No retirement in personal businesses

[Mildredtabitha]

I've noticed that there are people who will never experience retirement or even have a pension.

This is because they never worked in a government institution where they are entitled to pension after retirement. So they just opened their own businesses, became successful, employed others and they never retire from it because they are not under any retirement rules.

In addition, those people working on contract terms for many years never experience retirement either because their job is not a permanent job so no pension.

 

[Alexandoy]

You are right that not all seniors are pensioners because the pension plan has a requirement. In the Philippines the government's pension plan requires a contribution of 120 months or 5 yeas of employment (being a member of the Social Security System). You can have a permanent and regular job but your employer should enroll you with the Social Security otherwise you will not be eligible for the pension when you retire.

 

[Nocturnal Writer]

Yes, there's none unless they're pay for themselves for a pension plan premium every month. When they reach their retirement age of 60, they may be paid by receiving their monthly pension. The amount is dependent on how much the plan they paid.

Private or personal businesses are covered with SSS while government employees are under GSIS.

 

[Mildredtabitha]

In my country, you also need to be enrolled by your employer in the pension scheme contribution so you can have pension after retirement.

Those in higher job groups have a bigger monthly pension after retirement compared to those in smaller job groups.

But I would personally want to own my own business so I have an income even after retiring from a government job.

 

[Nocturnal Writer]

That's right. That's a good and practical idea to put up a business of your own in which you could an extra income at the same time receiving your monthly pension while retiring. But be sure to get an insurance for your business.

 

[Mildredtabitha]

Thanks for the reminds. Business insurance is a good thing to consider while starting a business.

I would first have to find out if I will still get the insurance returns laters because if I can't get it then I would prefer to save than take insurance.

That's right. That's a good and practical idea to put up a business of your own in which you could an extra income at the same time receiving your monthly pension while retiring. But be sure to get an insurance for your business.

 

[Nocturnal Writer]

Now have you made you're mind? That's the wise idea and plan to have a business of your own as a sole proprietor and have it insured for security reasons and economic stability later on.

 

[Mildredtabitha]

Now have you made you're mind? That's the wise idea and plan to have a business of your own as a sole proprietor and have it insured for security reasons and economic stability later on.

Yes I will definitely take a business insurance after opening a business. If it will be a physical business, then I'll take the insurance. If I decide to do an online business, then I won't take insurance. I appreciate your input on this.

 

[Nocturnal Writer]

That's wonderful. Whether it's physical or online type of a business, you must have a personal insurance for your pension later on. For private business, in our country we have the Social Security System (SSS) to pay our monthly premium based on the monthly income of such business. That means you pay the employer's share and at the same time you pay the employee's share.