Why not being poor does not mean being safe in the Philippines

In the Philippines, having a roof over one’s head does not always mean having enough to make ends meet. 

For many older citizens, while they are not officially classified as poor, they are still subjected to economic vulnerabilities. This suggests that poverty-based targeting is inadequate in identifying seniors who could benefit from social protection programs such as cash transfers, health insurance, and old-age pension. 

We like to think of seniors as individuals who have their lives together. However, in contrast, the retirement system for many elderly Filipinos is neither the Social Security System (SSS) nor a reliable pension program — it is the hope that their child or a relative who is working abroad keeps sending money home. Until they can’t. Seniors, therefore, remain vulnerable because unlike pensions, remittances have no legal protection, guarantee, or continuity.

Poverty vs vulnerability 

A study on household vulnerability to income poverty found that while only 7.8% of senior citizens were classified as poor in 2023, 24% were vulnerable to poverty in the future. That means that while only 8 out of 100 Filipino seniors are considered poor, 1 out of 4 of them are just one emergency, one job loss, or one disaster away from poverty. 

The Philippine Institute for Development Studies (PIDS) Supervising Research Specialist Deanne Lorraine Cabalfin, said that poverty statistics are not enough to identify older persons facing serious economic risks. For her, it is a system that leaves economically vulnerable people out of government assistance. 

Poverty, put simply, is a state of insufficient income or resources to meet basic needs. There are many factors affecting poverty, such as income, education, employment, and access to services. This can lead to further challenges in health, education, and socioeconomic standing. 

On the other hand, vulnerability refers to the risk of future poverty. Vulnerability matters because it sheds light on the specific struggles that hinder efforts to reduce poverty.

Have we then successfully targeted not only the poor, but also those who are non-poor yet vulnerable to poverty? The numbers say otherwise. 

Where do seniors get their income? 

In 2020, the latest National Migration Survey (NMS) found that 12% of Filipino households, particularly among high-income earners, are supported by remittances from overseas Filipino workers (OFWs). Senior citizens aged 60 and over were among the top recipients of remittances. If that’s the case, how can the other 88% or the low-income earners get financial support? Surely, not everyone has relatives abroad who may provide for them.

In many cases, retirement benefits play a huge role. According to an Asian Development Bank (ADB) study, pensions make up 20.5% of the income for older households. However, due to delays, pensions often feel like a broken reed. A 2023 audit of the Department of Social Welfare and Development (DSWD) found that, in the Zamboanga Peninsula, P5.53 billion worth of stipends arrived six months late. This is proof of bureaucratic failure, leaving seniors without the support they depend on. 

On the other hand, the Philippine House of Representatives in 2024 approved House Bill (HB) 10985, known as the “Employment Opportunities for Senior Citizens and Private Entities Incentives Act”. This law allows seniors aged 60 and above to remain employed or get rehired even after reaching retirement age. This way, they are not forced to rely solely on pensions. 

Who may receive a monthly social pension? 

Currently, only indigent or extremely impoverished and ‘“frail and sickly” senior citizens are eligible for a PHP 1,000 monthly social pension. Older Filipinos with pensions from the Social Security System (SSS) or the Government Service Insurance System (GSIS), and those with a regular source of income or financial support from family or relatives, are automatically disqualified. 

In addition, around 80% of older Filipinos receive no formal pensions from the SSS or GSIS. This is why many of them have no protection against unexpected increases in inflation or medical challenges. 

While many are not “indigent” on paper, this does not mean that they are exempt from financial vulnerability. Their immediate disqualification disregards the risk of poverty.  

HB 10423 seeks to change the scene. If enacted into law, non-indigent senior citizens shall receive a monthly stipend of PHP500. In the same way, the bill stipulates that all senior citizens—indigent or non-indigent—are entitled to a universal social pension equivalent to PHP1,000, regardless of whether they are receiving SSS or GSIS pensions. 

PIDS has also stated that many Filipinos face early depletion of retirement funds due to limited financial literacy, poor saving habits, and the absence of structured pension or annuity plans. This leaves many older citizens vulnerable to poverty and reliant on other, rather unreliable resources. 

Where we should focus

Recently left out of President Ferdinand “Bongbong” Marcos Jr.’s State of the Nation Address (SONA) 2026, issues regarding the standing of senior citizens in the Philippines remain in the shadows.  

Older Filipinos served as our country’s pillars. Those who served as the foundation of a nation cannot be left out of its future, because a system that fails its most vulnerable is a vulnerable system.