We grouped your questions by theme so they are easier to follow. As an SEC and BIR-accredited PERA administrator, here is where we can give you clear answers.
Joining PERA on your own
If my company does not set up PERA, can I still open an account on my own?
Yes. PERA is a personal account under RA 9505, completely separate from your employer. Any working Filipino with a TIN can open one and contribute directly through the ezPERA app, no employer involvement needed. You still earn the 5% tax credit on your own contributions within the annual limit.
If I enroll on my own, how does the tax benefit reach me at filing?
The administrator issues you a PERA Tax Credit Certificate for 5% of what you contributed. You give a copy to your HR, who reflects it in your year-end withholding adjustment. If you have no withholding to offset, the credit can still be used against other internal revenue tax liabilities, subject to the BIR rules.
Can someone who is not currently employed contribute?
Yes, as long as you have a TIN and the capacity to contract. Self-employed individuals and OFWs can open and fund PERA the same way an employee does.
Can company consultants or contractors contribute through payroll?
A consultant without an employer-employee relationship contributes as a self-employed individual rather than through company payroll. If they are engaged under an employer-employee setup, they can be included like any other employee. We are glad to look at your specific arrangement.
How much to contribute, minimums and limits
Is there a minimum contribution?
No. There is no required minimum per month or per year. You can start small and increase anytime.
What is the maximum?
₱200,000 per year for local employees and ₱400,000 for OFWs. This is the aggregate annual cap per contributor.
Is the ₱200,000 the combined employer and employee total, or each separately?
It is the combined annual total credited to one contributor's account, employer and employee contributions counted together. Anything above the cap does not earn PERA incentives, though it may still be treated as ordinary compensation.
Can I add funds on top of my salary deductions or bonuses?
Yes. You can fund the account directly through the ezPERA app in addition to any payroll-routed contributions, as long as you stay within the annual cap.
Setting it up as an employer, and the 150% deduction
Do we choose our own administrator, or is there an assigned bank?
You choose your accredited PERA Administrator. Zalamea is an SEC and BIR-accredited administrator, and the custodian bank that safekeeps the funds sits behind us. You coordinate with the administrator, not a government office.
Do we have to change our payroll system to do this?
No. PERA runs alongside your existing payroll. The contribution is set up as a deduction line, and we handle posting, recording, certificates, and reporting. We walk your HR and finance team through the process step by step during setup.
We have 100 employees but only 20 want to contribute. Can we still qualify for the 150%?
Yes, and this is exactly the design. For the enhanced 150% deduction you must open an account and make an employer contribution for all employees in an employer-employee relationship. For the 80 who do not contribute, a nominal employer amount, even ₱1, keeps the all-employees condition intact without forcing anyone to give up take-home pay. The 20 who contribute, you match.
Does the employer need to match the exact amount the employee puts in?
For the full 150%, your contribution to a participating employee must be at least equal to that employee's own voluntary contribution. So if an employee puts in ₱100 a month, an employer contribution of ₱100 or more qualifies. Below that, you fall back to the standard 100% deduction.
How is the contribution routed from payroll to the account? Is there a portal like SSS?
Yes. The employer approves the payroll deduction, Zalamea posts and records each contribution, and both employer and employee see it in the ezPERA app, contributions shown side by side. There is no manual filing on your end.
What does it cost to set up and run?
We will send a clear fee schedule based on your headcount and contribution design. The administration fee is what funds the account opening, KYC, contribution processing, certificates, and reporting. We would rather quote it against your actual numbers than give a figure that does not fit your situation.
Who is eligible, age and employment type
Is this only for regular employees, or also project-based and contractual?
For the 150% all-employees condition, it covers everyone in an employer-employee relationship, including probationary, part-time, and contractual. As a long-term savings vehicle it suits regular staff well, but it is not limited to them.
Is there a minimum or maximum age?
You need to be of legal age with a TIN and the capacity to contract. There is no upper age limit to open or keep contributing. The age that matters is 55, which together with at least 5 years of contributions is when withdrawals become fully tax-free.
Can I keep my account active beyond 60 or 65?
Yes. The account is yours for life. Reaching 55 with 5 years of contributions unlocks tax-free withdrawal, but you are free to keep the account and keep contributing well beyond that.
Can a retired person open a PERA account?
Yes, as long as they have a TIN and the capacity to contract.
Can employer contributions vary by employee level or tenure?
Yes. You design the contribution, whether a flat peso amount, a percentage of salary, a match, or part of a bonus, and it can differ across groups. The one rule for the 150% is that for each contributing employee your share is at least equal to theirs.
Withdrawals, resignation, and access
Can I withdraw, and what happens before age 55?
PERA is built for retirement, so the tax-free withdrawal kicks in at age 55 with at least 5 years of contributions. You can withdraw earlier, but early withdrawal is all or nothing, the full account closes, a flat 20% penalty applies to the investment income earned, and any 5% tax credits already claimed are returned to the BIR. Your principal is always returned in full. There are penalty-free exceptions for hospitalization over 30 days, permanent total disability, and death.
After meeting the 55 and 5-year rule, can I take partial withdrawals as needs arise?
The qualified withdrawal at 55 with 5 years is tax-free. The all-or-nothing rule and 20% penalty apply specifically to unqualified early withdrawals. We will walk you through how partial access works once you have met the qualifying conditions, since the mechanics depend on your fund and timing.
What happens when an employee resigns?
The account belongs to the employee, not the company. After leaving, they simply keep contributing directly through the ezPERA app, employer facilitation stops but nothing is lost. They keep full access to the app and their balance.
Can I borrow or take a loan against my PERA account?
No. PERA is not a loan facility. It is a retirement account, and the value is in leaving it to grow tax-free until you qualify to withdraw.
Investments, returns, and risk
Does PERA earn interest, and are returns guaranteed?
PERA is invested in BSP-accredited funds matched to your risk profile, so returns come from investment performance rather than a fixed interest rate. As with any market-linked investment, value can move up or down and returns are not guaranteed. There are more conservative fund options for those who want lower volatility.
Since these are pooled funds, can the value go negative, and what does that do to contributions and tax benefits?
Yes, market-linked funds can fall as well as rise. Your tax benefits, the 5% credit and the employer deductibility, attach to the contribution itself, so they are not erased by short-term market movement. The investment value fluctuates with the fund, which is why the longer horizon matters.
Are global funds available?
Fund options come from BSP-accredited product providers. We will show you the current menu, including the available diversification, when we map funds to your risk profile.
Can PERA be placed in something other than UITFs or bonds?
PERA-approved products include UITFs and other accredited instruments. We will go through the full approved menu so you can choose what fits.
How is the investment income tax-free if my money is mixed into a UITF with other funds?
The fund is pooled for investment, but each PERA contributor's units and earnings are tracked individually inside the PERA structure. The tax exemption applies to the income attributable to your PERA holdings, which the administrator and custodian account for separately.
Which is better, a DC or DB retirement plan bundled with PERA?
They serve different purposes and often work best together. A company DB or DC plan covers the mandated and structured retirement benefit, while PERA layers a portable, tax-advantaged personal account on top. We would be glad to model the combination against your existing plan.
Tax treatment and special cases
Is the contribution deducted before or after tax?
When structured correctly, a qualified employer PERA contribution is exempt from withholding tax on compensation under the CMEPA guidelines in RR 22-2025, so it is not taxed as the employee's income. The investment income inside the account is also tax-free during accumulation.
If my annual income is below ₱250,000 and I already have zero tax due, is the only benefit the investment earning?
For someone with no tax liability to offset, the 5% credit has nothing to reduce in that year, so the immediate gains are the tax-free growth and the disciplined long-term savings. The credit certificate is also valid for up to 5 years, so it need not be used in the same year it was earned.
If an employee contributes independently, do they still get the tax benefit on a bonus?
The employee still earns the 5% credit on their own contributions within the cap. The employer-side benefits, the tax-free treatment of an employer contribution and the 150% deduction, require the employer to route and match it. So the bonus-into-PERA advantage is fullest when designed together with the company.
Our cooperative or company is tax-exempt on its income. Is the deductibility still useful to us?
This is the one item we are still confirming. Whether an entity that is already tax-exempt, or one under the 5% Special Corporate Income Tax regime, can use the additional 50% deduction is not yet settled in the current regulations. We are seeking a direct ruling from the BIR and will update once we have it. The employee-side benefits still apply regardless.
Tax benefits are subject to applicable BIR regulations and individual eligibility. Contributors and employers are encouraged to consult a qualified tax professional for advice specific to their circumstances.
The app, accounts, and getting the materials
Can I have one PERA account or several?
A contributor holds a single PERA account, which can contain sub-accounts across products. It is not multiple separate account numbers. If you already have a PERA elsewhere, we will sort out the consolidation as part of onboarding.
What document proves each remittance to the fund?
Every contribution is posted and recorded, visible in the ezPERA app with the employer and employee sides shown together, and the administrator issues the supporting certificates. You get full transparency on how and when money moves.
Can you present this to our management team, or run an on-site or online session?
Yes, gladly. We do tailored briefings for HR, finance, and management, online or on-site, built around your headcount and plan design. Reach us at marketing@zalamea.ph or pera@zalamea.ph and we will set it up.
