PHILIPPINES

Payroll & HR Compliance in PHILIPPINES

HIGHLIGHTS

Automate SSS, PhilHealth, Pag-IBIG, and BIR compliance with HR Forte

  • SSS, PhilHealth, Pag-IBIG contributions
  • BIR compliance and withholding taxes
  • 13th month pay automation
  • Leave and claims management
  • Loans auto management
BIG PICTURE

What Employers Need to Know About Payroll in the Philippines

Payroll compliance in the Philippines involves multiple statutory agencies, including the Bureau of Internal Revenue (BIR), Social Security System (SSS), PhilHealth, and Pag-IBIG.

Employers must manage monthly tax withholding and mandatory benefits contributions.

View of the skyline of Makati at sunset, in Metro Manila, The Philippines.

Key Payroll Components

    • SSS contributions

    • PhilHealth contributions

    • Pag-IBIG contributions

    • Withholding tax on compensation

Common Payroll Challenges

    • Managing multiple contribution schedules

    • Incorrect tax withholding

    • Late or inconsistent filings

Payroll Filings & Reporting

    • Monthly tax remittances to BIR

    • Monthly statutory benefit submissions

    • Annual tax reporting and reconciliation

How HR Forte Supports Philippines Payroll

    • Automated statutory contribution calculations

    • Accurate monthly tax withholding

    • Structured compliance reporting across agencies

Philippines wooden sign with a rural background
FAQ

Have questions?

What statutory bodies are involved in payroll in the Philippines?

Payroll involves the BIR, SSS, PhilHealth, and Pag-IBIG.

Is income tax withheld monthly in the Philippines?

Yes. Employers are required to withhold and remit income tax monthly.

Are statutory contributions capped?

Yes. SSS, PhilHealth, and Pag-IBIG contributions have specific caps and thresholds.

What is a common payroll challenge in the Philippines?

Managing multiple agencies with different reporting schedules. It is common to have two (2) payroll cycles in a month and normal that employees have multiple loans with government agencies of which the responsibility in managing loans deductions from salaries are with the Employer.

Why HR Forte in the Philippines?

Filipino payroll is complex with multiple statutory contributions and mandatory 13th month pay. HR Forte automates these processes to ensure accuracy, compliance, and employee satisfaction.