PHILIPPINES • PESO PLANNING

Philippines Mandatory Contributions Guide

A practical guide for understanding the calculation, checking the records and identifying when an illustration needs a fuller review.

Use the Philippines PhilHealth Pag IBIG Calculator alongside this guide. Check the supported inputs before comparing an illustration with a payslip, contribution record or loan disclosure.

Use two bases rather than one salary label

A payslip can include basic salary, allowances, overtime, reimbursements and employer costs. These totals should not be interchanged without checking the relevant program definition. Enter the PhilHealth basis and Pag-IBIG fund salary separately, even when they happen to equal the same amount in a simple example. A higher CTC figure does not automatically mean every contribution is calculated from that figure.

PhilHealth limits and sharing

For this ordinary employed-member illustration, the total premium uses the 5% schedule with an income floor of ₱10,000 and ceiling of ₱100,000. Employee and employer share it equally. The tool requires a positive basis for an active covered month; it does not decide the treatment of unpaid months, special membership categories, arrears or adjustments.

Pag-IBIG regular savings

The modeled employee rate is 1% at fund salary of ₱1,500 or below and 2% above that amount. The employer rate is 2%, with the fund-salary base capped at ₱10,000 under Circular 460. Voluntary extra savings and MP2 are different from this regular contribution. The estimate does not calculate dividends, loan repayments or the balance in your savings account.

Keep employer cost separate

Add only employee shares when estimating a payslip deduction. Employer shares are shown to help reconcile the contribution record and employer cost. If the payslip contains additional voluntary savings, list them separately before concluding the mandatory contribution is incorrect. Confirm the contribution month and posted records, especially after a job change or a payroll correction.

Worked example

Using a ₱30,000 PhilHealth basis gives ₱1,500 total premium, shared as ₱750 each by employee and employer. A ₱30,000 Pag-IBIG basis is capped at ₱10,000 for the modeled regular savings calculation: ₱200 employee and ₱200 employer. The combined employee deduction is ₱950.

A simple review checklist

Record the relevant month or calendar year and the source of each amount.
Keep employee and employer components, or loan principal and fees, in separate columns.
Compare the same calculation basis before treating a difference as an error.
Ask the responsible payroll team, institution or adviser to explain unresolved items.

Keep documents in your own secure records. The public calculator does not need an identity number, account number, login, employer name or uploaded payslip. A saved calculation is useful working evidence, but it is not an official assessment, a remittance receipt or confirmation of eligibility.

Return to Philippines Finance to choose another topic. For tax and contribution questions, follow the official links below and check whether a later circular changes the rule for your period.

Sources and review date

Reviewed 25 October 2026. Rules may change. This independent educational resource is not a BIR, SSS, PhilHealth, Pag-IBIG, DOLE or lender service. Confirm your circumstances and the applicable official schedule before acting.