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13th Month Pay Calculator Philippines (2026)

Compute your mandatory 13th month pay based on Presidential Decree No. 851. Works for full-year and partial-year employees. Shows your tax-exempt portion.

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Formulas are reviewed and updated about every 2 weeks.

Popular 13th month examples

Open exact 13th month pay computations for common salary and months-worked scenarios.

₱15,000 for 12 months₱20,000 for 12 months₱25,000 for 12 months₱30,000 for 12 months₱50,000 for 12 months₱50,000 for 6 months

Understanding 13th Month Pay

The 13th month pay was mandated by Presidential Decree No. 851 signed on December 16, 1975. It is a statutory bonus that all private sector rank-and-file employees are entitled to receive, equivalent to one-twelfth (1/12) of their total basic salary earned during the calendar year.

Under the TRAIN Law (RA 10963), 13th month pay and bonuses are tax-exempt up to ₱90,000 per year. This means if your 13th month pay is ₱20,000, you pay no tax on it. Only the amount exceeding ₱90,000 across all bonuses is taxable.

Sources & references

Related

→ 13th month pay guide→ Salary Calculator→ Overtime Pay→ Minimum Wage

13th Month Pay FAQs

How is 13th month pay computed in the Philippines?
Under Presidential Decree No. 851, the 13th month pay is computed as: Total Basic Salary Earned During the Year ÷ 12. For example, if your basic monthly salary is ₱20,000 and you worked the full 12 months, your 13th month pay is ₱20,000.
When should 13th month pay be given?
Employers are required to pay the 13th month pay on or before December 24 of each year. Some employers give it in two tranches: one before Holy Week and one before Christmas.
Is 13th month pay taxable in the Philippines?
The 13th month pay is tax-exempt up to ₱90,000 per year under the TRAIN Law (RA 10963). This ₱90,000 exemption covers all 13th month pay AND other bonuses combined. Any amount above ₱90,000 is subject to income tax.
Who is entitled to 13th month pay?
All rank-and-file employees in the private sector who have worked for at least one (1) month during the calendar year are entitled to 13th month pay, regardless of their position, employment status, or how they are paid (daily, weekly, or monthly).
Are managerial employees entitled to 13th month pay?
Technically, managerial employees are not covered by the mandatory 13th month pay under PD 851. However, many companies voluntarily extend this benefit to all employees including managers. Check your employment contract or company policy.
What if I resigned before year-end? Do I still get 13th month pay?
Yes. Employees who resigned, were separated, or terminated are entitled to their proportionate 13th month pay based on the number of months they actually worked. For example, if you worked 6 months, you are entitled to 6/12 (50%) of your basic salary.