before applying.
Many SSS members notice that their released amount is lower than the approved loan, which is completely normal. That’s because SSS automatically deducts the 1% service charge and a pro-rated interest (covering about 50 days) before releasing the funds.
Let’s break everything down for a ₱41,000 sample loan, following SSS’s official rules.
🏦 What Is an SSS Salary Loan?
The SSS Salary Loan provides affordable cash assistance to active SSS members. It’s ideal for emergencies, school expenses, or other personal needs.
Loan Options
Type
Max Loanable Amount
Loan Term
1-Year Loan
Up to 1 month of AMSC or ₱25,000
12 months
2-Year Loan
Up to 2 months of AMSC or ₱50,000
24 months
Since ₱41,000 exceeds ₱25,000, this example is a 2-year (24-month) loan.
⚙️ Official SSS Computation Rules (2025)
Rule
Description
Interest Rate
8% per annum (based on diminishing balance)
Service Charge
1% of approved amount
Pro-Rated Interest
Charged upfront (for 50 days)
Loan Term
24 months
Penalty (if late)
1% per month
Amortization Start
Usually 2 months after approval
Early Settlement
Allowed anytime without penalty
🧮 Step-by-Step ₱41,000 Salary Loan Computation
Assuming approval on March 12, 2025, SSS charges pro-rated interest for 50 days (March 12–April 30) before monthly amortizations start in May.
🧾 Step 1 – Upfront Deductions
Item
Computation
Amount (₱)
Approved Loan
—
41,000
Service Charge (1%)
41,000 × 1%
410
Pro-Rated Interest (50 days)
41,000 × 0.08 × 50 ÷ 365
450
Total Deductions
—
₱860
Net Proceeds (Take-Home)
41,000 − 860
₱40,140
✅ Cash you’ll actually receive: ₱40,140
🧾 Step 2 – Monthly Amortization
Annual interest = 8%
Monthly interest = 0.67%
Term = 24 months
➡️ Monthly Amortization = ₱1,867 ➡️ Total Payment = ₱44,808 ➡️ Total Interest ≈ ₱3,808
Automatic payroll deductions make her repayment worry-free — no need to line up at the SSS branch.
🧾 TL;DR Summary
Item
Details
Loan Amount
₱41,000
Service Charge (1%)
₱410
Pro-Rated Interest (50 days)
₱450
Total Deductions
₱860
Net Proceeds (Take-Home)
₱40,140
Monthly Amortization
₱1,867 × 24 months
Total Payment
₱44,808
Total Interest
₱3,808
Loan Term
24 months
Penalty (Late)
1% per month
Eligibility
72 contributions (6 recent)
❓ FAQs
1. How much will I actually receive from ₱41,000? You’ll receive ₱40,140 after ₱860 deductions.
2. When does repayment start? Usually 2 months after approval (e.g., approved March → pay starting May).
3. Can I pay early? Yes! Early settlement is allowed anytime without penalty.
4. What happens if I miss a payment? A 1% monthly penalty applies; SSS can deduct from your future benefits.
5. When can I renew the loan? After at least 12 months or once half of the term is paid.
🌟 Final Thoughts
The ₱41,000 SSS Salary Loan remains one of the most affordable short-term financing options in the Philippines. With only ₱1,867 monthly payments over 24 months and low 8% annual interest, it’s ideal for members who need accessible financial support.
After a small ₱860 deduction, your take-home cash is ₱40,140 — fast, automatic, and reliable.
