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After three years of delay for the scheduled contribution increase, PAG-IBIG had recently announced that they will once again push the price hike for next year, January 2024. With that said, here’s a review of PAG-IBIG’s contribution table and some changes that were implemented in 2023.
Why was the price hike delayed again?
The proposed increase in PAG-IBIG’s contribution rates was supposed to be implemented last 2021. However, delays were made in light of the Covid-19 pandemic and to lessen the economic burdens of its members.
Although the effects of the pandemic on people’s health were drastically reduced, its effect on the economy is now felt more than ever. With the continuous rise of inflation, President Marcos Jr. issued that financial institutions, which includes PAG-IBIG, should implement some financial relief for the general populace.
PAG-IBIG Contribution Table 2023
Pag-IBIG Contribution Table for Employees and Employers 2023
| Monthly Salary | Employer’s Contribution Rate | Employee’s Contribution Rate | Total |
| ₱1,000 to ₱1,499 | 1% | 2% | 3% |
| ₱1,500 to ₱4.999 | 2% | 2% | 4% |
| ₱5000 and Above | 3% | 3% | 6% |
Employees are required to make PAG-IBIG Fund contributions on each payroll or whenever they get paid on a monthly basis. Every payroll is processed automatically by the employer for an efficient collection method.
The employee’s part of the contribution is collected from every paycheck paid by the employer. Furthermore, employers pay their portion of each employee’s contribution; this sum may never be deducted from a worker’s pay.
For employees earning less than ₱1,500 a month, their monthly contribution is 1% of their basic salary, while their employers contribute 2%. As for those who are earning ₱1,500 and more, the employer and employee will split the bill, both paying 2% for the salary range ₱1,500 to ₱4,999 and 3% for ₱5000 and over.
Pag-IBIG Contribution Table in 2023 for Self-Employed Members
| Monthly Income | Contribution Rate |
| At least ₱1,000 to ₱1,500 | 1% |
| ₱ 1,500 to ₱ 4,999 | 2% |
| ₱ 5000 and above | 3% |
Self-earning PAG-IBIG members such as business owners, entrepreneurs, freelancers, TNVS/PUV drivers, and market vendors, will shoulder their monthly Pag-IBIG contribution.
Pag-IBIG Contribution Table in 2023 for Overseas Filipino Workers
Pag-IBIG contributions are now mandatory for OFWs after 2022. Overseas Filipino Workers (OFWs) who refuse to abide by this new policy won’t be able to apply for and receive their Overseas Employment Certificate if they have not paid their contributions for a year.
For OFWs Whose Employers Are Subject to Mandatory Pag-IBIG Coverage
Some Overseas Employers are subjected to support the PAG-IBIG contribution rate, mainly those who are in the maritime industry. Mariners will have their monthly contribution rate deducted from their salary, with the same rates to those who are employed in the Philippines.
| Monthly Salary | Foreign Employer’s Contribution Rate | OFW’s Contribution Rate | Total |
| ₱1,500 and below | 1% | 2% | 3% |
| ₱1,500 to ₱4.999 | 2% | 2% | 4% |
| ₱5000 and above | 3% | 3% | 6% |
For OFWs whose employers are exempted from Pag-IBIG coverage
These overseas workers often work in companies that aren’t subject to the Philippine working industry standards. Therefore, they will pay their contribution rate from their own pockets at the standard 2% of their monthly income.
| Monthly Salary | Contribution Rate |
| Over ₱1,500 | 2% |
Pag-IBIG Contribution Table in 2023 for a Non-Working Spouse
Since the spouse has no reliable source of income, their contribution will be completely based on half of their partner’s salary. For example, if your spouse earns ₱30,000, your monthly contribution will be 2% of ₱15,000 which is approximately ₱300.
| Half of the Spouse’s Monthly Salary | Contribution Rate |
| ₱1,500 and below | 1% |
| Over ₱1,500 | 2% |
Pag-IBIG Contribution Table in 2023 for Kasambahays
| Monthly Salary | Employer’s Contribution Rate | Kasambahay’s Contribution Rate | Total |
| ₱1,500 and below | 3% | 0% | 3% |
| ₱1,500 to ₱4.999 | 4% | 0% | 4% |
| ₱5000 and above | 3% | 3% | 6% |
Housemaid employers will shoulder the contribution of their Kasambahay if their monthly salary is less than ₱5,000. If they earn more than ₱5,000, the employer and employee will split the payment, similar to that of a regularly employed individual.
Some Tips To Keep In Mind
PAG-IBIG does not impose penalties on skipped payments, so you can rest easy if you have skipped paying a month or two, or even for a year. However, it does affect your credit score, making it difficult to get bigger loans.
Also, always keep copies of your official receipts in case you encounter some issues with your payments. Additionally, if you’re changing employers, ask them for consolidated records to keep in track of your payments. –WhatALife!/Vaughn
Also read: How to pay Pag-IBIG contribution online 2021: A Complete Guide
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