Last updated: November 12, 2026
An SSS salary loan lets an employed member borrow either one or two months of their average salary credit, repaid in 24 equal monthly amortizations with interest on the diminishing balance. This guide follows the current rules published by SSS under Circular 2025-004: who qualifies, how the loanable amount is computed, the interest and fees, and what happens to the loan when you resign. The calculator below estimates your loan, net proceeds and monthly payment.
- A one-month loan needs 36 posted contributions and a two-month loan needs 72, with at least 6 posted in the 12 months before you apply.
- The loan is the average of your 12 latest posted monthly salary credits, rounded up to the next credit, for one month, or twice that for two months.
- Interest is 8% a year on the diminishing balance for first loans and normal renewals. It is 10% if you renewed with a penalty condonation in the past five years.
- SSS deducts a 1% service fee and the prorated interest up front, so the money you receive is less than the loan amount.
- The term is 24 monthly payments. Employers deduct them from payroll, and any balance is taken from final pay when you leave.
SSS Salary Loan Calculator (2026)
Enter your average monthly salary credit from your last 12 posted contributions. The tool estimates the loan, the deductions at release and the monthly amortization.
Who Can Apply for an SSS Salary Loan?
| Requirement | One-month loan | Two-month loan |
|---|---|---|
| Posted monthly contributions | 36 | 72 |
| Posted contributions in the 12 months before the filing month | At least 6 | At least 6 |
Self-employed, voluntary and land-based OFW members need at least 6 posted contributions under their current coverage type before the application month. In addition, SSS requires all of the following:
- Age 65 or below at the time of application.
- No past-due salary loan or other short-term or long-term member loan.
- No final SSS benefit already granted, unless it was cancelled.
- Updated contact information in your My.SSS account.
- An active disbursement account enrolled through the DAEM facility, either a My.SSS Card, a UMID ATM Pay Card or a bank account.
- For employed members, an employer that is up to date on contributions and loan remittances.
How the Loanable Amount Is Computed
- One-month loan: the average of your 12 latest posted regular monthly salary credits, rounded up to the next salary credit, or the amount you apply for, whichever is lower.
- Two-month loan: twice that average, or the amount you apply for, whichever is lower.
The maximum monthly salary credit is ₱35,000 in 2026, so the practical ceiling for a two-month loan is ₱70,000. SSS does not state a fixed peso cap on its loan page, only the formula, so your limit follows your own contribution history. See the SSS contribution table 2026 to find your salary credit.
Interest, Service Fee and Penalties
| Item | Rate or rule |
|---|---|
| Interest, first loan or renewal without condonation in the past 5 years | 8% per year on the diminishing principal |
| Interest, renewal with penalty condonation within the past 5 years | 10% per year on the diminishing principal |
| Service fee | 1% of the loan amount, deducted from the proceeds |
| Prorated interest | From the grant date to the end of the month before the first payment, deducted up front |
| Late payment penalty | 1% per month, computed daily |
| Unpaid balance after the term | 10% per year interest plus 1% monthly penalty until fully paid |
SSS can adjust the rates to market conditions, and any change applies only to new or renewed loans after the adjustment date. Some older online guides still quote a 10% rate or a ₱24,000 cap. The SSS loan page now shows 8% for first loans and a formula-based limit.
How Repayment Works
- Term: 24 equal monthly amortizations.
- First payment: starts the second month after the month the loan is approved.
- Due date: the last day of the following month. When it falls on a weekend or holiday, the next working day.
- Order of payment: penalty first, then interest, then principal.
- Early payoff: allowed, but you cannot cancel an approved loan.
What Happens to the Loan When You Resign (For Employers and Employees)
For employed members the employer deducts each amortization from payroll and remits it to SSS. When the employee separates, the employer must deduct the full remaining balance from the final pay or other benefits and report any shortfall to SSS through the Loan Collection List. SSS can also offset unpaid balances against future SSS benefits, such as a retirement or maternity claim. Employers should check the loan balance when computing final pay, and employees should expect a smaller final payment if a balance remains.
Renewing an SSS Salary Loan
- Standard renewal: 6 months after approval, if the loan is not past due and the last 3 amortizations were paid on time.
- Fully paid loan: can be renewed right away if the last 3 payments were on time. Otherwise, renewal opens 3 months after full payment.
- Net proceeds: any outstanding balance of the old loan is deducted from the new one, and the net must be at least ₱2,000.
Worked Example
Ana has an average salary credit of ₱20,000 and 84 posted contributions with 12 in the last year, so she qualifies for a two-month loan of ₱40,000. The service fee is ₱400 and about 45 days of prorated interest is roughly ₱395, so she receives about ₱39,205. Her monthly amortization at 8% over 24 months is about ₱1,809, and she pays about ₱3,418 in total interest.
Common Mistakes
- Expecting the full loan amount. The fee and prorated interest come out first.
- Using an old guide with a 10% rate. First loans are 8% under the current SSS rules.
- Applying with an unenrolled disbursement account. DAEM enrollment is required.
- Forgetting that a resignation triggers payoff from the final pay.
- Missing payments. Unpaid amounts above six amortizations make the whole balance due.
Frequently Asked Questions
A one-month loan is the average of your 12 latest posted monthly salary credits, rounded up to the next credit. A two-month loan is twice that. With the 2026 maximum salary credit of ₱35,000, the practical ceiling for a two-month loan is ₱70,000.
36 posted monthly contributions for a one-month loan and 72 for a two-month loan, with at least 6 posted in the 12 months before the month you apply.
8% per year on the diminishing principal for first loans and normal renewals. It is 10% per year if you renew with a penalty condonation availed in the past five years. SSS may adjust rates to market conditions.
24 equal monthly amortizations, starting the second month after the month the loan is approved.
Yes. A 1% service fee is deducted from the proceeds, and the prorated interest from the grant date to the month before the first payment is also deducted up front.
Your employer deducts the remaining balance from your final pay or other benefits and reports any shortfall to SSS. SSS can also offset unpaid balances against future SSS benefits.
Six months after approval if the loan is not past due and the last 3 payments were on time. A fully paid loan can be renewed immediately if the last 3 payments were on time, otherwise 3 months after full payment.
SSS requires minimum net proceeds of ₱2,000 for a salary loan after deductions, and ₱100 for kasambahay members.
