Holiday pay computation: regular holidays and special days

Pay and benefitsBy TaxCalculator.com.phSources checked

Takeaway

For covered employees, work during the first eight hours of a regular holiday generally pays 200% of the basic wage. Work on a special non-working day generally pays 130%. First check how the date is officially classified.

General private-sector holiday and premium-pay rules. Coverage, attendance conditions and more favorable workplace benefits affect the result.

In this guide

Use the correct day classification

Day worked, first eight hoursMultiplier
Regular holiday2.00
Regular holiday on your rest day2.60
Special non-working day1.30
Special non-working day on your rest day1.50
Ordinary rest day1.30
Special working dayOrdinary working-day rules

Sunday is not automatically every employee's rest day. Check your scheduled rest day. For 2026, Proclamation 1006 lists the national holidays and Labor Advisory 12-25 sets the pay rules for them. Local holidays come from separate proclamations.

Sources[1][2][3]

Example: an eight-hour regular-holiday shift

Assume an ₱800 daily basic wage for eight hours

A full eight-hour shift on a regular holiday that is not the employee's rest day produces ₱1,600 for those hours.

₱800 × 2.00 = ₱1,600

On a special non-working day, the same assumed wage produces ₱800 × 1.30 = ₱1,040. The difference comes from the day classification. These are illustrative wages, not current regional minimum-wage quotations.

What if you did not work?

Eligible employees can receive regular-holiday pay without working, subject to the applicable attendance conditions. Special non-working days generally follow no work, no pay unless a more favorable policy, agreement or practice applies.

For regular holidays, examine the working day before the holiday and whether an absence was paid or unpaid. If a rest day or another holiday intervenes, use the applicable DOLE rule for that sequence. Retail and service establishments regularly employing fewer than ten workers are among the exclusions from statutory holiday pay.

Sources[2]

Add overtime and night work only for the relevant hours

A regular-holiday overtime hour uses the holiday hourly rate multiplied by 1.30. At an ordinary hourly rate of ₱100, that is ₱100 × 2.00 × 1.30 = ₱260. If the holiday is also the rest day, the additional rest-day factor changes the result.

Night differential has its own time window. Split the shift into the hours that qualify for each premium before adding the amounts. The linked overtime and night-work guides show how to avoid counting the same base wage twice.

Sources[1]

Questions to send payroll

Attach the date, schedule and relevant payslip lines. A specific question about one shift is easier to resolve than a request to explain the entire payroll system.

  • Which proclamation or advisory classifies this date?
  • Was this my scheduled rest day?
  • Which payroll daily or hourly basic rate did you use?
  • Are holiday earnings already included in my monthly salary presentation?
  • Which attendance condition or coverage exclusion explains any unpaid holiday?

Sources

  1. DOLE: Labor Day 2026 pay rules under Labor Advisory 12-25Release dated 29 April 2026 applying Labor Advisory 12-25 and Proclamation 1006 (2026 holidays): regular holiday, rest day and overtime computations
  2. DOLE Handbook on Workers' Statutory Monetary Benefits, 2024Coverage chart, guide computations table and chapters on holiday, premium, overtime, night shift, service charge, leave, 13th-month, separation and retirement pay; 2024 edition
  3. DOLE Bureau of Working Conditions: Labor advisoriesLabor Advisory 12-25 (2026 holiday pay rules), 16-25 (13th-month pay guidelines) and 17-26 (2027 holiday pay rules)

General educational information. Eligibility, company agreements and the facts of a dispute can change the answer. This guide has not been reviewed by a Philippine labor lawyer. Ask DOLE or a qualified professional about a contested entitlement.