13th Month Pay

Employment

A mandatory extra payment given to rank-and-file employees in the Philippines, equal to one-twelfth of the basic salary earned within a calendar year. Employers must release it on or before December 24. It is separate from a Christmas bonus, which is voluntary. Even resigned or terminated workers are entitled to a pro-rated amount based on months worked. The first portion (currently up to a set threshold) is tax-exempt. It applies regardless of the employee's designation or how wages are paid, subject to the latest rules/guidelines.

Related Q&A

• Pro-rated ba ang 13th month pay kung mid-year lang ako nag-start?
• Legal ba na ikaltas ng employer ang tardiness sa 13th month pay ko?
• Paano computin ang 13th month pay kung hindi buong taon ako nagtrabaho?
• Bakit malaki ang tax deduction sa 13th month pay ko, hindi ba tax-free ito?
• How to Compute 13th Month Pay as a Freelancer?
• How to Compute 13th Month Pay for Part-Time Employees in the Philippines

Related terms

SSS (Social Security System)PhilHealthPag-IBIG Fund (HDMF)Minimum Wage (per region)Regular vs Contractual (Endo)Final PayCOE (Certificate of Employment)Back Pay