Philippines

Last Update by Katie, 28 May 2024

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Exchange Rate

13 Jun 2024

 

Cost of Living

Indicative value for a working adult in a city: Manila

Publicly available data (Numbeo, etc..), verified by Marco’s in-country staff

Living Requirement Indicative Amount (PHP)
McDonalds Set Meal 250
Monthly Train and Bus Tickets 580
3 Bedrooms Rental (City Center) 92,700
3 Bedrooms Rental (Outskirt) 36,300

Current Inflation Rate

3.5%

Wage

Minimum Wages

  • The minimum wage is 610 PHP/ day

Median Salary

Estimated based on general positions such as HR, Accounting, Admin roles, in tier one cities.

Job Level Monthly Salary (PHP)
Entry-Level
Fresh Graduate
16,000
Mid-Level
5 Years
36,000
Experienced & Managerial Level
10 Years
70,000
Specialized & Senior-Level
15 Years
>100,000

Annual Salary Growth

5%

Statutory Contribution

Country Level

Type Employer Rates Employee Rates Notes
Social Security System (SSS) 9.5% 4.5% All staff min salary 4,000 PHP& capped at 30,000 PHP
PhilHealth 2.5%, capping at 2,500 PHP 2.5%, capping at 2,500 PHP All staff
HDMF 2%, capping at 200 PHP 1%, (for monthly salary 1,500 PHP & below.)
2% (for monthly salary over 2,000 PHP)
All staff and foreign employees
13 month salary 1 month salary - All staff in the private sector

Other Benefit

Other common employment benefits in Philippines include:

  • Additional Health Insurance: About 1,500 PHP/ month
  • De minimis: About 3,500 PHP / month
  • Home working allowance: About 4,500 PHP / month

Income Tax

Residents

  • Tax period: 1st January - 31st December
    Tax filing start date: February
    Tax filing due date: 15th April

Country Level

Taxable Income Rate
0 - 250,000 0%
250,000 – 400,000 15%
400,000 – 800,000 20%
800,000 – 2,000,000 25%
2,000,000 – 8,000,000 30%
> 8,000,000 35%

Non-residents

  • Flat rate at 25%

Working Hours

Statutory

40 hours
8 hours a day, 5 days a week

Typical practice

40 hours
Monday - Friday

Overtime

  • Workdays: 125% of regular hourly pay
  • Rest day & public holidays :130% of regular hourly pay

Employment Contract

Fixed-Term

Probation

Notice Period: 30 days or as per contract

Termination

Notice Period: 30 days.

  • Severance:
    1.5 month pay for every year of service
    6 months' service is considered as one whole year

Public Holiday

18 days

Country Level

Date Name
01 Jan New Year's Day
09 Feb Special Non-Working Day
10 Feb Chinese New Year's Day
28 Mar Maundy Thursday
29 Mar Good Friday
30 Mar Black Saturday
09 Apr Araw ng Kagitingan/Day of Valor
10 Apr Observance of Feast of Ramadhan
01 May Labor Day
12 Jun Independence Day
17 Jun EID'L Adha (Feast of Sacrifice)
21 Aug Ninoy Aquino Day
26 Aug National Heroes' Day
01 Nov All Saints' Day
02 Nov - 30 Nov All Souls' Day
30 Nov Bonifacio Day
08 Dec Feast of the Immaculate Conception of Mary
24 Dec - 25 Dec Christmas Day
30 Dec Rizal Day
31 Dec Last Day of the Year

State/Province Level

Metro Manila

Date Name
09 Jan Feast of the Black Nazarena

Leave

Leave Type Entitlement Notes
Annual Leave/Service Incentive Leave 5 working days
Common practice- up to 15 working days
All staff
Maternity Leave 105 calendar days, additional 15 days for single mother
60 days (miscarriage)
All female staff with 6 months'# service
Leave is reimbursed by Social Security
Special Leave for Women 2 months All female staff who undergo surgery caused by gynecological disorders
Paternity Leave 7 working days
up to 14 working days
All male staff
Additional 7 days if wife can transfer from maternity leave
Solo Parents Leave 7 working days All staff with 1 years' service
Leave for Victims of Violence Against Women and Their Children 10 working days All female staff who have suffered violence, to attend to medical and legal concerns
Sick Leave 12 working days
Up to 15 working days
All staff 12 days for 1st 2 years' service
All staff 1 day for each completed year's service

Reference

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