How To Compute 13th-Month Pay

Christmas Season is a time for giving especially for Filipino people. Good thing is that the government makes the 13th month pay mandatory. Regardless of their employment status as long as they worked for at least one month, they are entitled to get the 13th-month pay. So it is important to know how to Compute 13th-Month Pay.

13th Month Pay Inclusions:
-Maternity Leave
-Sick Leave
-Vacation Leave
-Basic Pay

Exclusions:
-Allowance
-Over-time
–Bonuses
-Incentives
-Holiday
-Unpaid Leave or Absences

How To Compute 13th Month Pay:

Annual Basic Salary /12 months = 13th-month pay

Get the sum of your basic salary for the calendar year then divide it by twelve months.

However, if the employee didn’t get to finish the whole year and resigned. They will still be entitled to get a 13th-month pay, but not will the annual amount basic salary. Here’s how to compute it.

Basic Salary X Months of employment / 12 = 13th month pay

When to get the 13th-month pay?
You will be entitled to get your 13th-month pay on or before December 24 every year. In some instances, employees get their 13th-month pay as soon as the first or second of December.

What if the employer failed to give the 13th-month pay?
If your employer failed to give you the 13th-month pay, you can file a case against them. Failure to provide the benefit can be subjective to administrative cases. If you experience those, you can file a case directly to the Department of Labor and Employment (DOLE).

Every employee deserves a wonderful holiday. Make sure to get your 13th-month pay benefit and make the most out of it. You deserve it for giving the best at your job.