How to Calculate Employee Leave Credits in the Philippines
Leave credit math follows the company’s configured policy except where a statute fixes the benefit. Accrual, proration, rounding, and conversion should be written down.
Read ArticleArticles related to payroll processing, payroll software, and pay calculation.
Leave credit math follows the company’s configured policy except where a statute fixes the benefit. Accrual, proration, rounding, and conversion should be written down.
Read ArticleDaily and hourly rates depend on the salary conversion method your company documents. Different classifications and schedules can use different factors.
Read ArticleLeave pay depends on the leave type, whether it is paid, and the daily rate method the company uses. Statutory benefits and company benefits are not interchangeable.
Read ArticlePag-IBIG mandatory savings are a percentage of monthly compensation up to the official Maximum Fund Salary. Amounts above that ceiling do not increase the mandatory deduction.
Read ArticleWalk through Philippine payroll from basic salary to net pay, including absences, overtime, holiday premiums, night differential, and government deductions.
Read ArticlePhilHealth contribution starts from monthly basic salary, applies the current premium rate, then splits the result between employee and employer unless a special rule applies.
Read ArticleSSS contribution is not a flat percentage of every peso earned. Find the applicable compensation, read the MSC, then apply employee, employer, EC, and MPF amounts.
Read ArticleA ₱30,000 monthly salary produces separate SSS, PhilHealth, and Pag-IBIG amounts. Add them with other authorized deductions to see how net pay is built.
Read ArticleMonthly-paid and daily-paid employees are not computed the same way. Payroll software should not assume every employee uses the same salary divisor.
Read ArticleMandatory Pag-IBIG contributions use a percentage of monthly compensation up to the Maximum Fund Salary, with a separate employer counterpart that cannot be charged to the employee.
Read ArticlePhilHealth premiums for direct contributors remain at 5% of monthly basic salary, subject to the official income floor and ceiling in the current advisory.
Read ArticlePayroll deductions are not all the same. Statutory contributions follow government rules; company loans and similar items need employee authorization.
Read ArticleSick leave is commonly provided by company policy, not as a universal Labor Code mandate. Track it separately from SIL and apply the payroll rule your policy states.
Read ArticleThe SSS contribution schedule effective January 2025 uses a 15% rate, MSC up to ₱35,000, an employer-funded EC amount, and MPF on compensation above ₱20,000.
Read ArticleRest day pay depends on the employee’s schedule, whether work was required, and how many hours were rendered. Clear rest-day records prevent payroll disputes.
Read ArticleNight differential pay is an additional amount for work performed during the night-shift window. Payroll needs accurate time records to apply it correctly.
Read ArticleWhen timekeeping and payroll share one set of employee records, cutoff becomes a review process instead of a reconstruction project.
Read ArticleHoliday pay in the Philippines depends on the holiday type, whether the employee worked, and whether they were present on the related workdays required by the rules.
Read ArticleManual payroll can appear cheaper until cutoff week arrives. Automated payroll applies consistent rules, keeps an audit trail, and shortens review cycles.
Read ArticlePayroll automation applies the same pay rules to approved time and employee records, reducing repetitive calculations and last-minute spreadsheet work.
Read ArticlePayroll software turns employee records, time data, and pay rules into calculated results, payslips, and files that finance teams can review and release.
Read ArticleOvertime pay in the Philippines depends on when the work happened, whether the day was a rest day or holiday, and whether the hours were properly authorized.
Read ArticlePayroll is only as accurate as the time records behind it. A timekeeping system reduces missing punches, unclear overtime, and last-minute DTR cleanup.
Read ArticleA payroll system for Philippine businesses needs more than basic salary math. It must handle timekeeping, statutory contributions, and local pay rules.
Read ArticleManual logs can work for a very small team. Automated timekeeping becomes more reliable as branches, shifts, and payroll rules grow more complex.
Read ArticleA payroll system calculates employee pay from time, attendance, earnings, and deductions so finance and HR teams can run payroll with a repeatable process.
Read ArticleA timekeeping system records when employees work so HR and payroll teams can prepare attendance, overtime, and pay with fewer manual reconstructions.
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