The benefits and privileges of senior citizens in the Philippines

What are the Filipino senior citizens' benefits granted under existing laws and regulations.

Republic Act (RA) 9994, also known as the Expanded Senior Citizens Act of 2010, grants Filipinos ages 60 years and above the following benefits and privileges:

Entitlement to priority in queues: The law requires the creation of express lanes in establishments, or for senior citizens to be given priority in queues to prevent them from waiting for extended periods.

Twenty-percent discount on the following goods or services:

1. Medicines and vaccines including those for influenza and pneumococcal diseases, and other essential medical supplies.

2. Professional fees of physicians, whether in hospitals, clinics or home health care services, including those of other licensed professional health workers providing health care services as endorsed by private hospitals or employed through home health care employment agencies.

3. Medical and dental services, including diagnostics and laboratory tests, whether such services are rendered in private hospitals, medical facilities, outpatient clinics and home health services.

4. Transportation such as fares on public land transportation, including buses, jeepneys, taxis, public rail services, as well as to air and sea travel within the Philippines.

5. Accommodation and recreational services when staying in hotels, dining in restaurants, or using recreational facilities like cinemas, theaters and concert halls. In some municipalities, senior citizens are entitled to free entrance fees to theaters and parking areas.

6. Funeral and burial services for the death of the senior citizen, which covers the purchase of casket or urn, embalming, hospital morgue, transport of the body to intended burial site in the place of origin but shall exclude obituary publication and the cost of the memorial lot.

The VAT exemption on the foregoing sale of goods and services to senior citizens has also been codified in the National Internal Revenue Code (Tax Code), pursuant to RA 19063, the Tax Reform for Acceleration and Inclusion or the Train Act.

RA 9994 also grants senior citizens a 5-percent discount on utility bills, for consumption that does not exceed 10 kilowatt-hour for electricity and 30 cubic meters for water. The utility accounts must be under the senior citizen's name.

Other benefits

Other benefits include:

(a) exemptions from training fees for socioeconomic programs,

(b) free medical and dental services in all government hospitals and clinics, including diagnostics and laboratory tests,

(c) free vaccinations against the influenza virus and pneumococcal disease for indigent senior citizens,

(d) a monthly stipend in the amount of P1,000 and (e) death benefit assistance of at least P2,000 to the nearest surviving relative of a deceased senior citizen.

Interestingly, RA 9994 also provides educational assistance to senior citizens who wish to pursue post-secondary, tertiary or vocational education, whether in a public or private school, through scholarships, financial aid, subsidies and other incentives. This includes learning materials such as books and uniforms. Thus, it is never too late for senior citizens to go back to school and earn a diploma.

RA 9994 further mandates the continuation of benefits to senior citizens from the Government Service Insurance System, Social Security System and Pag-IBIG "to the extent practicable and feasible."

Another law, RA 10645, provides that all senior citizens are automatically covered by PhilHealth, even if they have not made prior contributions.

These laws reflect the government's commitment to protecting and enhancing the welfare of senior citizens in the Philippines. However, there was a question as to whether or not the mandate of all those benefits, which in the end are shouldered by the establishments providing the aforementioned services and goods, are constitutional.

The establishments granting the 20-percent discounts are entitled to claim the same as income tax deductions, not as tax credits. Unlike a tax credit, a tax deduction does not offer full reimbursement of the senior citizen discounts granted. As such, it raised the question whether the state, in promoting the health and welfare of a special group of citizens, can impose upon private establishments the burden of partly subsidizing a government program.

In several decisions, the Supreme Court has ruled that the grant of 20-percent discount and the tax deduction scheme is a valid exercise of the police power of the state. The Supreme Court also recognized that the duty to care for the elderly and the disabled lies not only upon the state but also on the community and even private entities.

Source: Business World

Old Age Poverty and Active Ageing in ASEAN: Trends and Opportunities

[The World Senior Citizen's Day is celebrated on 21 August each year. The celebration took place for the first time in 1991.]

Poverty in Old Age

The current method of tracking old-age poverty involves disaggregating the current poverty measure according to age. However, poverty in later life is not the same as it is in youth and early adulthood. Older people are less likely to emerge from long-term poverty because of receding capability, deteriorating health, and limited access to financial resources. Thus, research on poverty must analyze old-age poverty within a context-specific framework.

Incidence of Old-Age Poverty in ASEAN

• In general, older persons in the ASEAN Member States have been living marginally above the poverty line and remain vulnerable to falling into poverty.

• In countries with younger populations like the Philippines, the Lao PDR, and Cambodia, older people are less likely to become impoverished than the general population. In countries with a more mature population like Indonesia, Malaysia, and Thailand, the poverty headcount rate of older people is higher than that of the general population or even non-older people.

Poverty Profile of Older Persons in the ASEAN Member States

GENERAL

• In most ASEAN Member States, older women have a higher poverty rate than older men, and they also face more severe conditions. Women’s domestic responsibilities prevent them from having paid full-time jobs. Those who work are still expected to fulfill caregiving duties at home. Many engage in low-wage, unstable, and informal jobs. These leave women with limited social protection and financially dependent on their spouses. Hence, they become more vulnerable to poverty in their later years.
  

• More older people live in rural areas. They also typically reside with their family, particularly their adult children, showing that filial obligation is still observed. However, they usually live with family members who are also impoverished.

• Poverty is the primary factor driving older people in ASEAN to remain in the labor force. Many of them work in agriculture. Older women are typically employed in informal and unstable jobs.

Source: The Asean Magazine

Senior citizen discount on utilities

Did you know that as a senior citizen in the Philippines you are entitled to a discount for your utility bills?

Article 12, Section 1 of the Implementing Rules and Regulations (IRR) of Republic Act (RA) 9994, otherwise known as the "Expanded Senior Citizens Act of 2010," which states that:

"Section 1. Five (5%) Discount - The grant of a minimum of five percent (5%) discount relative to the monthly utilization of water and electricity by households with senior citizens; Provided, That the individual meters for the foregoing utilities are registered in the name of the senior citizen residing therein: provided, further, that the monthly consumption does not exceed one hundred kilowatt hours (100 kWh) of electricity and thirty cubic meters (30m') of water: Provided, furthermore, that the privilege is granted per household regardless of the number of senior citizens residing therein.

"To avail of the discount under this Section, the senior citizen shall:

"1. Apply for the discount personally or thru a representative. There shall be annual renewal of application to the utility provider.

"2. Submit requirements:

"a. Proof of age and citizenship

"b. Proof of billing. Meter registration should be in the name of the senior citizen for a period of one year

"c. Proof of residence."

Accordingly, senior citizens living in a household with their utility bills (water and electricity) under their names get a guaranteed minimum 5% discount in their bills, if their monthly electricity usage is less than 100 kWh, and their monthly water usage is less than 30 cubic meters. This discount is for the whole household, regardless of how many senior citizens live there.

Further, the said discount is not automatically given to senior citizens, as they are required to submit an application and meet the above-mentioned requirements to avail of the said discount.

Who is a senior citizen?

Article 5.1 of the (IRR) of RA 9994 states:

"5.1 SENIOR CITIZEN OR ELDERLY – refers to any Filipino citizen who is a resident of the Philippines, and who is sixty (60) years old or above. It may apply to senior citizens with 'dual citizenship' status provided they prove their Filipino citizenship and have at least six (6) months residency in the Philippines."

In other words, you may avail of the senior citizen discounts as long as you are able to prove your Filipino citizenship and the fact that you have been residing in the Philippines for at least six months.

IRR - RA 9994.pdf

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Source: Manila Times