Here Are Some Tips on How To Compute Your 13th Month Pay

Useful Tips on How To Compute Your 13th Month Pay

Here are some simple yet useful tips on how to compute your 13^th month pay for the upcoming Christmas season.

The Christmas season is considered as the most-anticipated time of the year especially for workers and employees who were expecting for their bonuses and 13^th month pay. Most of them are excited to receive their additional payment.

The Presidential Decree No. 851 mandates companies and employers to provide the 13th-month pay of their employees. Employers must release the 13th-month compensation no later than 24th of December.

Many company workers and employees are using their additional salary and bonuses purchase gifts, clothes, foods, and other items in celebration Christmas Day as well as New Year’s Eve. All rank-and-file employees are entitled for this benefit.

However, some workers have no idea on how to compute their 13^th month pay and just concluding that it must be a minimum of 1 month of their work salary.

Read Also: Pimentel Says Workers Must Get 13th Month Pay Amid DOLE’s Proposal to Defer It

Here are some useful tips on how to compute the most-awaited payment:

• Gather all your pay slips for that year
• Deduct your lates, absences, and undertime
• Tally the total amount you have received
• Additional holiday pays and premiums are excluded
• Divide the total amount to 12 for the result

Monthly basic salary x employment length ÷ 12 months

Example

• Monthly basic salary (P10,000) x 10 months (If you start working in March) = P100,000
• P100,000 ÷ 12 months = P8,333.33
• P8,333.33 – Total 13^th month salary

What can you say about this computation? Just feel free to leave your comments and reactions to this article.

Read Also: Government Employees To Get P10k Incentive Aside from 13th Month Pay & Christmas Bonus