A quick guide to all costs related to opening, maintaining, and withdrawing from your PERA account.
For the full FAQ list, you may also refer here: bit.ly/dfpera-faq
PERA Withdrawals & Penalties
PERA is governed by Republic Act No. 9505 and is intended as a long-term, tax-advantaged retirement savings program, including the issuance of Tax Credit Certificates (TCCs) for qualified contributions. Withdrawals are strictly regulated by law.
General Withdrawal Rules (Applicable to All Withdrawals)
Partial withdrawals are not allowed. All withdrawal requests must be for full withdrawal, which requires selling all PERA investments and will result in the termination of the PERA account.
A ₱200 withdrawal processing fee applies to all approved withdrawals.
Withdrawal requests are subject to manual verification and approval.
Processing time may take up to ten (10) business days, in compliance with PERA regulations and validation requirements.
Upon full withdrawal and account termination, the PERA account’s eligibility for Tax Credit Certificate (TCC) utilization will be permanently revoked for that account.
Note: We strongly encourage account holders to avoid withdrawals, as PERA is designed to provide long-term retirement benefits. Early withdrawals reduce the potential tax advantages and the growth of your retirement savings.
Unqualified Early Withdrawal
An unqualified withdrawal occurs when the withdrawal does not meet RA 9505 requirements, including transfers to a regular DragonFi account.
Once treated as sold, the following apply:
A 20% penalty on the gross income earned from the withdrawn investment
Forfeiture of any previously claimed 5% tax credit
Losses from other PERA investments cannot be used to offset the penalty
Unqualified early withdrawals will terminate your PERA account
Conditions for unqualified withdrawal:
No stock or fund positions may remain in the PERA account
All assets must be converted to Available to Withdraw (ATW)
No available to trade (ATT) balances are allowed
Withdrawal amount must equal the total ATW balance
Qualified Withdrawal
PERA allows withdrawals under certain conditions without penalties:
1. Hospitalization of more than 30 days or Permanent Disability
Any withdrawal amount is allowed
Subject to manual verification and approval
2. Age 55 with at Least 5 Years of Contributions (55/5 rule)
Any withdrawal amount is allowed
Processed as part of the standard withdrawal procedure
No early withdrawal penalties apply
PERA Administrator Fee
What is the PERA Administrator Fee?
The PERA Administrator Fee ranges from 0.45% to 0.6% of your total PERA account value.
This fee applies at the account level, regardless of whether your investments are in stocks, funds, or a combination of both.
When is the PERA Administrator Fee charged?
The fee is computed based on your PERA account’s total value and charged at the end of the quarter.
Currently, DragonFi is not charging a PERA administrator fee until further notice.
How is the fee computed if I trade frequently?
The PERA administrator fee is not transaction-based.
Frequent buying and selling do not increase the fee, as it is calculated based on your total account value.
Investing & Trading Fees
What fees apply when buying or selling PERA stocks or funds?
Standard trading fees apply when buying or selling PERA stocks or funds, including STT and other applicable charges.
Account Opening & Contributions
Does it cost anything to open a PERA account?
No. Opening a PERA account with DragonFi is free.
Are there minimum contribution amounts or maintaining balance requirements?
None. You may contribute any amount, as long as you stay within the annual PERA contribution limits.
Are there fees when making PERA contributions?
DragonFi does not charge any fees for PERA contributions.
However, your bank or payment channel may apply standard transfer fees.