A 13th month pay calculator for the Philippines
This 13th month pay calculator follows the rule in Presidential Decree No. 851: your 13th month pay is one-twelfth of the total basic salary you earned during the calendar year. It handles a full year, a prorated amount if you joined, resigned or were let go mid-year, and unpaid absences that reduce the basic salary you actually earned.
It also checks the TRAIN-law tax exemption: 13th month pay and other benefits are tax-free up to ₱90,000 in total, and you can estimate the tax on anything above that. Everything stays in your browser.
How to use the 13th Month Pay Calculator
- Choose “Same every month” if your basic pay did not change, or “Month by month” if it did.
- Enter your monthly basic salary and the months you worked this year (prorated if fewer than 12).
- Add any unpaid absences in days and pick 261, 313 or 365 paid days a year, so the daily rate matches your payroll.
- Optionally enter other bonuses this year and your annual taxable compensation to see the taxable excess and the tax on it.
- Read your 13th month pay and the step-by-step computation, and copy it if you want to check it with HR.
13th Month Pay Calculator features
PD 851 formula
Total basic salary earned in the calendar year divided by 12.
Prorated pay
Partial years for new hires and people who resigned or were dismissed.
Unpaid absences
Days of leave without pay deducted at your daily rate.
Month-by-month entry
For salary increases, unpaid months or variable basic pay.
₱90,000 tax check
Taxable excess and an estimate of the tax using the 2023-onwards rates.
How to compute 13th month pay
13th month pay = total basic salary earned in the year ÷ 12. Basic salary means pay for work done; it normally excludes overtime, premium and holiday pay, night-shift differential, cost-of-living allowances, profit sharing and cash conversions of unused leave, unless your employer counts them as part of basic pay.
Full year: ₱25,000 a month × 12 = ₱300,000 ÷ 12 = ₱25,000. Prorated: hired in June and paid ₱25,000 for 7 months = ₱175,000 ÷ 12 = ₱14,583.33. With absences: 3 unpaid days at ₱25,000 × 12 ÷ 261 = ₱1,149.43 a day lowers basic salary earned by ₱3,448.28, so the 13th month pay becomes ₱24,712.64.
Is 13th month pay taxable?
Under the National Internal Revenue Code as amended by RA 10963 (TRAIN), 13th month pay and other benefits — Christmas and mid-year bonuses, productivity incentives and similar — are excluded from gross income up to ₱90,000 in total each year. Only the amount above ₱90,000 is added to your taxable compensation.
| Annual taxable income | Income tax (from 1 January 2023) |
|---|---|
| Up to ₱250,000 | 0% |
| ₱250,000 – ₱400,000 | 15% of the excess over ₱250,000 |
| ₱400,000 – ₱800,000 | ₱22,500 + 20% of the excess over ₱400,000 |
| ₱800,000 – ₱2,000,000 | ₱102,500 + 25% of the excess over ₱800,000 |
| ₱2,000,000 – ₱8,000,000 | ₱402,500 + 30% of the excess over ₱2,000,000 |
| Over ₱8,000,000 | ₱2,202,500 + 35% of the excess over ₱8,000,000 |
Who gets 13th month pay
- All rank-and-file employees in the private sector who worked at least one month in the calendar year, whatever their status or how they are paid.
- Employees who resigned, were dismissed or are on maternity leave are owed a proportionate amount.
- Pay it on or before 24 December; employers may pay half earlier in the year.
- Check your monthly contributions with the SSS contribution calculator.
13th Month Pay Calculator FAQ
How do I use this 13th month pay calculator for the Philippines?
Enter your monthly basic salary and the months worked, add any unpaid absences, and read the result. Use “Month by month” if your basic pay changed during the year.
How is 13th month pay prorated?
You receive one-twelfth of the basic salary you actually earned. Seven months at ₱25,000 gives ₱175,000 ÷ 12 = ₱14,583.33.
Do absences reduce my 13th month pay?
Unpaid absences do, because they lower the basic salary you earned. Paid leave does not.
Is overtime included in 13th month pay?
Normally no. Overtime, holiday pay, night differential and allowances are not part of basic salary unless your employer includes them.
Is 13th month pay tax-free?
Up to ₱90,000 together with your other bonuses and benefits. Anything above is taxed with your regular pay.
When must 13th month pay be paid?
On or before 24 December each year.