Payroll deductions in the Philippines for 2026
| Deduction | Employee | Employer | Salary base |
|---|---|---|---|
| SSS (incl. MPF) | 5% | 10% + EC ₱10/₱30 | MSC ₱5,000 – ₱35,000 |
| PhilHealth | 2.5% | 2.5% | Basic salary, floor ₱10,000, ceiling ₱100,000 |
| Pag-IBIG (HDMF) | 2% (1% if ≤ ₱1,500) | 2% | Max fund salary ₱10,000 (₱200 cap each) |
SSS: the 15% rate took effect on 1 January 2025 (SSS Circular 2024-006, final step under RA 11199) and still applies in 2026. Your Monthly Salary Credit rises in ₱500 steps — below ₱5,250 it is ₱5,000, and from ₱34,750 it is the ₱35,000 maximum. The part of the MSC above ₱20,000 goes to the Mandatory Provident Fund. Employee share: ₱250 to ₱1,750.
PhilHealth: 5% premium shared equally (UHC Act, RA 11223), on basic salary between ₱10,000 and ₱100,000, so the employee pays ₱250 to ₱2,500 a month. Pag-IBIG: maximum fund salary of ₱10,000 since February 2024 (HDMF Circular No. 460).
BIR withholding tax table (1 January 2023 onwards)
| Monthly taxable pay | Withholding tax |
|---|---|
| ₱20,833 and below | ₱0 |
| ₱20,833 – ₱33,332 | 15% of excess over ₱20,833 |
| ₱33,333 – ₱66,666 | ₱1,875 + 20% of excess over ₱33,333 |
| ₱66,667 – ₱166,666 | ₱8,541.80 + 25% of excess over ₱66,667 |
| ₱166,667 – ₱666,666 | ₱33,541.80 + 30% of excess over ₱166,667 |
| ₱666,667 and above | ₱183,541.80 + 35% of excess over ₱666,667 |
Annual equivalent: ₱0 up to ₱250,000; 15% up to ₱400,000; ₱22,500 + 20% up to ₱800,000; ₱102,500 + 25% up to ₱2,000,000; ₱402,500 + 30% up to ₱8,000,000; ₱2,202,500 + 35% above. Taxable pay = gross taxable pay minus your SSS, PhilHealth and Pag-IBIG shares. The 13th month and other benefits are tax-free up to ₱90,000 a year.
FAQ
How much is the take-home pay of ₱30,000 a month in 2026?
About ₱26,542.45. Deductions are SSS ₱1,500, PhilHealth ₱750, Pag-IBIG ₱200 and withholding tax ₱1,007.55 (15% of ₱27,550 − ₱20,833).
What is the SSS contribution for 2026?
15% of your Monthly Salary Credit: 5% from you and 10% from your employer. The MSC runs from ₱5,000 to ₱35,000, so the employee share is ₱250 to ₱1,750 a month.
Is the Pag-IBIG contribution still ₱200?
Yes. Since February 2024 the maximum fund salary is ₱10,000, so the mandatory employee share is 2% × ₱10,000 = ₱200 and the employer adds another ₱200.
Up to what salary is there no income tax?
Taxable pay of ₱20,833 a month (₱250,000 a year) or less has no withholding tax. Because SSS, PhilHealth and Pag-IBIG are deducted first, a basic salary of up to about ₱22,750 a month pays no withholding tax.
Sources (checked 5 November 2026): SSS Circular No. 2024-006, schedule of contributions effective January 2025 (sss.gov.ph); PhilHealth Advisory No. 2025-0002 and RA 11223 — 5% premium, ₱10,000 floor, ₱100,000 ceiling (philhealth.gov.ph); HDMF Circular No. 460, maximum fund salary ₱10,000 from February 2024 (pagibigfund.gov.ph); BIR Revenue Regulations No. 11-2018, Annex E withholding tax table effective 1 January 2023, and RA 10963 (TRAIN) (bir.gov.ph). No change to these rates had been announced for 2026.