How to Cash Out Your PAG-IBIG Contributions?

Are you eager to spend the money you’ve saved so hard for in your PAG-IBIG Fund? Whether you want to use this cash for a major life event or simply watch your hard work pay off, you’ve made it to the correct place. We’ll walk you through the simple, step-by-step procedure to cash out your PAG-IBIG contributions in this article. We’ll guide you through every step, from comprehending the specifications to submitting your request, to ensure a seamless experience.

When and Why, You Can Withdraw Your Contributions

When is it Possible to Withdraw?

After Completing 180 to 240 Contributions – You can take out your funds once you have completed 180 to 240 contributions. This holds whether or not you have a job right now.  Also, Pag-IBIG member for 15 years.

Retirement – You can begin taking out your PAG-IBIG contributions as soon as you turn 60 to 65 and have been a member for at least 20 years.

After Death – Your beneficiaries will be able to claim your contributions in the sad event that you die away, giving your loved ones much-needed help.

Withdrawal from Service for Health-Related Conditions – If your health requires you to quit, you can use your contributions to help you manage your money while you heal.

Permanent Departure from the Philippines – You can take your PAG-IBIG contributions out and use or transfer them as needed if you’re leaving the nation permanently.

Why You Can Withdraw Your Contributions?

Retirement Preparation – Make sure you have a substantial financial buffer for when you retire so you can enjoy this new stage of life without worrying about money.

Support During Disability – If you are completely disabled for the rest of your life, provide stability and pay for your essentials.

Help Your Family – In the unfortunate circumstance of your death, make sure your loved ones have been taken care of by providing financial support.

Improve Your House – You can put your savings toward home renovations or toward paying off your mortgage.

Take Advantage of Investment Opportunities – Use your money as leverage to make investments that will increase your wealth.

Pay for Emergencies – When required, withdraw funds from savings to reduce anxiety brought on by unforeseen financial obligations

Handle Money While You Recover – If you have to quit work for medical reasons, you can use your PAG-IBIG contributions to assist you manage your money while you rehabilitate.

Promote Financial Adjustment Abroad – Withdrawing your PAG-IBIG contributions enables you to use or shift the money as needed, facilitating a seamless transition to your new location if you’re leaving the Philippines completely.

Eligibility Requirements

To be eligible to withdraw your PAG-IBIG contributions, you must fulfill the following requirements:

Contribution Range – You have to have made 180–240 contributions total. This holds regardless of your employment status.

Duration of Membership – Before organizing the withdrawal, you must have been a PAG-IBIG member for at least 15 years.

No Outstanding Loans – When completing your Provident Benefits Claim, make sure you have no remaining loans with PAG-IBIG.

Continuous Contributions – To be eligible for several types of cashouts, you must have made at least 180 successive monthly contributions.

Document Requirements

Standard Prerequisites

  • Original copy of the Application for Provident Benefits (APB) Claim (HQP-PFF-285) – This is the main form that must be completed and delivered to commence your claim.
  • A photocopy of the Pag-IBIG Loyalty Card Plus or a valid ID is required to confirm the claimant’s identity.
  • Members without a Transaction Card are required to show at least two valid IDs in addition to their Pag-IBIG Transaction Card.
  • For government workers, employment history verification requires a service record.
  • For members of the AFP – To verify military service, a Statement of Service must be submitted.
  • PSA/NSO Birth Certificate for Member – This record is needed to confirm the member’s details.

Additional Requirements

Extra Prerequisites:

Regarding Death Claims:

  • Member’s Death Certificate – To process the claim, documentation of the member’s passing is needed.
  • Proof of Surviving Legal Heir(s) – Records proving the rightful heir(s) to the benefits.
  • All legally recognized children’s birth certificates or baptismal certificates are used to verify the identity of the member’s offspring.
  • Marriage Contract (for Married Members) – Needed to verify the member’s marital status.
    The Certificate of No Marriage for Single Members is known as CENOMAR (for Single Members).
  • The claimant’s or beneficiaries’ birth certificate is used to confirm the identity of those making benefit claims.

Regarding Retirement Claims:

  • A Certificate of Early Retirement (for Private Employees) is proof of early retirement.
  • GSIS retirement voucher – Government personnel must present their GSIS retirement voucher to confirm their retirement.
  • Order of Retirement – For members of the Armed Forces of the Philippines, the Order of Retirement is a formal document attesting to their retirement.

For Medical Purposes:

  • A doctor’s certificate – necessary if you’re seeking benefits because of medical problems.

For Exiting the Nation Permanently:

  • A copy of your passport bearing an immigrant, residence, or settlement visa, or the equivalent, proving your plans to leave the nation permanently.
  • A formal declaration of intent to live overseas permanently, notarized and sworn, that is filed with the government of the Philippines.

FAQs

How much time does it take to be withdrawn?

Withdrawals might take a variety of times to process; normally, it takes two to three weeks if all requirements are met.

What occurs if I don’t take my contributions out right away after I’m qualified?

Your money will stay in your account and keep growing in value through dividends.

Do I have to pay taxes on the contributions that I withdrew?

No, there is often no tax on the withdrawn donations.

When I withdraw, how are my contributions calculated?

Dividends earned and the total amount contributed are used to calculate contributions. Check out this contribution calculator.

If I have made fewer than 240 contributions, is it possible for me to take them back?

Yes, but only in certain circumstances, such as a long-term handicap or serious medical problems.