Every company that has been registered in the Philippines and employs workers is mandated to register all their employees, not more than sixty (60) years old, with the Social Security System (SSS) or with the Government Service Insurance System (GSIS), as stated in the Article 168 of the Labor Code of the Philippines.
Additionally, employers are also required to register their employees with the Philippine Health Insurance Corporation (PhilHealth) and Home Mutual Development Fund (HDMF or Pag-IBIG Fund) in accordance to the Republic Act No. 7875 and Republic Act No. 9679 respectively.
The employer will deduct from the employees’ salary their share for SSS, PhilHealth and Pag-IBIG contribution monthly. In addition to the employees’ contribution, the employer is also required to contribute a corresponding amount to these governmental agencies for the benefit of the employees which will be considered as company expenses. This will be normally done by a senior accountant or outsourced to an accounting firm.
Both employees’ and employer’s contribution will be remitted to the governmental agencies on or before the following deadlines: SSS and PhilHealth every 10th of the month while for Pag-IBIG, due date depends on the first letter of the employer or business name. Failure to comply and pay the required contribution will cost an interest penalty, computed from the due date until the time of payment.
Most companies outsource their monthly compliance to a third party as this task is oftentimes tedious and time consuming. With Triple i Consulting, we can assure you that your company will duly comply with SSS, PhilHealth and Pag-IBIG. Assigning a dedicated and experienced Certified Public Accountant to your company, we are committed to deliver high-quality assurance services.
Tax and Accounting Manager
Unit 616 Tower One Stock Exchange
Makati City, Philippines 1226
T: +63 917 546 39 69