Philippines Withholding Tax Calculator (BIR RR 11-2018 Annex

Monthly Gross Compensation	Taxable Pay per Period	Withholding Tax per Period	Net Take-Home per Period
PHP 15000/month	PHP 13675.00	PHP 0.00	PHP 13675.00
PHP 25000/month	PHP 22925.00	PHP 313.80	PHP 22611.20
PHP 35000/month	PHP 32175.00	PHP 1701.30	PHP 30473.70
PHP 45000/month	PHP 41925.00	PHP 3593.40	PHP 38331.60
PHP 55000/month	PHP 51675.00	PHP 5543.40	PHP 46131.60
PHP 65000/month	PHP 61425.00	PHP 7493.40	PHP 53931.60
PHP 75000/month	PHP 71175.00	PHP 9668.80	PHP 61506.20
PHP 85000/month	PHP 80925.00	PHP 12106.30	PHP 68818.70
PHP 95000/month	PHP 90675.00	PHP 14543.80	PHP 76131.20
PHP 105000/month	PHP 100550.00	PHP 17012.55	PHP 83537.45
PHP 115000/month	PHP 110550.00	PHP 19512.55	PHP 91037.45
PHP 125000/month	PHP 120550.00	PHP 22012.55	PHP 98537.45

Quick Answer: An employee earning PHP 30,000 a month on a monthly payroll has PHP 2,450 of mandatory contributions deducted, leaving PHP 27,550 of taxable compensation, and PHP 1,007.55 is withheld each pay period. Net take-home is PHP 26,542.45 a month, and the annual withholding comes to PHP 12,090.60.

Overview

Philippine employers do not simply guess at payroll tax. They read a prescribed table, published by the Bureau of Internal Revenue as Annex "E" to Revenue Regulations No. 11-2018, and headed "Effective January 1, 2023 and onwards". That table exists in four versions, one for each payroll frequency, and each version has six columns: an exempt band and five bands carrying a fixed peso amount plus a marginal rate on the excess.

This calculator reproduces the monthly and semi-monthly versions of that table exactly. It also does the step that comes before the table, which is where most manual calculations go wrong: deducting your mandatory SSS, PhilHealth and Pag-IBIG contributions from gross pay. Those contributions are excluded from taxable compensation, so the withholding table is read against a smaller figure than your salary.

The calculator derives all three contributions for you from your monthly pay, using the same engine as the dedicated SSS, PhilHealth and Pag-IBIG pages on this site. If your payslip shows different figures, or if a contribution schedule has moved since this page was built, a manual override lets you enter the combined figure straight from your payslip instead.

One thing worth understanding at the outset: withholding is an estimate, not a final tax. Your employer performs a year-end annualization in December that reconciles what was withheld against what you actually owe on the year, producing a refund or a small balance due. A month with a large taxable bonus, or a mid-year raise, will make the running withholding diverge from the annual liability.

How This Is Calculated

First the contributions are derived from your monthly compensation, then everything is converted to the chosen pay period. Because Annex "E" publishes separate tables for each frequency, the monthly figures are annualized and then divided by the number of periods that frequency has:

\text{Per-Period Amount} = \frac{\text{Monthly Amount} \times 12}{\text{Periods per Year}}

For a monthly payroll that leaves every figure unchanged. For a semi-monthly payroll, with 24 periods a year, it halves them.

Taxable compensation for the period is then:

\text{Taxable Pay} = \text{Gross Pay} - \text{Mandatory Contributions} - \text{Non-Taxable Benefits}

And the withholding is read off the Annex "E" table for that frequency, where each band carries a prescribed amount and a marginal rate on the excess over its floor:

\text{Withholding Tax} = \text{Prescribed Amount} + \left(\text{Taxable Pay} - \text{Band Floor}\right) \times \text{Marginal Rate}

The monthly table's six bands are: exempt up to PHP 20,833; 15% of the excess over PHP 20,833 up to PHP 33,332; PHP 1,875.00 plus 20% of the excess over PHP 33,333 up to PHP 66,666; PHP 8,541.80 plus 25% of the excess over PHP 66,667 up to PHP 166,666; PHP 33,541.80 plus 30% of the excess over PHP 166,667 up to PHP 666,666; and PHP 183,541.80 plus 35% of the excess over PHP 666,667.

The semi-monthly table follows the same shape with halved thresholds: exempt up to PHP 10,417, then bands starting at PHP 10,417, PHP 16,667, PHP 33,333, PHP 83,333 and PHP 333,333.

Net take-home is then gross pay less contributions less the withholding tax.

Worked Example

An employee earns PHP 30,000 a month and is paid monthly, with no non-taxable benefits.

Step 1: Compute the SSS employee share.

A PHP 30,000 salary maps to a Monthly Salary Credit of PHP 30,000, split PHP 20,000 to Regular Social Security and PHP 10,000 to the Mandatory Provident Fund, both charged at the 5% employee rate.

(20{,}000 \times 5\%) + (10{,}000 \times 5\%) = 1{,}000 + 500 = 1{,}500

SSS employee share: PHP 1,500.00

Step 2: Compute the PhilHealth employee share.

30{,}000 \times 5\% = 1{,}500, \qquad 1{,}500 \div 2 = 750

PhilHealth employee share: PHP 750.00

Step 3: Compute the Pag-IBIG employee share.

The fund salary is capped at PHP 10,000, charged at 2%.

10{,}000 \times 2\% = 200

Pag-IBIG employee share: PHP 200.00

Step 4: Total the mandatory contributions.

1{,}500 + 750 + 200 = 2{,}450

Total monthly contributions: PHP 2,450.00

Step 5: Compute taxable compensation for the period.

30{,}000 - 2{,}450 - 0 = 27{,}550

Taxable compensation: PHP 27,550.00

Step 6: Locate the Annex "E" band.

PHP 27,550 falls in the monthly table's second column, "PHP 20,833 to PHP 33,332", which prescribes nil plus 15% of the excess over PHP 20,833.

Marginal rate: 15%. Prescribed amount: PHP 0.00

Step 7: Compute the excess over the band floor.

27{,}550 - 20{,}833 = 6{,}717

Excess over the floor: PHP 6,717.00

Step 8: Apply the marginal rate.

6{,}717 \times 15\% = 1{,}007.55

Withholding tax per period: PHP 1,007.55

Step 9: Compute net take-home.

30{,}000 - 2{,}450 - 1{,}007.55 = 26{,}542.45

Net take-home: PHP 26,542.45 a month

What This Does Not Account For

Year-end annualization. Withholding is provisional. Your employer reconciles it against your actual annual liability in December, which can produce a refund or a balance due. The annual figure shown here is simply the per-period tax multiplied by the number of periods, not a computed annual liability.
13th month pay and bonuses. These are annual benefits with their own PHP 90,000 exclusion ceiling under Section 32(B)(7)(e), handled separately from regular monthly withholding. Do not enter them in the non-taxable benefits field, which is for recurring monthly items.
The daily and weekly Annex "E" tables. Both exist in the regulation and both are implemented in the underlying engine, but the calculator does not offer them, because converting a monthly salary onto a daily or weekly basis requires an assumed number of working days or weeks per year that the regulation does not fix. Choosing one would be an assumption dressed up as a rule.
Whether the contribution schedules are current. The derived contributions use the schedules described on the SSS, PhilHealth and Pag-IBIG pages of this site, including the caveat that the published PhilHealth schedule stops at calendar year 2025. If any of them has changed, use the manual override.
De minimis benefit limits. Non-taxable benefits are taken at whatever figure you enter. The calculator does not test them against the per-benefit ceilings the BIR prescribes.
Substituted filing eligibility. Whether you can rely on your employer's annualization instead of filing your own return depends on conditions this calculator does not evaluate.
Minimum wage earners. Statutory minimum wage earners are exempt from income tax on their basic wage, holiday pay, overtime, night differential and hazard pay. That exemption is not modelled.

Common Pitfalls

Reading the table against gross pay. The single most common error. Mandatory contributions come out first, and for a PHP 30,000 earner that is PHP 2,450 less to be taxed.
Using the 2018 to 2022 withholding table. RR 11-2018 published two tables. The current one is headed "Effective January 1, 2023 and onwards" and produces materially lower withholding.
Halving the monthly withholding to get the semi-monthly figure. It is close but not exact, because the two tables round their thresholds independently. Read the semi-monthly table directly, as this calculator does.
Expecting the annual withholding to equal the annual tax. It rarely does exactly. Annualization at year end settles the difference.
Assuming a salary below PHP 20,833 always means zero withholding. The exempt threshold applies to taxable pay after contributions, so a somewhat higher gross salary can still fall under it. A PHP 22,000 salary, for example, nets down to PHP 20,150 of taxable pay and is withheld at nil.

Frequently Asked Questions

How is withholding tax on compensation computed in the Philippines?

Deduct your mandatory SSS, PhilHealth and Pag-IBIG contributions and any non-taxable benefits from gross pay, then read the resulting taxable compensation against the BIR withholding table for your payroll frequency in Annex "E" of RR 11-2018.

What salary is exempt from withholding tax?

On a monthly payroll, taxable compensation of PHP 20,833 or less is withheld at nil. Because contributions are deducted first, a gross salary somewhat above that figure can still produce no withholding.

Which BIR withholding table is current?

The one in Annex "E" of Revenue Regulations No. 11-2018 headed "Effective January 1, 2023 and onwards". The earlier table in the same annex covered 2018 through 2022 and should not be used.

Why is my withholding tax different from my annual income tax?

Withholding is a running estimate applied period by period. Your annual liability is computed on the whole year, including annual benefits and their exclusions, and your employer's December annualization reconciles the two.

Are SSS, PhilHealth and Pag-IBIG deducted before withholding tax?

Yes. All three employee-side contributions are excluded from taxable compensation, so they reduce the base the withholding table is read against.

Does this calculator handle semi-monthly payroll?

Yes. Selecting a semi-monthly period converts every monthly figure to a per-period amount and reads the semi-monthly Annex "E" table, which has its own separately rounded thresholds.

Sources

Bureau of Internal Revenue, Revenue Regulations No. 11-2018, Annex "E", "REVISED WITHHOLDING TAX TABLE, Effective January 1, 2023 and onwards". All four frequency tables, their compensation ranges, prescribed withholding amounts and marginal rates were transcribed from this document. https://bir-cdn.bir.gov.ph/local/pdf/Annex%20E%20RR%2011-2018.pdf (read 31 August 2026)
Social Security System, Circular No. 2024-006, "Schedule of SSS Contributions Effective January 2025". https://www.sss.gov.ph/wp-content/uploads/2024/12/CI-2024-006-Publication.pdf (read 31 August 2026)
PhilHealth Circular No. 2019-0009 premium contribution schedule under Republic Act No. 11223, whose final published band covers calendar years 2024 to 2025. https://www.philhealth.gov.ph/partners/employers/ContributionTable_v2.pdf (read 31 August 2026)
HDMF Circular No. 460, Pag-IBIG membership savings rates and the PHP 10,000 Maximum Fund Salary effective February 2024, issued under Section 7 of Republic Act No. 9679.
Republic Act No. 10963 (TRAIN), the statutory basis for the rate structure the withholding table implements. https://lawphil.net/statutes/repacts/ra2017/ra_10963_2017.html (read 31 August 2026)

Philippines Withholding Tax Calculator (BIR RR 11-2018 Annex E, Monthly and Semi-Monthly)

Assumptions

Preset scenarios

Payoff trajectory

Withholding Tax Across the Salary Range