The Average Monthly Compensation that is used as a basis in computing the amount of retirement and pension benefits is the average of the member's basic salary in the last three years, or 36 months of his or her service in government, the Government Service Insurance System reiterated in a press release yesterday.
There is no truth to speculations that AMC will soon be based on the member's salary for the last ten years of service, GSIS said.
The GSIS has no intention of revising the definition of the AMC under Republic Act 8291, it also said.
The AMC is one of the factors in the computation of the Basic Monthly Pension of a GSIS member, the formula for which is BMP = (.025) x (AMC + P700) x Period of Paid Premium, the press release added.*