Under Presidential Decree No. 851, thirteenth-month pay does not increase regular wage-based contributions to the Social Security System.
Does thirteenth-month pay affect contributions to the Social Security System? Read More »
Thirteenth-month pay may be subject to income tax under Republic Act No. 10963 if it exceeds the maximum statutory exemption.
Is the thirteenth-month pay subject to income tax? Read More »
Under Republic Act No. 10963, thirteenth-month pay and other equivalent benefits are tax-exempt up to a total of ₱90,000.00.
What is the maximum tax-exempt limit for the thirteenth-month pay and other benefits? Read More »
Presidential Decree No. 851 strictly prohibits payment deferments and requires employers to submit an online compliance report by January 15.
The Supreme Court ruled that commissions are excluded from basic salary for thirteenth-month computations under Presidential Decree No. 851.
What is the definition of basic pay for purposes of computing the 13th month pay? Read More »
Presidential Decree No. 851 entitles employees working for multiple private firms to thirteenth-month pay from all their respective employers.
Are employees with multiple employers entitled to thirteenth-month pay from all of them? Read More »
Under Presidential Decree No. 851, separated or resigned employees remain legally entitled to their proportionate thirteenth-month pay.
Is a resigned or separated employee still entitled to thirteenth-month pay? Read More »
A resigned employee’s thirteenth-month pay is computed proportionately based on months worked prior to separation under Presidential Decree No. 851.
Under Republic Act No. 11210, salary differentials received during maternity leave are included in computing an employee’s thirteenth-month pay.
How is thirteenth-month pay computed for a female employee who was on maternity leave? Read More »
Presidential Decree No. 851 dictates that thirteenth-month pay is not part of the regular wage for computing overtime or premiums.
