The municipality made mistakes in paying GSIS premiums and loan payments during 2022—sometimes overpaying and sometimes underpaying. The amount recorded as owing at year-end did not match the amount actually sent to GSIS in January, with about ₱37,000 less than expected. The cause was a failure to notify GSIS about salary increases, which can lead to penalties and problems for employees when they claim benefits.

Why It Matters

Recommended Actions

• Direct the MA and HRMO (a) to exert extra effort to trace back immediately the source of discrepancies noted and reconcile their records with the GSIS to effect the necessary adjustments in the books
• And (b) together with the MT, strictly comply with the regulations on the withholding and remittance of monthly contributions due to the GSIS for the employees’ immediate enjoyment of their benefits.

Original Audit Finding Excerpt

"Despite the prior years’ audit observation, over and under remittances to GSIS of the appropriate premiums and loan amortizations were still observed throughout CY 2022 contrary to the pertinent provisions of Republic Act (RA) No. 8291. Likewise, the balance of the Due to GSIS account a s of December 31, 2022 amounting to ₱1,459,433.31 did not agree with the remittance in the ensuing month amounting to ₱1,422,483.88, thus, the accuracy of the year-end balance could not be ascertained."

Source Document