Income Tax Calculator Philippines 2026
Enter your salary to estimate Philippine income tax, mandatory contributions and take-home pay for 2026.
Updated June 2026. Uses the TRAIN Law tax table (RA 10963) and the SSS, PhilHealth and Pag-IBIG schedules in force for 2026. Salary estimates use private-sector employee contributions. View each deduction and how it was calculated.
Estimate tax on your income with the annual income tax calculator.
How to calculate income tax on your salary
Your employer withholds income tax from each payslip in three steps. Here is a ₱30,000 monthly salary, worked through.
Deduct SSS, PhilHealth and Pag-IBIG
Your mandatory contributions are not taxed. On ₱30,000: SSS ₱1,500.00, PhilHealth ₱750.00 and Pag-IBIG ₱200.00, a total of ₱2,450.00. Taxable pay is ₱27,550.00 a month, or ₱330,600.00 a year.
Find your tax bracket
₱330,600.00 falls in the ₱250,000 to ₱400,000 bracket: 15% of the amount over ₱250,000, with no fixed tax.
Apply the rate to your pay period
15% of ₱80,600.00 is ₱12,090.00 for the year, or ₱1,007.50 a month. Take-home pay is ₱30,000 less ₱2,450.00 in contributions and ₱1,007.50 in tax: ₱26,542.50.
Paid twice a month, or have a 13th month pay to add? The salary tax calculator shows every payslip line per payday.
2026 BIR income tax table
The TRAIN Law schedule that took effect on January 1, 2023 still applies in 2026. It covers employees and freelancers on graduated rates.
| Annual taxable income | Income tax |
|---|---|
| ₱250,000 and below | Exempt (0%) |
| ₱250,000 to ₱400,000 | 15% of the excess over ₱250,000 |
| ₱400,000 to ₱800,000 | ₱22,500 + 20% of the excess over ₱400,000 |
| ₱800,000 to ₱2,000,000 | ₱102,500 + 25% of the excess over ₱800,000 |
| ₱2,000,000 to ₱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 |
Source: NIRC Sec 24(A)(2), as amended by RA 10963 (TRAIN Law). Compare salary withholding with the official BIR withholding tax calculator.
Tax and take-home pay at common salaries
Monthly figures for a private-sector employee with no allowances or bonuses.
| Monthly salary | SSS + PhilHealth + Pag-IBIG | Withholding tax | Take-home pay |
|---|---|---|---|
| ₱15,000 | ₱1,325.00 | ₱0.00 | ₱13,675.00 |
| ₱20,000 | ₱1,700.00 | ₱0.00 | ₱18,300.00 |
| ₱25,000 | ₱2,075.00 | ₱313.75 | ₱22,611.25 |
| ₱30,000 | ₱2,450.00 | ₱1,007.50 | ₱26,542.50 |
| ₱40,000 | ₱2,950.00 | ₱2,618.33 | ₱34,431.67 |
| ₱50,000 | ₱3,200.00 | ₱4,568.33 | ₱42,231.67 |
| ₱75,000 | ₱3,825.00 | ₱9,668.75 | ₱61,506.25 |
| ₱100,000 | ₱4,450.00 | ₱15,762.50 | ₱79,787.50 |
What is not taxed
- SSS, PhilHealth and Pag-IBIG employee contributions (NIRC Sec 32(B)(7)(f)).
- 13th month pay and bonuses up to ₱90,000 a year, combined, under NIRC Sec 32(B)(7)(e) as amended by RA 10963 (how the limit works).
- De minimis benefits within BIR limits, such as rice subsidy and uniform allowance (RR 2-98 Sec 2.78.1(A)(3), ceilings as amended by RR 29-2025).
- The statutory minimum wage of minimum wage earners, including holiday, overtime and night pay (RA 9504).
Freelancers: 8% or graduated
Eligible non-VAT freelancers within the ₱3 million threshold can elect 8% instead of graduated income tax and Section 116 percentage tax. For a purely self-employed person with no other income, ₱500,000 in receipts means ₱20,000 in annual income tax. If you also earn a salary, the ₱250,000 reduction does not apply again to your business income.
Compare both options in the income tax calculator or read 8% flat rate option.
Starting remote work? Our guide to becoming a virtual assistant in the Philippines covers skills, finding clients, comparing offers and getting registered.
Taxable salary, allowances and benefits
Check which parts of your pay count as taxable income, then use the linked guide for the full rule.
Is 13th month pay taxable?
Tax-free up to the shared ₱90,000 annual cap for 13th month pay and other similar benefits. The excess is taxable compensation.
How much salary is taxable?
Annual taxable income up to ₱250,000 is in the 0% bracket. The taxable amount is gross pay after allowed exclusions and compulsory employee contributions.
Is overtime, holiday pay or night differential taxable?
Exempt for minimum wage earners when covered by the MWE rule. For non-MWEs, these amounts are generally taxable compensation unless a specific exclusion applies.
Are allowances taxable?
Most cash allowances are taxable unless they qualify for a specific exclusion, such as a de minimis benefit within the BIR limit.
Is separation or retirement pay taxable?
It depends on the reason, plan, age, service period and whether the payment meets the exemption conditions. Do not treat final pay and tax exemption as the same question.
Are commission and service charges taxable?
Usually yes when received as compensation or income. The right to receive the payment and the tax treatment are separate checks.
Income tax and salary guides
Understand your payslip
Tax calculator frequently asked questions
Is an income tax return calculator the same as a salary tax calculator?
A salary tax calculator estimates withholding and take-home pay for a pay period. An annual income tax return computation brings together the income, deductions and tax credits for the whole year. Tax already withheld or paid reduces the balance still payable; it does not reduce the annual tax liability itself. Use the employee or self-employed option above for an estimate, then check the applicable BIR return.
Can I use this calculator for 2023 or 2024?
The graduated income tax brackets took effect in 2023 and continue to apply. However, this calculator uses current contribution schedules. For a historical salary calculation, use the SSS, PhilHealth and Pag-IBIG deductions that applied in that year rather than treating today’s take-home-pay estimate as a historical result.
How much tax do I pay on a ₱30,000 monthly salary?
About ₱1,007.50 a month in withholding tax. SSS (₱1,500.00), PhilHealth (₱750.00) and Pag-IBIG (₱200.00) come off first, leaving ₱27,550.00 taxable. Your take-home pay is ₱26,542.50.
Is 13th month pay taxable in the Philippines?
Only above ₱90,000. Your 13th month pay and other bonuses share one ₱90,000 tax-free limit for the year; anything above it is added to your taxable income (NIRC Sec 32(B)(7)(e), as amended by the TRAIN Law).
Do minimum wage earners pay income tax?
Not on their statutory minimum wage, including holiday pay, overtime, night shift differential and hazard pay (RA 9504). Bonuses above ₱90,000 and other taxable allowances are still taxed, and SSS, PhilHealth and Pag-IBIG still apply.
Should freelancers choose 8% or graduated rates?
Eligible non-VAT self-employed individuals within the VAT threshold may elect 8% instead of graduated income tax and percentage tax. The ₱250,000 reduction applies to purely self-employed income; mixed-income earners do not get it again on their business income. On ₱500,000 a year, 8% comes to ₱20,000.00. Choose it on your first quarterly return of the year.
Are the 2026 rates included?
Yes. The calculator uses the TRAIN Law graduated income tax table in effect from 2023 onwards (RA 10963), and the SSS, PhilHealth and Pag-IBIG contribution schedules in force for 2026.
How do I compute my income tax in the Philippines?
Take your yearly pay, subtract SSS, PhilHealth and Pag-IBIG, and apply the graduated table (NIRC Sec 24(A)(2)(a)). On ₱30,000 a month: ₱330,600.00 is taxable, 15% of the amount over ₱250,000 is ₱12,090.00 a year, or ₱1,007.50 a month. The table and the worked steps are above.
Which calculator do I need for VAT, percentage tax or property?
Use the VAT calculator for a VAT-taxable transaction. VAT registration and exemptions depend on your activities and circumstances. Percentage tax generally applies to covered non-VAT businesses, with exceptions such as an eligible 8% election. Bonuses go in the 13th month pay calculator, and property sales in the capital gains tax calculator. Every calculator is listed under "Every Philippine tax calculator".
Are allowances taxable in the Philippines?
Most cash allowances are taxable compensation unless they fit a specific BIR exclusion, such as a de minimis benefit within the current limit. If the allowance is above the limit or does not qualify, the taxable part should be included in compensation.
Is overtime pay, holiday pay or night differential taxable?
For a minimum wage earner, statutory minimum wage plus holiday pay, overtime pay, night shift differential and hazard pay are exempt. For employees who are not minimum wage earners, these amounts are generally taxable compensation.
Do you store the salary I enter?
No. The calculator on this page works in your browser and does not send your salary anywhere. We record only the earner type and pay period you chose. Our other calculators send your figures to our server to compute the result, and their usage records keep salary ranges, not amounts.
Other tax calculators and filing resources
Calculating tax on a purchase, property, business or inheritance? Use the dedicated tools below. Filing deadlines and wider tax updates are here too.
Every Philippine tax calculator
- 13th Month Pay Calculator PhilippinesCompute your 13th month pay, prorated amount, taxable excess over ₱90,000, and estimated take-home bonus in the Philippines.
- Capital Gains Tax CalculatorCapital gains tax on a house, lot or condo held as a capital asset is 6% of the highest of the selling price, BIR zonal value and assessor's market value. A ₱5,000,000 sale pays ₱300,000 CGT, due within 30 days, plus ₱75,000 documentary stamp tax.
- Documentary Stamp Tax CalculatorDST on a deed of sale is ₱15 per ₱1,000 of the higher of price or market value, so a ₱5,000,000 house and lot pays ₱75,000. Loans signed from July 1, 2025 pay 0.75%. Pick your document below for the exact amount and deadline.
- Donor's Tax CalculatorCalculate donor's tax on gifts and donations. Under TRAIN Law: flat 6% on cumulative gifts exceeding ₱250,000 per calendar year, regardless of donor-donee relationship.
- Estate Tax CalculatorCalculate 6% estate tax on inherited properties and assets in the Philippines. Under TRAIN Law, ₱5M standard deduction is automatic.
- Annual Income Tax CalculatorCompute your 2026 Philippine income tax on salary or business income under the TRAIN graduated rates, with a step-by-step breakdown of every bracket.
- Local Business Tax CalculatorCalculate local business tax (LGC Sec. 143), paid with your mayor's permit, based on city/municipality rates.
- Percentage Tax CalculatorCalculate 3% percentage tax for non-VAT registered businesses with gross annual sales ≤ ₱3M (per NIRC Section 116, current rate effective July 2023).
- Real Property Tax (Amilyar) CalculatorEstimate amilyar for land and buildings using statutory maximum assessment levels, your LGU's basic RPT rate and an assumed 1% SEF levy. Your LGU's actual assessment, rates, exemptions and any RA 12001 transition cap can change the bill; confirm with your assessor or treasurer.
- VAT CalculatorAdd or extract 12% VAT on any price, and see when annual gross sales above ₱3,000,000 require VAT registration in the Philippines.
- Withholding Tax CalculatorEstimate Philippine compensation withholding or creditable tax on professional fees and other payments. Check the transaction type, exclusions and applicable rate.
- Employer Cost CalculatorSee what an employee costs you each month and each year. Salary, plus your share of SSS, PhilHealth and Pag-IBIG, plus 13th month pay.
Contribution tables: SSS 2026, PhilHealth 2026, Pag-IBIG.
Estimate your final pay or back pay · Compute overtime pay · Open the SSS portal guide · SSS employer payroll steps · Check which payments are taxable · Check maternity leave and SSS benefits
Pay, leave and final pay rules for employees: Labor Law guides. Download a certificate of employment template.
Upcoming BIR deadlines
NOV16
Individual Quarterly Income Tax Return (Q3 2026)
Self-employed individuals and professionals file Form 1701Q for the third quarter (January to September 2026, cumulative); the November 15 deadline falls on Sunday, giving November 16 before local holiday adjustments. NCR has special non-working days November 16-18; confirm your applicable deadline with your RDO. A BIR-specific revised date was not verified as of November 2.
DEC01
Corporate Quarterly Income Tax Return (Q3 2026)
Corporations and non-individual taxpayers file Form 1702Q for Q3 2026 (July to September); the 60-day deadline of November 29 falls on Sunday, and November 30 (Bonifacio Day) is a regular holiday, so the deadline is Tuesday December 1, 2026.
JAN20
Local Business Tax (LBT) and Mayor's Permit Renewal
Businesses pay the Local Business Tax on gross sales or receipts from the preceding year and renew their Mayor's Permit on or before January 20 of each year; quarterly installments (25% each) are also available on January 20, April 20, July 20, and October 20 (Local Government Code Sec. 165, as implemented by BLGF MC 01-2020).
Every 2026 due date is in the BIR filing calendar.
Tax law updates
- Ease of Paying Taxes Act (RA 11976)
- Removed the ₱500 annual registration fee (Form 0605) from January 22, 2024 and lets taxpayers file and pay through any BIR channel, online or over the counter.
- CREATE corporate income tax (RA 11534)
- From July 1, 2020, domestic corporations pay 25%, or 20% with net taxable income up to ₱5 million and total assets up to ₱100 million, excluding land (NIRC Sec 27(A)).
