Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
₱ 20,904
SSS
- ₱ 801
PhilHealth
- ₱ 1,650
Pagibig
- ₱ 394
Total tax
- ₱ 2,845
Net pay
* ₱ 18,059
Marginal tax rate
9.9%
Average tax rate
13.6%
86.4%
Net pay
13.6%
Total tax
Total tax
Net pay
The Taxberg
₱ 18,059
Net pay
₱ 3,557
Tax the employer pays
₱ 2,845
Tax you pay
Total tax paid
₱ 6,402
Did you know your employer also pays tax on your salary? It costs the employer ₱ 3,557 to pay you ₱ 20,904. In other words, every time you spend ₱ 10 of your hard-earned money, ₱ 3.06 goes to the government.
Real tax rate
26.2%
So, with you and the employer both paying tax, what used to be a 13.6% tax rate now rises to 26.2%, meaning your real tax rate is actually 12.6% higher than what it seemed at first.
Summary
If you make ₱ 20,904 a year living in Philippines, you will be taxed ₱ 2,845. That means that your net pay will be ₱ 18,059 per year, or ₱ 1,505 per month. Your average tax rate is 13.6% and your marginal tax rate is 9.9%. This marginal tax rate means that your immediate additional income will be taxed at this rate. For instance, an increase of ₱ 100 in your salary will be taxed ₱ 9.86, hence, your net pay will only increase by ₱ 90.14.
Bonus Example
A ₱ 1,000 bonus will generate an extra ₱ 901 of net incomes. A ₱ 5,000 bonus will generate an extra ₱ 4,507 of net incomes.
North America
Country 
Net pay
Average tax
Rank
Canada
PHP 20574
1.6%
1
USA
PHP 19094
8.7%
2
Middle East
Country 
Net pay
Average tax
Rank
Saudi Arabia
PHP 20904
0.0%
1
United Arab Emirates
PHP 19859
5.0%
2
Qatar
PHP 19859
5.0%
3
Egypt
PHP 19374
7.3%
4
Bahrain
PHP 19232
8.0%
5
Oman
PHP 19231
8.0%
6
Lebanon
PHP 18771
10.2%
7
Kuwait
PHP 18605
11.0%
8
Israel
PHP 18155
13.2%
9
Turkey
PHP 17610
15.8%
10
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NOTE* Withholding is calculated based on the tables of Philippines, income tax. For simplification purposes some variables (such as marital status and others) have been assumed. This document does not represent legal authority and shall be used for approximation purposes only.