Updated September 2026. Uses the 2026 SSS, PhilHealth and Pag-IBIG schedules and the BIR withholding tax table in force since 1 January 2023.
Enter a monthly basic salary and this calculator shows the employee's SSS, PhilHealth and Pag-IBIG deductions, the withholding tax, the net take-home pay per month and per semi-monthly cutoff, and what the employee actually costs the employer once the employer shares are added. Every step is explained below the calculator, with the tables, so you can check the math or reproduce it in your own payroll.
Take-home pay calculator (2026)
| Line | Employee | Employer |
|---|---|---|
| Monthly basic salary | ||
| SSS monthly salary credit used | ||
| SSS regular (on MSC up to ₱20,000) | ||
| SSS MPF (on MSC above ₱20,000) | ||
| SSS EC (employer only) | - | |
| PhilHealth (5%, split equally) | ||
| Pag-IBIG (max fund salary ₱10,000) | ||
| Total contributions | ||
| Taxable compensation (basic less employee contributions) | ||
| Withholding tax (BIR monthly table) | ||
| Non-taxable allowances | ||
| Net take-home pay per month | ||
| Employer's total monthly cost | ||
Estimates for a regular employee paid a fixed monthly basic salary. Semi-monthly figures are half of the monthly result; the BIR semi-monthly table gives the same annual tax for a constant salary. Absences, overtime, taxable allowances and year-end annualization change the actual figures. Not tax or legal advice.
How take-home pay is computed in the Philippines
Net pay is basic salary minus the employee's share of the three mandatory contributions, minus withholding tax, plus any non-taxable allowances. The order matters: contributions are deducted first, and tax is computed on what is left.
Step 1: SSS (15% of the monthly salary credit)
Under the RA 11199 schedule, the SSS contribution is 15% of the Monthly Salary Credit (MSC): 10% employer, 5% employee. The MSC runs from ₱5,000 to ₱35,000 in ₱500 steps; a salary is mapped to the nearest bracket, and anything above ₱35,000 is capped there. The portion of the MSC above ₱20,000 is booked as the Mandatory Provident Fund (MPF) with the same 10%/5% split. Employees' Compensation (EC) is employer-only: ₱10 a month when the MSC is below ₱15,000, ₱30 at ₱15,000 and above.
| Monthly basic salary | MSC | Employee (5%) | Employer (10% + EC) |
|---|---|---|---|
| Below ₱5,250 | ₱5,000 | ₱250.00 | ₱510.00 |
| ₱14,750 to ₱15,249.99 | ₱15,000 | ₱750.00 | ₱1,530.00 |
| ₱19,750 to ₱20,249.99 | ₱20,000 | ₱1,000.00 | ₱2,030.00 |
| ₱24,750 to ₱25,249.99 | ₱25,000 | ₱1,250.00 (₱1,000 + ₱250 MPF) | ₱2,530.00 (₱2,000 + ₱500 MPF + ₱30 EC) |
| ₱34,750 and above | ₱35,000 | ₱1,750.00 (₱1,000 + ₱750 MPF) | ₱3,530.00 (₱2,000 + ₱1,500 MPF + ₱30 EC) |
Step 2: PhilHealth (5%, split equally)
The Universal Health Care schedule sets the 2026 premium at 5% of monthly basic salary, with a floor of ₱10,000 and a ceiling of ₱100,000, shared equally by employer and employee. The employee share is therefore between ₱250 and ₱2,500 a month.
Step 3: Pag-IBIG (2% + 2%, ₱10,000 maximum fund salary)
Pag-IBIG (HDMF) is 2% employee and 2% employer, computed on a maximum fund salary of ₱10,000, so the usual figure is ₱200 + ₱200. Employees earning ₱1,500 a month or less contribute 1%, while the employer still pays 2%. Employees may voluntarily contribute more.
Step 4: Withholding tax on compensation
Taxable compensation is basic salary minus the employee's SSS, PhilHealth and Pag-IBIG shares (and minus non-taxable de minimis benefits, which never enter the base). The BIR revised withholding tax table, in force since 1 January 2023 under the TRAIN law, is then applied:
| Monthly taxable compensation | Withholding tax |
|---|---|
| ₱20,833 and below | ₱0 |
| ₱20,833 to ₱33,332 | 15% of the excess over ₱20,833 |
| ₱33,333 to ₱66,666 | ₱2,500.00 + 20% of the excess over ₱33,333 |
| ₱66,667 to ₱166,666 | ₱10,833.33 + 25% of the excess over ₱66,667 |
| ₱166,667 to ₱666,666 | ₱40,833.33 + 30% of the excess over ₱166,667 |
| ₱666,667 and above | ₱200,833.33 + 35% of the excess over ₱666,667 |
For semi-monthly payroll the BIR publishes the same table with the brackets halved: ₱10,417 and below is tax-free, then 15% of the excess over ₱10,417 up to ₱16,666, ₱1,250 + 20% over ₱16,667 up to ₱33,332, ₱5,416.67 + 25% over ₱33,333 up to ₱83,332, ₱20,416.67 + 30% over ₱83,333 up to ₱333,332, and ₱100,416.67 + 35% over ₱333,333. Statutory minimum wage earners are exempt from income tax on their basic pay, holiday pay, overtime pay, night-shift differential and hazard pay.
Worked example: ₱25,000 monthly basic salary
| Line | Employee | Employer |
|---|---|---|
| SSS regular (MSC ₱20,000 portion) | ₱1,000.00 | ₱2,000.00 |
| SSS MPF (₱20,000 to ₱25,000 portion) | ₱250.00 | ₱500.00 |
| SSS EC | - | ₱30.00 |
| PhilHealth (5% of ₱25,000, split) | ₱625.00 | ₱625.00 |
| Pag-IBIG (capped at ₱10,000) | ₱200.00 | ₱200.00 |
| Total contributions | ₱2,075.00 | ₱3,355.00 |
| Taxable compensation (₱25,000 less ₱2,075) | ₱22,925.00 | |
| Withholding tax: 15% of (₱22,925 less ₱20,833) | ₱313.80 | |
| Net take-home pay | ₱22,611.20 (₱11,305.60 per cutoff) | |
| Total cost to employer | ₱28,355.00 |
So a ₱25,000 employee takes home about ₱22,611 a month and costs the employer about ₱28,355 before 13th-month pay, leave and other benefits.
Frequently asked questions
Is 13th-month pay included in this computation?
No. 13th-month pay is a separate annual benefit equal to one twelfth of basic salary earned in the year, and it is tax-exempt up to ₱90,000 together with other benefits. See the 13th-month pay guide and calculator.
Are allowances taxable?
De minimis benefits within BIR limits (rice subsidy, uniform allowance, medical cash allowance and so on) are tax-exempt and are not part of taxable compensation. Allowances above those limits, or not on the de minimis list, are taxable compensation. Our de minimis guide lists the 2026 limits.
Why is my payslip tax slightly different from this calculator?
Payroll systems apply the semi-monthly table to each cutoff's actual taxable pay, which includes absences, overtime and taxable allowances, and then annualize in December so the year's total tax matches the annual table. A constant salary with no adjustments produces the same result as this calculator.
Which salary is used for SSS if the employee has allowances or overtime?
SSS is based on total monthly compensation including regular allowances and overtime, mapped to the MSC bracket. This calculator uses basic salary only; add other regular pay if you want the exact bracket.
What happens above ₱35,000 for SSS and ₱100,000 for PhilHealth?
Both cap. SSS stops at the ₱35,000 MSC (₱1,750 employee, ₱3,500 employer plus ₱30 EC) and PhilHealth stops at the ₱100,000 ceiling (₱2,500 each side). Pag-IBIG caps much earlier at a ₱10,000 fund salary (₱200 each side).
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