Below is a practitioner-style primer on mandatory statutory contribution rates in the Philippines for calendar year 2025—covering the Social Security System (SSS), Employees’ Compensation (EC), PhilHealth, and the Home Development Mutual Fund (Pag-IBIG)—together with the core legal bases, coverage rules, payment mechanics, and penalty regimes employers and workers must know.
1. Statutory framework at a glance
| Program | Governing law | Who must enroll | 2025 rate & salary base | Typical cost-sharing |
|---|---|---|---|---|
| SSS (retirement, disability, sickness, etc.) | Rep. Act 11199 (2018); SSS Circular CI-2024-006 | Private-sector employees, household helpers, self-employed, OFWs | 15 % of MSC up to ₱35,000 | Employer 10 % • Employee 5 % |
| Employees’ Compensation (EC) | P.D. 626 (1974), as amended | Same workers covered by SSS | Flat ₱10 (MSC ≤ ₱14,500) or ₱30 (MSC ≥ ₱15,000) | Employer 100 % |
| PhilHealth (UHC premium) | Rep. Act 11223 (2019) §10; PhilHealth Circular 2019-0009 | All Filipino citizens & foreign employees | 5 % of monthly basic salary, floor ₱10,000 / ceiling ₱100,000 | Employer 50 % • Employee 50 % |
| Pag-IBIG (HDMF “savings”) | Rep. Act 9679 (2009); HDMF Circular 460 (15 Jan 2024) | All employees (incl. kasambahay) & self-employed ≥ ₱1,000/mo. | Up to 2 % of MFS ₱10,000 (max ₱200) | Employer 1 – 2 % • Employee 1 – 2 % |
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2. Social Security System (SSS)
2.1 2025 contribution schedule
RA 11199 hard-codes a one-percentage-point increase every other year until the combined rate hits 15 % in 2025. SSS Circular CI-2024-006 and SSC Resolution No. 560-s.2024 confirm that, effective 1 January 2025, the:
- Contribution rate rises to 15 % (10 % employer / 5 % employee).
- Monthly Salary Credit (MSC) band jumps to ₱5,000–₱35,000.
- Minimum monthly remittance: ₱760 (₱250 EE + ₱510 ER incl. EC).
- Maximum monthly remittance: ₱5,280 (₱1,750 EE + ₱3,530 ER incl. EC). citeturn0search5turn4view0
2.2 Special membership types
| Category | Rate basis | Who pays |
|---|---|---|
| Self-employed & voluntary | Same 15 % of declared average monthly income (₱4,000–₱35,000) | Member 100 % |
| OFWs | 1. Mandatory ₱8,000 MSC floor; 2. Same 15 % formula | Member 100 % |
| Non-working spouse | 50 % of working spouse’s MSC | Spouse-member |
2.3 EC premium (work-related contingencies)
The EC levy is in addition to the 15 % SSS premium and is ₱10 or ₱30 per employee (employer-only). The rates have been unchanged since 2007. citeturn3search2
2.4 Payment deadlines & penalties
| Filing channel | Due date |
|---|---|
| ER ID ending 0–4 | last day of following month |
| ER ID ending 5–9 | 15th of following month |
Late payment interest: 2 % per month plus possible criminal fines (RA 11199 §28).
3. PhilHealth
3.1 Premium rate for 2024 – 2025
After a one-year freeze in 2023, PhilHealth implemented the 5 % rate in 2024 in fulfillment of the Universal Health Care Act; the rate remains at 5 % for 2025. The salary ceiling is ₱100,000, the floor ₱10,000, effectively producing monthly premiums from ₱500 to ₱2,500, split 50-50 between employer and employee. citeturn2search2turn4view0
3.2 Coverage notes
- Household employers must shoulder the full premium of kasambahays earning < ₱5,000 (RA 10361).
- Land-based OFWs pay the full 5 % themselves through accredited collection partners or e-payment channels; sea-based OFWs split the premium with their manning agency.
- Senior citizens not gainfully employed are covered by the national government (RA 10645).
3.3 Remittance & penalties
Employers file the Electronic Premium Remittance Schedule (EPRS) and pay on or before the 15th of the month following the applicable period. Failure incurs interest of 3 % per month, plus ₱5,000–₱10,000 per affected employee and potential imprisonment of up to six years (PhilHealth Circular 003-2015).
4. Home Development Mutual Fund (Pag-IBIG)
4.1 Higher salary ceiling and doubled maximum contribution
HDMF Circular 460 (effective February 2024) raised the Maximum Fund Salary (MFS) to ₱10,000 and—because the percentage rate is applied only up to that MFS—doubled the maximum monthly contribution from ₱100 to ₱200 each for employer and employee. Rates:
- Employees earning ≤ ₱1,500 → EE 1 %, ER 2 % (₱30 max).
- Employees earning > ₱1,500 → EE 2 %, ER 2 % (₱200 max). citeturn4view0turn1search7
4.2 Kasambahay rule
Under RA 10361 the employer shoulders the entire Pag-IBIG share of household workers earning < ₱5,000.
4.3 Payment timing & interest
Pag-IBIG assigns staggered deadlines (10th–24th of the month following) based on the first letter of the employer’s name; late remittances bear monthly interest of 1 % of the unpaid amount plus possible surcharge (HDMF Charter §21). citeturn1search4
5. Government employees (GSIS snapshot)
For completeness, note that career civil servants and uniformed personnel are not covered by SSS but by the Government Service Insurance System (GSIS) under RA 8291; the 2025 mandatory premium remains 21 % of compensation (9 % employee, 12 % government agency).
6. Compliance checklist for employers
- Enroll every new hire with SSS, PhilHealth and Pag-IBIG within 30 days of employment.
- Withhold & match the correct percentages each payroll cut-off.
- Use on-line payment portals (e-Gov PH Super App, SSS PRN, PhilHealth EPRS, Pag-IBIG Virtual).
- Keep proofs of payment for ten (10) years; agencies often audit un-remitted periods.
- Report separated employees within 30 days to avoid accruing premiums improperly.
- Watch for annual circulars—SSS issues contribution tables every December; Pag-IBIG and PhilHealth circulars sometimes adjust ceilings mid-year.
7. What may change after 2025?
- SSS – RA 11199 gives the Social Security Commission power to hike the MSC ceiling further (to reflect wage inflation). A study on merging EC and SSS collection streams is pending Senate review.
- PhilHealth – Bills in both Houses propose freezing the premium at 5 % through 2027; Congress also seeks to tie future increases to actuarial studies and congressional oversight. citeturn2search5
- Pag-IBIG – HDMF has signaled a possible rate step-up to 3 % beginning 2027 once housing loan demand exceeds funding capacity.
Employers should monitor agency advisories and set up payroll system flags for automatic updates.
Key take-away
By January 2025 the “big three” Philippine social-benefit contributions will cost a combined 22 % of a private-sector worker’s covered pay (15 % SSS + 5 % PhilHealth + up to 2 % Pag-IBIG), plus the flat EC levy. Staying current with the rate schedules, salary ceilings, and remittance mechanics is essential to avoid hefty penalties and to secure employees’ benefits under Philippine law.