Did you know that understanding and following the Pag IBIG contribution table 2023 can provide substantial advantages for your future? Although it may not be immediately apparent, your contributions will prove invaluable when you apply for a Pag-IBIG loan or withdraw your funds upon retirement. Essentially, paying your Pag-IBIG contributions is equivalent to saving money for your future.

To fully comprehend the Pag-IBIG savings system, it is essential to explore the contribution table for each member category, determine the appropriate contribution amount, learn how to make payments and understand the various methods to check your contribution status. Read on for a comprehensive understanding of these details.

Latest Updates Concerning Pag-IBIG Contribution Table 2024

1. There will be no increase in the Pag-IBIG membership contribution rate for January 2023

The monthly contribution to Pag-IBIG will remain at ₱100 instead of increasing to ₱150 as originally planned. This decision was made to provide relief for both members and businesses who are struggling due to the economic challenges caused by the global pandemic. The deferment of the contribution hike will be in effect until January 2024. The contribution rate for Pag-IBIG has not changed since 1986. According to Pag-IBIG, the increase would have helped members earn more and also sustain the 3% annual interest rate of the agency’s housing loan program.

2. Overseas Filipino Workers (OFWs) Are Now Required To Pay Their Monthly Pag-IBIG Contributions

Overseas Filipino Workers (OFWs) are required to input their Pag-IBIG Membership Identification (MID) numbers online into their POEA e-Registration System accounts. This is necessary to enable OFWs to conveniently pay their monthly contributions through the POEA website. It is mandatory for all OFWs to complete their Pag-IBIG membership, as failure to do so will result in the inability to obtain the necessary Overseas Employment Certificate (OEC).

What Is Pag-IBIG Savings I?

The Pag-IBIG Fund or Home Development Mutual Fund (HDMF) offers a savings program called Provident Savings, also known as Pag-IBIG Savings I, which is open to all its members.

For employed individuals, this program requires a deduction from their salary for their Pag-IBIG contribution, which is matched by their employer’s contribution.

Meanwhile, self-employed individuals, overseas Filipino workers (OFWs), and other Pag-IBIG members must pay for their contribution out of their own pockets.

All contributions made by the member are deposited into the HDMF under their name and earn dividends annually, currently at a rate of 5.50% as of 2022. As a result, their savings increase over time.

Who Can Pay Pag-IBIG Contribution?

Individuals who have a Pag-IBIG MID number or a registration tracking number (RTN) and are registered with the HDMF are eligible to make contributions.

Your Pag-IBIG membership becomes official once you make your first contribution. The start date of your membership will be based on the date of your initial payment, which will be indicated on your Pag-IBIG Fund receipt.

Where Do Your Contributions Go?

The Pag-IBIG Fund utilizes the payments received from its members to offer loans for housing and short-term purposes. As a member of Pag-IBIG, you can avail of comparable advantages when borrowing funds for personal expenses or buying a home.

Why Pay Your Contribution Regularly?

Skipping a monthly contribution to Pag-IBIG does not come with a penalty, but it can affect your loan approval and borrowing capacity if your payments are inconsistent. To be eligible for any Pag-IBIG loan, you must have paid a minimum of 24 monthly contributions.

The eligibility requirements for different types of loans vary. For a Pag-IBIG multi-purpose loan, you must have made at least one monthly contribution in the past six months leading up to the loan application date. For a Pag-IBIG calamity loan, you must have made at least five monthly contribution payments in the past six months before applying for the loan.

The amount that you can borrow also depends on your total contributions. Generally, Pag-IBIG loans amount to 80% of the borrower’s total remitted Pag-IBIG contributions. If you have gaps in your contribution payments, you are likely to be approved for a lower loan amount. you can also calculate or pay your ibig contributons with Calculadora PayPal.

How To Compute Pag IBIG Contribution

How much is Pag Ibig Contribution?

To determine the minimum amount of monthly savings, refer to the corresponding Pag-IBIG contribution table below, based on your current employment status or lack thereof.

1. Pag-IBIG Contribution Table 2023 for Employees and Employers

Monthly Salary

Employee’s Contribution Rate

Employer’s Contribution Rate

Total

At least ₱1,000 to ₱1,500

Over ₱1,500

Employed members of Pag-IBIG share contributions with their employers. The employee’s contribution is deducted from their monthly salary, while the employer pays their share of the contribution for every employee, which should not be deducted from their worker’s wages.

For employees earning less than ₱1,500 per month, they contribute 1% of their basic salary, while their employers contribute 2%. Those earning more than ₱1,500 per month contribute 2% of their basic salary, while their employers also contribute 2%.

To calculate the amount to be paid by the employee or employer, refer to the Pag-IBIG contribution table and use this formula:

Pag-IBIG Monthly contribution

Monthly Basic Salary x Employee’s or Employer’s Contribution Rate.

Sample computation for a worker with ₱3,000 monthly basic salary:

Employee’s share: ₱3,000 x 0.02 = ₱60

Employer’s share: ₱3,000 x 0.02 = ₱60Every month, an employee’s salary is deducted ₱60 for their Pag-IBIG contribution. In addition, the employer contributes another ₱60, resulting in a total monthly savings of ₱120.If an employee has a basic monthly salary of at least ₱5,000, the maximum monthly salary used to compute their Pag-IBIG contribution is ₱5,000. Therefore, if their salary is equal to or greater than ₱5,000, their contribution is computed as follows:Employee’s share: ₱5,000 x 0.02 = ₱100 Employer’s share: ₱5,000 x 0.02 = ₱100 Therefore, the total monthly savings for an employee earning ₱5,000 is ₱200, which is the sum of the employee’s share and the employer’s share.Regardless of the employee’s monthly salary and any future increases, their monthly salary deduction for Pag-IBIG contribution will always be ₱100 as long as it is equal to or above ₱5,000. The employer is responsible for remitting this amount along with their own contribution of ₱100. As a member of Pag-IBIG, the total monthly savings for the employee is ₱200.

2. Pag-IBIG Contribution Table Self Employed

Monthly Income	Contribution Rate
At least ₱1,000 to ₱1,500	1%
Over ₱ 1,500	2%

Individuals who are self-employed, such as entrepreneurs, freelancers, TNVS/PUV drivers, and market vendors, are responsible for paying their monthly contribution to Pag-IBIG. To calculate the amount to be paid, the Pag-IBIG contribution table and the formula below are used:

Pag-IBIG contribution = Monthly Income x Contribution Rate

For example, if a self-employed member has a monthly income of ₱1,500, the computation would be as follows:

₱1,500 x 0.01 = ₱15

If a self-employed member earns at least ₱5,000 per month, the computation would be as follows:

₱5,000 x 0.02 = ₱100

The maximum income used by the Pag-IBIG Fund for computing a self-employed member’s contribution is ₱5,000. This means that as long as the monthly income is equal to or greater than ₱5,000, the member should pay at least ₱100 monthly.

However, self-employed members may choose to pay an additional ₱100 or more (for a total monthly savings of ₱200 or higher), especially if they plan to apply for a Pag-IBIG housing loan.

3. Pag-IBIG Contribution Table in 2023 for OFWs

Starting in 2022, overseas Filipino workers (OFWs) are required to pay Pag-IBIG contributions. Pag-IBIG and POEA have issued a joint advisory instructing OFWs to input their Pag-IBIG MID number into their POEA e-Registration accounts. This will allow for easier payment of the mandatory contribution through the POEA website. OFWs who fail to comply with this policy will not be able to obtain the necessary Overseas Employment Certificate (OEC).

a. For OFWs Whose Employers Are Subject to Mandatory Pag-IBIG Coverage

Monthly Salary	OFW’s Contribution Rate	Foreign Employer’s Contribution Rate	Total
₱1,500 and below	1%	2%	3%
Over ₱1,500	2%	2%	4%

Use the table above for computing your monthly savings if your overseas employer is required to share in paying your Pag-IBIG contribution.

Sample computation for OFWs earning at least ₱5,000 monthly:

To compute your contribution to Pag-IBIG, they use a maximum monthly income of ₱5,000. Based on this, your contribution is determined by multiplying ₱5,000 by 0.03, which results in ₱150 for your share and ₱150 for your foreign employer’s share. Therefore, both you and your employer are required to contribute at least ₱150 each, making your total monthly savings ₱300.

b. For OFWs whose employers are exempted from Pag-IBIG coverage

Monthly Salary	Contribution Rate
Over ₱1,500	2%

If your employer abroad is not required to have mandatory coverage under Pag-IBIG (a Philippine government housing fund), you need to contribute 2% of your monthly salary. The maximum monthly income considered for computing Pag-IBIG contribution is ₱5,000, which means you have to pay a minimum of ₱100 per month.

If you plan to apply for a housing loan from Pag-IBIG in the future, it may be beneficial to pay the employer’s share of 2% (₱100), which will result in a total of ₱200 in monthly savings.

4. Pag-IBIG Contribution Table in 2023 for a Non-Working Spouse

50% of the Working Spouse’s Monthly Salary	Pag-IBIG Contribution Rate
₱1,500 and below	1%
Over ₱1500	2%

To determine the Pag-IBIG contribution for a non-working spouse who is a member, you need to calculate half of the employed spouse’s monthly salary. For instance, if the husband earns ₱4,000 per month and his wife is a full-time housewife, her monthly contribution would be ₱40.

To compute the non-working spouse’s contribution, you need to divide the employed spouse’s monthly salary by two and then multiply the result by 0.02. The 2% contribution rate is applicable because 50% of the working spouse’s salary is ₱2,000, which falls within the salary range of over ₱1,500.

5. Pag-IBIG Contribution Table in 2023 for Kasambahays

Monthly Salary	Employer’s Contribution Rate	Kasambahay’s Contribution Rate	Total
Less than ₱1,500	3%	0%	3%
₱1,500 to ₱4,999	4%	0%	4%
₱5,000 and above	2%	2%	4%

Household employers are required to cover the full contribution of their domestic workers, known as “kasambahays”, who earn a monthly salary of less than ₱5,000. If the worker’s salary is less than ₱1,500, the employer must contribute 3% of the salary, while if the salary falls within the ₱1,500 to ₱4,999 range, the employer must contribute 4%.

For a kasambahay earning ₱3,000 per month, the employer is responsible for contributing ₱120 to the kasambahay’s Pag-IBIG Fund savings. The kasambahay does not need to contribute anything.

However, if a kasambahay earns ₱5,000 or more per month, they are required to contribute 2% of their salary to their Pag-IBIG Fund savings through salary deduction. In addition, their employer must contribute 2% of the kasambahay’s monthly salary to their total contribution.

For example, if a kasambahay earns ₱5,000 per month, their employer will contribute ₱100 and the kasambahay will contribute ₱100 to their Pag-IBIG Fund savings. This means that kasambahays who earn ₱5,000 or more will have a total monthly savings of ₱200 in their Pag-IBIG Fund account.

Why You Should Consider Increasing Your Pag-IBIG Monthly Contribution

You can contribute an amount higher than the minimum required by the Pag-IBIG Fund.

Your contributions to Pag-IBIG are allocated to the Pag-IBIG Regular Savings Program, which is similar to depositing your money in a bank. However, the government manages your funds instead. By saving your money in a government-guaranteed savings facility, you can earn high annual dividends. This is because at least 70% of Pag-IBIG’s funds are invested in housing finance, corporate funds, and government securities.

Over the past decade, Pag-IBIG Fund has reported the following dividend rates for the Regular Savings Program:

Year Pag-IBIG Regular Savings Dividend Rate

The dividend rates for Pag-IBIG regular savings in the past decade are as follows:

2021: 5.50%
2020: 5.62%
2019: 6.73%
2018: 6.91%
2017: 7.61%
2016: 6.93%
2015: 4.84%
2014: 4.19%
2013: 4.08%
2012: 4.17%
2011: 4.13%

These rates indicate the annual returns earned by Pag-IBIG members who contribute to their regular savings accounts during the respective years.

The table above demonstrates that the dividend rate of the Pag-IBIG Fund Regular Savings Program is increasing. This savings program functions similarly to a standard savings account, as you have the ability to withdraw all the money you have saved.

However, Pag-IBIG is not a conventional bank, therefore, you must achieve a specific milestone before you can be qualified to withdraw your savings. If you desire to save money that earns a higher dividend rate and can be withdrawn after a shorter period, you might want to consider opening a separate Pag-IBIG MP2 Savings account.

Moreover, saving more with the Pag-IBIG Regular Savings Program will also assist you in qualifying for higher Pag-IBIG loan amounts. This can be particularly beneficial when applying for a Pag-IBIG housing loan since the amount you have contributed to Pag-IBIG will be utilized to calculate how much you are eligible to borrow.

The higher the amount you contribute, the higher the loan amount you can avail of.

A prudent long-term approach is to augment your monthly Pag-IBIG contributions, particularly if you receive a salary increase or generate additional income. The sound financial performance of the HDMF demonstrates its proficient handling of its members’ funds.

How To Upgrade Your Pag-IBIG Contribution

To increase their monthly Pag-IBIG contribution, employees should inform their HR department or employer and sign a “Request for Upgrading Savings” form. The employer may match the increased contribution or continue to remit the current amount. For individually paying members, there is no need to submit any form; they can simply pay the higher monthly savings, which will be automatically credited to their total Pag-IBIG savings. If you’re interested in growing your money with Pag-IBIG, you can refer to our “How to Invest in Pag-IBIG MP2 Program: An Ultimate Guide” for more information.

Tips and Warnings

1. Provide your correct Pag-IBIG MID number

Please ensure that you enter your Pag-IBIG number accurately every time you make a contribution. If an incorrect number is entered into the third-party service’s system, your payment may not be processed, or even worse, it could be credited to someone else’s account.

2. Always keep your official receipts

“Do not dispose of the official receipt or machine-validated transaction slip that you receive after making a payment towards your contribution. This document serves as evidence of payment and may be required if you need to report any issues related to your contribution.”

3. For members with past employers: Have your Pag-IBIG records consolidated

Did you change jobs during your career? If yes, your contribution records are probably scattered across different Pag-IBIG branches where your previous employers paid your monthly savings. For instance, Employer A may have remitted your contributions to the Makati branch, while Employer B may have remitted to the Ortigas branch, and so on.

This can pose a problem when you apply for a Pag-IBIG loan or withdraw your savings in the future. Since your payment records are not centralized, not all of your contributions may be included in your benefit computation.

To ensure a hassle-free process when you avail of your Pag-IBIG benefits, merge all of your contributions from your former and current employers into a single record. To do this, submit a completed request form for consolidation/merging of members’ records to the Pag-IBIG Fund. Ensure that you accurately list all your employers and periods of employment. Additionally, provide a photocopy of your two valid IDs (and marriage certificate, if you recently married) for data validation.

It typically takes around 20 working days to process the consolidation request. After that period, call the Pag-IBIG hotline (724-4244) to verify if all of your records have been consolidated.

Frequently Asked Questions

1. Is Pag-IBIG contribution compulsory? Can I skip payments or not pay at all?

Have you changed jobs at any point in your career? If so, your contribution records with Pag-IBIG may be scattered across different branches where your previous employers made monthly savings contributions on your behalf. For example, Employer A may have remitted your contributions to the Makati branch, while Employer B may have remitted to the Ortigas branch, and so on.

This can become problematic when you apply for a Pag-IBIG loan or wish to withdraw your savings in the future. Since your payment records are not centralized, not all of your contributions may be included in your benefit computation.

To avoid any hassles when availing of your Pag-IBIG benefits, it’s advisable to consolidate all of your contributions from both your former and current employers into a single record. To do this, simply submit a completed request form for the consolidation/merging of members’ records to the Pag-IBIG Fund. Ensure that you accurately list all of your employers and periods of employment. Additionally, provide a photocopy of two valid IDs (and your marriage certificate, if you have recently married) for data validation.

The consolidation request typically takes around 20 working days to process. After that period, you can call the Pag-IBIG hotline (724-4244) to verify if all of your records have been consolidated successfully.

2. What is the Total Accumulated Value?

To put it differently, your Total Accumulated Value (TAV) is the sum of all the contributions you have made, along with any employer contributions and dividends earned, starting from the first payment to the most recent one. The HDMF uses this TAV to determine the amount of money they can lend you as a member-borrower. For example, if you need a Pag-IBIG calamity loan, you may be able to borrow up to 80% of your TAV.

When your membership with Pag-IBIG ends, the HDMF will return your TAV to you, after deducting any outstanding balance on your Pag-IBIG loan.

Pag ibig voluntary Contribution 2023

3. I stopped paying contributions years ago. How can I continue paying as a voluntary member?

To reactivate your Pag-IBIG membership and resume your payments, follow these step-by-step instructions:

Fill out the Member’s Change of Information Form (MCIF) to update your membership details, such as your employment status.
Visit the nearest Pag-IBIG branch and submit the completed MCIF form and two valid IDs.
Pay your contribution at the same branch. Afterward, you can pay your succeeding contributions using any accredited payment channel.

It’s important to note that Pag-IBIG does not allow retroactive payments, except for unremitted collections that are paid by the employer. These payments can only be applied retroactively upon presentation of proof that such contributions were previously collected or deducted from the employee.

4. Can expats pay Pag-IBIG contributions?

Foreigners who are residing and employed in the Philippines have the option to make voluntary contributions to their regular Pag-IBIG savings and/or MP2 savings.

Previously, expatriates were obligated to contribute to Pag-IBIG and their employers would deduct contributions from their wages and submit them to the HDMF. However, due to the short-term nature of most expats’ stays in the country, the Pag-IBIG Fund issued a circular in January 2019 that abolished compulsory membership for foreign workers.

5. Can I pay contributions in advance?

Certainly, Pag-IBIG allows members to make advance payments for their contributions. You have the option to pay for one month, a quarter, or even a whole year in advance. There is no set limit on how far ahead you can make your payments, so it’s entirely up to you how much you’d like to pay in advance, depending on your financial capacity.

Paying for an entire year in advance is a more convenient option compared to paying on a monthly basis. This way, you can avoid missing any payments and ensure that your contributions are up to date.

6. My contribution record doesn’t reflect my actual payment. How can I correct the error?

If you notice a discrepancy between your recorded payments and your updated contribution record, you should reach out to the collecting partner where you submitted your contributions. Request an update on the status of your Pag-IBIG contribution remittance.

It usually takes two to three working days for payments made through third-party services to reflect on a member’s record. Therefore, it may be necessary to wait until the payment is credited to your Pag-IBIG account.

In case the collecting partner confirms that your payment has been transmitted to Pag-IBIG but it is still not reflected in your record, you should contact the HDMF. You might have to visit a branch and present the official receipts for the unpaid months of your contribution.

7. What will happen to my previous contributions if I become an OFW?

Even if you work abroad, your past contributions will continue to be associated with your name, and you need not worry about losing your savings. The Pag-IBIG Fund allows for the consolidation of your former local employment contributions with those of your present overseas employment. To do this, you simply need to request to consolidate your membership records.

Furthermore, it’s essential to update your membership category to OFW and submit an accomplished Member’s Change of Information Form before leaving the country. You can do this by visiting a Pag-IBIG branch.

8. Which is better: increase my regular Pag-IBIG contributions or save my money under MP2?

Your choice of a savings strategy will depend on your goals.

If you aim to accelerate your savings growth, consider investing in the MP2 program. This program offers higher dividend rates and a shorter five-year maturity compared to the regular Pag-IBIG savings program, where your monthly contributions are directed.

On the other hand, if you plan to apply for a Pag-IBIG housing loan, it’s best to increase your monthly contributions. This will improve your chances of qualifying for a larger loan amount.

If you have both goals in mind, you can opt to increase your contributions and save simultaneously under the MP2 program. Why settle for one when you can achieve both?

9. My employer is not paying my Pag-IBIG contributions. Can I still apply for a Pag-IBIG loan? What should I do?

In accordance with the HDMF law, members are entitled to receive Pag-IBIG benefits, including short-term loans, even if their employers fail or refuse to remit their contributions.

When applying for a Pag-IBIG loan, you can try submitting your payslips, ITR, and other documents that prove your salary deductions for Pag-IBIG contribution. However, if your employer fails to remit your contributions, it can affect the amount you’ll receive from the Pag-IBIG Fund when claiming your total contributions.

The amount paid to you as Total Accumulated Value (TAV) will be based on both your employee and employer contribution payments. If your employer did not remit your contributions, you will only receive a partial release of your TAV based on the actual amount credited to your account.

If your employer eventually pays the unremitted contributions, the HDMF will pay you the amount collected from the delinquent employer.

If your employer fails to remit your Pag-IBIG contributions, you should raise your concern to the HR department. If no action is taken, you can file a complaint with the HDMF against your employer.

According to the Pag-IBIG Fund law, delinquent employers may face fines ranging from not less than twice the unremitted amount to not more than twice the unremitted amount, imprisonment for six years or less, or both.

What is HDMF Contribution?

HDMF contribution refers to the regular payments made by members to the Home Development Mutual Fund (HDMF) or Pag-IBIG Fund in the Philippines. These contributions are deducted from an employee’s salary and are used to fund various programs and services provided by HDMF, including housing loans, provident savings, and other benefits. The specific contribution rates and guidelines may vary depending on the member’s income and employment status, and it is best to refer to the official Pag-IBIG Fund website or contact their customer service for the most up-to-date information.

References

The Philippine government agency Pag-IBIG Fund announced on March 15, 2022 that it had declared record-high dividends of P31.79 billion for 2021. The final dividend rates for Regular Savings and the Modified Pag-IBIG 2 (MP2) program were set at 5.5% and 6%, respectively. The announcement can be found at

https://www.pagibigfund.gov.ph/2022news.html#:~:text=The%20final%20dividend%20rates%20are,Savings%20and%206%25%20for%20MP2.

The Philippine Overseas Employment Administration (POEA) and Pag-IBIG Fund jointly issued an advisory on January 1, 2022 (Joint POEA – Pag-IBIG Fund Advisory No. 01, series of 2022) regarding the mandatory requirement of a Pag-IBIG Member ID (MID) Number. The advisory can be accessed at

https://www.pagibigfund.gov.ph/document/pdf/popsite/Joint%20POEA%20-%20Pag-IBIG%20Fund%20Advisory_Signed.pdf.

Pag-IBIG Fund’s Regular Savings program is explained on its website at https://www.pagibigfund.gov.ph/Membership_RegularSavings.html.