FSMSSA Board of Trustees meets for their 3rd regular

FSMSSA Board of Trustees had its 3rd regular meeting on December 3, 2018. All board members were present as well as Administrator and Deputy Administrator. It became common that every quarter, the Board meets to share updates, reports and exchange advices pertaining social security’s sustainability. It is another chance for FSMSSA Admin to update the Board of Trustees on matters or new information there may be. In return as the governing body of the program, the Board makes fair decisions for a better program. In line with the updates from Admin, Administrator Narruhn spoke of recent communications as of date. Narruhn further discussed some items in his communication, which included the progress of the lot, or office space to be provided by Pohnpei State Governor. Administrator had assisted with documents needed and asked the board to support the idea in communicating with the State Government. Narruhn assured the Board that the experience study had been finalized, and valuation first draft completed awaiting for more detail in a later meeting. Administrator shared the status of the amendments introduced with Congress last session. A major part of this regular meeting was about the FSMSSA 2019 Proposed Budget.  Public Law 5-120 mandates FSMSSA to present an annual budget not exceeding 11% of projected income for the ensuing fiscal year. Administration prepared budget comparisons of CY 2018 vs. CY 2019 and presented to the Board, which was thoroughly explained in details that the Board came in meets in the end by approving the FSMSSA Proposed Budget CY 2019. The percentage of Proposed Budget was 6.9% of income projection. The Budget Ceiling of 11%, with total proposed budget of $1,311,974, a decrease of 1.0% from 2018 approved budget. The meeting continued with FSMSSA’s Financial Statement and Tax reports. The Board of Trustees were well informed that with their queries being answered, and called off a productive meeting.

 

FSMSSA Board of Trustees & Admin attends APAFS 2018

The FSMSSA Board of Trustees and Administrator attended the 18th Annual Pacific Region Investment Conference, envisioned to be the premier investment conference in the region. Through this medium, Asia Pacific Association for Fiduciary Studies (APAFS™) , provided members with meaningful educational forums that cover the most current and fundamental understanding of their roles as fiduciaries, focusing on regional specific issues and needs. The goal of APAFS is to raise the level of understanding and standards of practice among fiduciaries in the region by providing educational programs and opportunities, so that they may provide the most prudent stewardship of the funds entrusted to their care. As the governing body of the FSMSS program, it had become tradition that the Board of Trustees and Administrator attend such conferences for positive and enhancing purposes in chances that kept accountable for the program’s sustainability. In attendance were Chairman of the Board Jack Harris of Pohnpei, Vice Chairman Vincent Tafileluw of Yap, member Albert Falcam-National Government representative, Chuuk representative, member Nakama Sana, and member Nena C. Ned representing Kosrae State. Along with the Board was Administrator Alexander R. Narruhn. With the information attained and knowledge gained from these conferences, FSMSSA continues to trusting in the hands of its Administration for the successes of the program through daily work of all Board members and Administration.

 

FSM Social Security Administration hires new Technical Specialist at Chuuk Branch Office

Beginning of October 2018, Polly Meika was hired as the new Technical Specialist at the FSM Social Security Chuuk Branch Office. He attended COM-FSM beginning year 2015 and attained his Associate of Arts degree in Business Administration in  2017. He continued with the 3rd year program and attained his Third Year Certificate in General Business a year later. Polly was chosen out of the many applicants who applied for his qualifications best suits the requirements of the position. The administration is confident that he would be able to use his knowledge and skills to meet the goals of a Technical Specialist at the branch office. Upon being hired, Polly felt privileged to be serving the people of the FSM. He looked forward to carrying out the job goals and meeting its needs.

Furthermore, Polly likes working with people and could be of great company. His outspoken mind and open handed skills could be of asset to the FSM Social Security Administration. His friendliness will be of great instance as he serves the beneficiaries and people of Chuuk. He enjoys the company of family and friends in his free time.

FSMSSA welcomes Mr. Polly Meika aboard and looks forward to attain support and good deeds that he would contribute to the system.

 

Introducing FSMSSA Voluntary Contributions through the Automated Clearing House (ACH) Program

The FSM Social Security Administration wishes to invite all interested FSM citizens working abroad to participate in the program. Public Law 14-86, which was passed on October 23, 2006, created a new provision within the social security law that would allow a citizen of the FSM working abroad to voluntarily contribute into the system to earn the right to benefits. FSM citizens who are actually working outside of the FSM, Palau or Marshalls can make voluntary contributions. In order for an abroad citizen to apply for Voluntary Contribution through the ACH, our official website – www.fsmssa.fm has prepared printable forms to (1) enroll in the program, (2) authorize the transactions, and (3) to authorize retroactive payments.  Once these forms are filled and sent to the main office for processing, FSMSSA will collect their quarterly taxes from their account through online ACH. After every transaction, a receipt will be sent to the contributor while the bank documents the transfer in the contributor’s passbook.

For persons who are self-employed or regular employees outside of the FSM, Republic of Palau and Republic of the Marshall Islands, they may make voluntary contributions to receive quarters of coverage and to accumulate payments to their minimum contribution requirements, even if they are contributing to another Social Security system. The person must make payments to FSM SSA in the FSM, and file a quarterly return. Any person making these voluntary contributions is subject to the same deadlines as any other taxpayer. The person must also pay both the employee and employer’s share of the social security tax. The quarterly earnings are fixed at $1,250.00

It applies also to FSM citizens now.

For persons who are self-employed sole proprietors with no employees in the FSM, which can include farmers and fishermen, and who make less than $10,000.00 per year, may make contributions to the Social Security System. The person will be deemed to make $1,250.00 per quarter, and they must pay the employee and the employer’s share. After January 1, 2013, the payment is $93.75 for the employee’s share and $93.75 for the employer’s share, totaling $187.50 per quarter. Any self-employed person electing to make such voluntary contributions must file quarterly returns and is subject to the same deadlines as any other taxpayer. If revenue received by a self-employed person is $10,000.00 or more, they are subject to the regular mandatory contribution provisions.

 

FSMSSA participates in 8th FSM National Women’s Conference

On August 28, 2018, FSMSSA Deputy Administrator Francky Ilai attended the International Women’s conference held in Pohnpei at the College of Micronesia, FSM- China Friendship gym. Every year this conference was held, and women all over Micronesia come together to attend and learn from each other, as well share ideas and issues needed for awareness. This year’s theme was: “Continue to build and support social development that is inclusive for women across FSM”. The objectives of the conference included providing a platform where women from the four states can come together and engage in discussions on matters/issues affecting them, to have a forum where FSM national and state level stakeholders can harmonize their understanding and status of women’s issues in relation to different policy frameworks at the national, regional and international level and to unify the collective efforts of the country’s response to resolving women’s issues, and to engage the participants of the forum with resource people in different fields to uplift the level of understanding and support for women and girls in FSM. Deputy Administrator Ilai made a presentation that touched on issues relevant to women as stakeholder in Social Security. Generally he shared the history of the program since its establishment, along with its financial status and performances. He further touched on the types of benefits offered and specifics of eligibilities. Part of the presentation was based on taxes paid. Ilai as well shared the challenges the program had been or is faced with, as shown in the diagram below.

After all, questions were then raised for clarifications.

 

FSMSSA Administrator presents at R&D Conference

FSM Social Security Administrator Alexander R. Narruhn attended the FSM Resources and Development Conference at the Pohnpei State Governor’s Conference Hall on August 15, 2018. It was a nation-wide meeting coordinated by the Department of Resource and Development, involving relevant offices at both national and state levels, with participation from civil society and the private sector, to address issues impeding concerted efforts for social and economic development in the FSM. The objective of the conference emphasized the need to work together for better results.

The purpose of the conference resulted in the need to sharing ideas and agreeing on specific means to contribute toward coordinated implementation of activities to support our overall goals for social and economic development. In line with that, it occurred that presentations were given by different government agencies, both national and state levels, as well as other NGO’s.

The FSMSSA Administrator delivered his presentation on overall operations of the program. He touched on the history of the FSM Social Security and discussed the financial statements, wage earner counts and the history of Social Security taxes. The history of Social Security Program went way back since 1968 with its establishment under Trust Territory times. Fifteen years later after the dissolution of the Trust Territory Times, it then became the FSM Social Security Administration. Its governing body consisted of the Board of Trustees, a representative from each State level, as well a National representative and Administrator as Ex-Officio. There are 6,000 plus beneficiaries today. As a matter of fact, benefits paid out were always higher than tax paid in. Therefore, the FSMSSA tax division with its regulations are ongoing with their collections even with the challenge of the delinquents and so forth.

 

 

 

Board of Trustees Member- Kosrae represent

Mr. Nena C. Ned of Kosrae State was confirmed by the FSM 20th Congress to serve as member of the Federated States of Micronesia Social Security Board of Trustees, representing the state of Kosrae. Pursuant to section 701 of Title 53 of the Code of the Federated States of Micronesia, the President shall appoint the members of the Board of Trustees for the FSM Social Security Board, subject to the advice and consent of congress. Mr. Ned has professional experience and qualifications which make him a suitable candidate to serve as a member of the FSM Social Security Board of Trustees. He was once a long time member of the program Board of Trustees in 1997 to 2003. Mr. Ned not only served as Board member to FSMSSA, but also to other entities in both the State and National level back then. Additionally, he had worked for the nation ever since 1980’s and presently he is the General Manager for Kosrae State Terminal & Stevedoring Company. Obviously, he had been serving the FSM and State government for a long time now. Mr. Nena Ned owns a Bachelor of Science Degree in Criminal Justice along with other certifications of accomplishments. Personally, Mr. Ned’s hobbies include fishing and baseball.

 

FSMSSA Administrator joins Leadership Conference in Pollap

FSM Social Security Administrator participated in the Northwest Leadership Conference in Pollap, Chuuk on April 9-11, 2018. Present at the conference were Congress Speaker Simina, Congressman Robson U. Romolow (representative of Northwest Islands), traditional and government leaders of Chuuk State. Administrator Narruhn was invited by Speaker Simina to participate in the event, whereas, a presentation on Social Security matters was presented. Administrator Narruhn presented on the types of benefits offered, which included Retirement, Disability, Spouse and Children, Lump Sum and Foreigners. The processes for each claim were as well presented as well as eligibility criteria on each certain type of benefit. Questions and concerns were raised from the public regards to claim processing and other uncertainties including the number of beneficiaries benefiting from the system as up to date. Currently, FSMSSA is serving 6,640 plus beneficiaries.

 

FSM Social Security hosting Administrator’s Conference

The unity conference between 3 Social Security Administrations, namely FSMSSA, ROPSSA, ROPCSPP and MISSA took place in Pohnpei on May 17-18, 2018. Present at the conference were MISSA reps including Administrator Saane Aho, Deputy Administrator & COO Bill Joseph, IT Manager Jr. Joseph and Amelia Timon, Finance Manager. ROPSSA was represented by its Information System Specialist Mr. Jonathan U. Eberdong and Mr. Elliot Udui from the Palau Civil Service Pension Plan (CSPP). FSMSSA Administrator Alexander R. Narruhn and Deputy Francky Ilai were both present along with other staff including Internal Auditor Win Thomas, Tax Admin. Officer Catherine Jonas, IT Manager Midion Neth Jr., Pohnpei Branch Manager Leon Panuelo Jr., Claim Officer Kerman Alten, Comptroller Teresita Dayao, and Executive Assistant Luan Laverne Gilmete. At its onset, Chairman of FSMSSA Board of Trustees Mr. Jack Harris conveyed the welcoming remarks by welcoming everyone and shared the happy day’s greetings to everyone present, then guided the conference to proceed. Following self introductions, the first presentation was given by FSMSSA Deputy focusing on the system’s operations and financial status, even specifically to all its functions serving its beneficiaries and all citizens of the FSM. Exchange of ideas and discussions of unclear business took place as well. When there seemed to be misunderstandings, questions were then raised and exchange of ideas was done. Following FSMSSA was the presentation from ROP, Civil Service Pension Plan (CSPP) delivered by Mr. Udui. As mentioned, the CSPP is a defined benefit program and membership of the plan refers to Palauans and Micronesians who are employed by the National and State Government. In place of a Social Security plan in Palau, they also have this pension plan. No difference than the other Social Security pensions, requirements seemed to be similar. The last presentation for the day was given by the MISSA Administrator Saane Aho sharing almost the same topics from previous presentation along with theirs system’s struggles and hardships. Discussion on their reforms and experience studies was shared as well as its results. There was then another discussion and exchange of ideas on management and so on. Conference was back in session and was opened with the Database Migration presentation given by ROPSSA rep, IT Manager Jonathan. The presentation was focused on the new database migration, that both MISSA and FSMSSA were interested going the same path, when ROPSSA has completed their project. It was obvious that the database migration is being worked on by ROPSSA, so the presentation was to help promote the positivity and handful of the new database compared to what is being used now. With the agreement being made between the two Social Security Administrators, when ROPSSA is completed with their migration project in March, training should take place and there will be sharing for the cost as well. ROPSSA would be migrating to the new database by March 2019, so by then they would be ready to show, and have FSMSSA and MISSA hook up. Until then, training for the new Database shall be ready, as the migrated system will be in place. A round table discussion took place after the presentation where they exchanged questions and answers regarding the Database Migration. All ended with an understanding of what was being discussed. Last presentation of the day was on Investments, delivered by Mr. Ross Fowler, CEO, fi360 Pacific, who assists with the Assessment for FSMSSA Portfolio. Mr. Fowler advised all Social Security Programs on how to assess themselves for improvements. All representatives from MISSA, FSMSSA, ROPCSPP came to an agreement that next meeting/conference should be held in Palau, after the Migration of new Database. It was quite clear why Palau should be the next host following the idea that by that time, the Database should be up and running and it could be a good chance for MISSA and FSMSSA to actually see the completed system while in Palau.

 

FSMSSA selects Mr. Jimmy Mori as Chuuk Branch Manager

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The position of Chuuk Branch Manager was vacant beginning of June 2018 due to the retirement of previous Manager, Mr. Domingko Asor. After a careful selection done by FSMSSA administration, Mr. Jimmy Mori was fortunate to be the individual that best suits the position. His qualifications and especially experience of work in the field of Social Security terms exceeds, leading him to become the new Branch Manager. Mr. Mori was hired at Chuuk Branch Social Security office on November 19, 2001, as the Technical Specialist. He was tasked to be the Assistant Branch Manager for a while until he became the Branch Manager on June 18, 2018. Jimmy had shown dedication and effort in his line of work ever since he began serving the system. With all that, all was paid off that he is now the new Chuuk Branch Manager. Jimmy is a very outgoing and caring person with a personality that shines among his family, friends and colleagues. He has a heart to serve the elders of the FSM, especially the beneficiaries of Social Security. FSMSSA congratulates new Chuuk Branch Manager, Mr. Jimmy Mori.