Employers’ Guide to Pay Online Mandated Contributions Philippines 2023

Employers’ Guide to Pay Online Mandated Contributions Philippines 2023:

In today’s day and age, employers are concerned with how they make things more accessible than ever. Just like how to pay online mandated contributions in the Philippines. It’s crucial to make sure that employees’ contributions are posted in real-time. This article will guide you to pay online mandated contributions in the Philippines. Moreover, you’ll know what are the mandated contributions in the Philippines and related updates in it. Read more to find out.

Employers’ Guide to Pay Online Mandated Contributions Philippines 2023

What are the Mandated Contributions in the Philippines?

1. SSS or Social Security System

In the Philippines, the Social Security System is a government-run social insurance program for employees in the private sector. SSS offers benefits for sickness, involuntary separation from employment, funerals, maternity leave, permanent disability, retirement, and death.

2. Philhealth or Philippine Health Insurance Corporation

A government organization affiliated with the Department of Health is the Philippine Health Insurance Corporation (PhilHealth).

For policy coordination and guidance, some of Philhealth’s functions are as follows:

a. To develop and put into practice policies on contributions and benefits.

b. To negotiate and sign agreements with healthcare organizations, specialists, and other legal or non-legal parties on behalf of its members.

c. To establish criteria and publish rules for the program’s accreditation of healthcare providers in compliance with an Act.

d. To maintain records of the Corporation’s activities and National Health Insurance Fund investments.

e. To certify independent drugstores and retail pharmacies.

3. HDMF or Home Development Mutual Fund

The Pag-IBIG Fund also referred to as the Home Development Mutual Fund (HDMF), is a government-owned and controlled corporation that falls under the Department of Human Settlements and Urban Development of the Philippines. It’s in charge of managing the country’s savings program and providing Filipinos with financing for affordable housing.

All HDMF members can take advantage of Pag-IBIG’s regular savings program. A portion of an employee’s pay and their employer’s share of the contribution are withheld in this deduction, also referred to as the HDMF contribution. To give its members short-term and housing loans, the Pag-IBIG Fund uses contributions. In addition, each member’s Pag-IBIG savings get at least 70% of Pag-IBIG’s net revenue, with employee contributions being set aside. These payouts are known as dividends, and as members save more money, they gradually rise.

Updated Table of Mandated Contributions Philippines

The SSS Contribution Table is the official contribution schedule made available by the Social Security System (SSS) in the Philippines to inform SSS members of the precise amount of their monthly contributions in accordance with their range of monthly remuneration or monthly income credit.

Take note that for the year 2023, the SSS contributions rate increased from 13% to 14% which will be shouldered to employers (ER) only. Thus, the table below reflects the new amounts charged to employers.

Source: https://www.sss.gov.ph/sss/DownloadContent?fileName=CI2022-033.pdf

According to Philhealth, the new timetable would assist safeguard the National Health Insurance Fund’s viability by ensuring that all Filipinos can take advantage of the outpatient benefit packages that are now being approved and that they will immediately be eligible for benefits while confined.

For the year 2023, as shown in the table below, the premium rate is 4.50%. However, last January 4 Philhealth confirmed the suspension of the premium increase with a directive from the President of the Philippines. Philhealth contributions remain at a 4.00% premium rate, the same as last year.

https://www.philhealth.gov.ph/joint_issuances/2023/js0001-2023.pdf

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 in this manner. Likewise, employers must also pay and submit reports to Pag-IBIG regarding the mandated contributions Philippines of their workers.

Furthermore, no contributions hike for Pag-IBIG this year. Therefore, the same contributions applied last year will be used this year as you can see in the table below.

https://www.pagibigfund.gov.ph/circulars_provident.html#membership

How to Pay SSS Employer Contributions Online

1. Generate PRN or Payment Reference Number

PRN or Payment Reference Number is what you need first before you can pay your SSS contributions, may it be online or over-the-counter payments. In fact, payments with PRN are already mandated to do so whenever paying contributions (and loans too). As part of the Real-Time Processing of Contributions (RTPC) program in the Philippines and as to pay online mandated contributions Philippines, PRN ensures up-to-date payment records.

There are a few options where you can generate PRN for your SSS employer contributions.

a. Through SSS official website – you must have registered your SSS number online to use this option because getting your PRN (payment reference number) is very simple. First, log in with your employer’s account. Second, click the payment reference number tab. Third, review and supply the needed up-to-date information. Last, generate your PRN.

b. By going to any SSS branch – this option requires over-the-counter transactions and may consume your time and energy since you need to wait for your turn especially when you go with the crowd. Check here for the list of SSS branches in the Philippines.

c. Via SSS mobile application – it’s similar to SSS official website, however, this option is more accessible since the app is one click away. You just need to set up an account that is the same as your SSS employer account online. Once registered, log in and look for the PRN icon where you’ll generate the payment reference number which is usually at the lower left-hand side of your mobile phone screen.

2. Pay SSS Contributions Online with PRN

Now you have your generated PRN, but how to pay your SSS employer contributions online? First and foremost, you need to have an account with your chosen bank to do internet banking – another term for online payments. Once you have an account, log in to your chosen bank’s online portal. Go to the government facility of paying online and click for SSS. For a sample illustration (as seen image below), BPI bizlink online only needs to input the payment reference number and it’ll automatically run the transaction itself with the exact amount to be paid. Review the details and submit for payment processing approval.

How to Pay Philhealth Employer Contributions Online

1. Generate SPA or Statement of Premium Account

In pursuant to the Revised Implementing Rules and Regulations (IRR) of the National Health Insurance Act of 2013, all employers are mandated to present a SPA or Statement of Premium Account when paying PhilHealth contributions in the Philippines. This is to create a reliable system for collecting premiums. Keeping an accurate database of contributions records to pay online mandated contributions Philippines.

The following steps will guide you to generate your SPA:

a. Log in to the Philhealth portal called EPRS or electronic premium remittance system with your Philhealth employer number (PEN) and password. If you’re not yet registered, visit the nearest Philhealth branch to set up your EPRS account.

b. Click the ‘Employees Management’ tab where you can check or review the list of active employees for a specific applicable month. You can add if you have new employees and delete or terminate those who are already inactive. To edit employees’ information is also available by clicking the pencil icon. Supply the necessary updated details.

c. Once everything has been checked, proceed to the ‘Payment Management’ tab where you can see the applicable month to post for payment. Click the print icon on the right side and choose ‘Generate SPA’.

2. Pay Philhealth Contributions Online with SPA

Once SPA has been generated, you can now proceed to ‘Payment for Posting’.

Then, you’ll be redirected to a rechecking window. Select online payment options and choose from the drop-down list. For instance (and for sample illustration only), you choose BPI bizlink as it’s your employer bank account connected to your EPRS or Philhealth portal account. Same with SSS, you need to have an account from your chosen bank and it’s the designated bank account for all your employer contributions payments.

Click submit and you can find the transaction in your online banking portal. Final check it and proceed to payment processing approval.

How to Pay Pag-IBIG Employer Contributions Online 2023

1. Pag-IBIG’s Online Payment Facilities and Guidelines

To pay online mandated contributions Philippines, as mentioned earlier too, you need to enroll with your chosen bank’s account and its electronic payment facility. To do this, you have to submit the bank’s required documents which you can check with your chosen bank, and once approved, login credentials will be provided to you. Then, you’re ready to access the bank’s portal.

Below are the employers’ online payment facilities you can choose to pay Pag-IBIG contributions:

Union Bank of the Philippines
Bank of the Philippine Islands
Land Bank of the Philippines
Security Bank
Asia United Bank
BDO Network Bank
China Bank
Citibank
CTBC Bank Corp.
Development Bank of the Philippines
East West
Metrobank
Philippine National Bank
Rizal Commercial Banking Corporation
Standard Chartered
Philtrust Bank
PBCom
Bank of Tokyo
Bank of Commerce
Robinsons Bank
United Coconut Planters Bank
Veterans Bank
BDO Unibank Inc.
Citystate Savings Bank
Maybank

2. Pay Pag-IBIG Contributions Online through BPI Bizlink

Note: Using BPI Bizlink as a sample illustration only which can be the same process with other bank’s portals.

a. Accomplish the Pag-IBIG file writer with employees’ complete information, a document you need to upload in the BPI Bizlink portal.

b. Login to the BPI Bizlink portal with your employer credentials.

c. Go to the ‘ Government Payments’ facility and click Pag-IBIG.

d. Then, upload the accomplished file writer with the necessary details of all active employees for a specific applicable month. Take note the file writer is in excel format and what bizlink requires is a txt file format. Thus, you need to convert the excel format into a txt file format.

e. Final check the information and submit for payment processing approval.

Employers are encouraged to pay online mandated contributions Philippines. Doing so will ensure you’re fully compliant with the law and may avoid any penalties that may come your way. Additionally, to assure that paid and remitted contributions are updated. Lastly, to make payments accessible and hassle-free.

Employers’ Guide to Pay Online Mandated Contributions Philippines 2023

Related Articles: