By: Sandra Soriano
The Central Bank Committee approved the ¨Technical norms for single payroll in the pension system implementation¨, which will become effective as of May 19, 2023.
What does the Technical Standard consist of?
A single payroll will be used to social security and social insurance contributions, which means that the employer must declare the payroll and pay both contributions at the same time.
The Single Payroll System (SPU) will guarantee contributions to the social security and pension system are made according to the law, guaranteeing savings in the pension system and access to health services.
The purpose of these rules is to establish the minimum guidelines to be complied with the Single Payroll System implementation, for the contributions to the fund of pensions, and to the social security in the pension system of El Salvador.
- The parties that must comply with the provisions set forth in these Rules are:
- The Pension Fund Administrators
- The Salvadoran Pension Institute
- The Salvadoran Social Security Institute
Financial entities that provide their services to the Pension Fund Administrators, in relation to the management of current accounts owned by the Pension Fund they administer.
Single Payroll System
The Superintendency will develop, implement and manage a single payroll system, through which employers will prepare and declare the pension system and ISSS payrolls. Such system will serve to determine the amount of contributions and generate the payment obligation based on the submission of the declarations.
All pension and ISSS contributions must be declared through the single payroll system; therefore, for dependent workers, employers must keep the data of such workers updated in the SPU.
The collecting institutions shall report to the Superintendency, on a daily basis or in real time, the payroll payments generated through the SPU by means of technical mechanisms established by the Superintendency, and shall report the information set forth in Annex No. 1 of these regulations.
The Superintendency shall share with the ISP the necessary information for said Institute to carry out its control and supervision activities, so that all those subject to compliance with the obligations of declaration and payment of contributions, of any type, must comply with them in a timely manner.
The mechanisms through which the information will be shared must be defined by the Superintendence in coordination with the ISP. TECHNICAL STANDARDS FOR THE IMPLEMENTATION OF THE SINGLE FORM IN THE PENSION SYSTEM.
Approval: 03/05/2023 Effective: 19/05/2023
Single Spreadsheet
Art.7. (Technical rules for the implementation of the single payroll in the pension system) The Single Spreadsheet System shall be a mechanism that will facilitate the preparation of any type of payroll in a unique way, and that is needed for the declaration of contributions to the pension fund and to the social security in the pension system of El Salvador, within the term and according to the corresponding month of payment.
Validations or controls in the SPU Art. 8.- For the purpose of enabling employers to correctly and efficiently prepare any type of social security payroll in the SPU, the necessary validations or the respective controls within said System shall be configured for each type of social security payroll, so that employers may declare the contributions to the pension and social security fund in accordance with the member’s social security conditions at the time of processing said payroll.
Annex 1.
Detail of information on payment of social security and employer payrolls.
| Código de institución | Superintendency Assigned Code |
| Date and time of payment | Date and time payment was made |
| Electronic payment number or ISSS receipt number | Electronic payment number (NPE) to which the payment is associated, or for ISSS the payment receipt number |
| Transaction code | Internal code assigned by the institution collecting the payment transaction |
| Amount paid | Amount being paid |
| Branch | Institution branch where the payment is being made |