---
title: Philippines Payroll Guide 2025 | SSS, PhilHealth, Tax
description: A 2025 guide to Philippines payroll, SSS, PhilHealth, Pag-IBIG, tax tables, allowances, and labour law compliance.
---

[TaxTok HRF ](https://www.hrforte.com/taxtok-hrforte)

# [Philippines Payroll Guide 2025 | SSS, PhilHealth, Tax](https://www.hrforte.com/taxtok-hrforte/philippines-payroll-labor-law-cheat-sheet-2025)

 Written by [Betty Gervasini, FCA](https://www.hrforte.com/taxtok-hrforte/author/betty-gervasini-fca) | Oct 12, 2025 10:00:00 PM

## 🇵🇭 Philippines Payroll & Labor Law Cheat Sheet 2025

### Your quick guide to staying compliant (without losing your sanity)

Running payroll in the Philippines can feel like juggling acronyms — BIR, SSS, PhilHealth, Pag-IBIG — all while chasing deadlines. But don’t worry! We’ve broken it all down into a **simple, human-friendly guide** so you can stay compliant and confident.

Whether you’re a startup founder, HR manager, or finance pro, this **2025 cheat sheet** gives you the must-know rules for payroll, contributions, and labor compliance — minus the legal jargon.

## 🏛️ 1. Registration Requirements

### With the Bureau of Internal Revenue (BIR)

Every employer must register with the **BIR** to withhold taxes on employee compensation under the **TRAIN Law (RA 10963)**.  
You’ll need:

- **BIR Form 1902** – for new employees without TIN
- **BIR Form 2305** – to update employee details or exemptions

💡 *Update 2025:* The BIR continues to expand **eBIRForms and EFPS filing coverage** — most employers are now expected to file and pay taxes **electronically**.

### With Other Government Agencies

All employers and employees must also register with:

- **Social Security System (SSS)** – RA 8282
- **PhilHealth** – RA 7875
- **Pag-IBIG Fund (HDMF)** – RA 9679

These cover **social insurance, health coverage, and housing benefits**.

## 💸 2. Monthly Tax & Statutory Contributions

### Payroll Tax (Withholding Tax on Wages)

- File monthly via **BIR Form 1601-C**.
- **Manual filing:** by the **10th** of the following month.
- **EFPS (electronic filing):** between the **11th–15th**, depending on your industry classification.
- **Annual summary (BIR Form 1604-CF):** due **31 Jan** of the following year.

### Statutory Contributions (SSS, PhilHealth, Pag-IBIG)

| Agency | Employer Share | Employee Share | Contribution Cap / Notes |
| --- | --- | --- | --- |
| **SSS** | 9.5% | 4.5% | Monthly salary credit up to **₱30,000** (effective Jan 2023) |
| **PhilHealth** | 5% total | 50/50 shared | Applied to income ceiling up to **₱100,000** |
| **Pag-IBIG (HDMF)** | 2% | 1% | Based on salary up to **₱5,000** |

🆕 *Update 2025:*

- **PhilHealth** now implements the **5% premium rate** (2024–2025) as per UHC Law (RA 11223).
- **SSS rate remains 14% total**, but **Maternity Benefit** is now 105 days (RA 11210).

## 🧓 3. Pension & Retirement Benefits

- Retirement benefits are governed by **RA 7641** (Labor Code).
- Retirement age: **60 years** (optional) or **65 years** (compulsory).
- Must have **at least 5 years of service** to qualify.
- Retirement pay = **½ month’s salary per year of service** (minimum standard).

## 👩‍💼 4. Employment Obligations & Leave

### Working Hours & Rest Days

- Max **8 hours/day**, **48 hours/week**.
- Overtime pay = +25% (regular days), +30% (rest/holidays).
- Rest period: at least **24 consecutive hours every 6 workdays**.

### Minimum Wage (2025)

- Regional rates range from **₱420 to ₱610 per day** depending on location.
- NCR daily wage (non-agriculture): **₱610** (effective June 2024).

### Leave Entitlements

- **Service Incentive Leave:** 5 days/year after 1 year of service
- **Maternity Leave:** 105 days (additional 15 days for solo mothers)
- **Paternity Leave:** 7 days
- **Solo Parent Leave:** 7 days
- **Violence Against Women Leave:** 10 days
- **Gynecological Leave:** 2 months

## 🎁 5. Bonuses & Benefits

### 13th-Month Pay

- Mandatory under **PD 851**
- Pay by **24 December** each year
- Tax-free up to **₱90,000** combined with other bonuses

### De Minimis Benefits (Non-Taxable)

- Rice subsidy up to **₱2,000/month**
- Uniform/clothing allowance up to **₱6,000/year**
- Medical & laundry allowances within **₱10,000/year**
- Achievement gifts up to **₱5,000**

## 💵 6. Payroll Frequency & Payslips

- Wages paid **at least twice a month** (max 16-day interval).
- Payslips must show salary breakdown, deductions, overtime, and net pay.
- Digital payslips are accepted and encouraged for transparency.

## 🏦 7. Payment & Banking

- Wages must be paid in **Philippine legal tender**.
- Bank transfers allowed if within **1 km radius** of the workplace and employees consent in writing.
- Employers cannot charge or profit from the payroll bank arrangement.

## ✅ Quick Employer Compliance Checklist

- Register with **BIR, SSS, PhilHealth, Pag-IBIG**
- File **BIR 1601-C** monthly (by 10th / EFPS 11th–15th)
- Submit **BIR 1604-CF** by 31 Jan yearly
- Remit SSS, PhilHealth, Pag-IBIG monthly (by last business day)
- Pay employees at least twice per month
- Provide itemized payslips every payday
- Release 13th-month pay before 24 Dec
- Comply with new PhilHealth 5% premium cap

## 💡 Bonus Tips from HR Forte

1. **E-filing saves time:** Most agencies now prefer (and sometimes require) electronic submissions. Set up EFPS and My.SSS accounts early.
2. **Use unified payment portals:** Try **Bayanihan E-Payment**, **My.SSS**, or **PhilHealth Online** to skip in-person queues.
3. **Track regional wage updates:** RTWPBs announce new minimum wages periodically — not all regions increase at the same time.
4. **Avoid last-minute 13th-month rush:** Budget and accrue monthly to stay cash-ready by December.
5. **Automate payroll:** HR Forte’s payroll engine auto-calculates tax, SSS, PhilHealth, and Pag-IBIG for you — no spreadsheets, no stress.

## Stay Updated with HR Forte

At **HR Forte**, we help you simplify HR, payroll, and compliance with automation — so you can focus on growing your business, not decoding regulations.

💬 Try **AskGenie**, our AI compliance assistant, for instant answers to Philippine HR and payroll questions — anytime, in any language. [Learn more about AskGenie](https://www.hrforte.com/askgenie-landing-page)

👉 Subscribe and Join** TaxTok by HR Forte** for free cheat sheets, quick insights, and monthly HR compliance updates. [Click Here to Sign-Up TakTok by HRForte](https://2fg10l.share-eu1.hsforms.com/2qTgDFWLdRDWpWiwgF8RrAg)

 

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