PHGuides

Try

337 guides and 27 calculators, searchable in English and Tagalog.

Overtime and Holiday Pay Calculator

DOLE

Overtime, night differential, rest day and holiday premiums under the Labor Code, including the compounding that makes rest day overtime higher.

The rate for an ordinary eight-hour day
Asked separately because a night hour in overtime is worth more
Article 87 sets at least 25% on an ordinary day and at least 30% on a holiday or rest day
Article 86 sets not less than 10%

This calculator does not carry current agency interest or dividend rates. You enter the rate, so a result is only as current as the figure you typed.

It is an estimate for planning, not an official quotation, and DOLE's own computation is what governs. Confirm the figures before you commit to anything.

Sourced

Every figure on this page is from Official Gazette's own published documents.

Last verified 1 source, listed below

Presidential Decree No. 442, Labor Code of the Philippines1. PHGuides is independent and not affiliated with DOLE.

The multipliers

Every figure below is a minimum. The Labor Code says “at least” throughout, so a collective agreement or company practice may pay more and never less.

Day First 8 hours Basis
Ordinary day 100% of the daily wage The baseline
Scheduled rest day 130% Art 93(a)
Special holiday 130% Art 93(c)
Special holiday on a rest day 150% Art 93(c)
Regular holiday 200% Art 94(b)
Premium Rate Basis
Overtime, ordinary day Regular wage plus at least 25% Art 87
Overtime, holiday or rest day The rate for the first 8 hours on that day, plus at least 30% Art 87
Night differential, 10 PM to 6 AM Not less than 10% of the regular wage per hour Art 86

Overtime compounds, it does not replace

This is the rule most often applied wrongly. Article 87 says overtime on a rest day is the rate for the first eight hours on that rest day, plus at least 30% of that.

On an ₱800.00 daily wage, so ₱100.00 an hour:

Step Figure
Rest day hourly rate, 130% ₱130.00
Overtime on that rate, plus 30% ₱169.00
Two overtime hours ₱338.00
First eight hours at 130% ₱1,040.00
Day total ₱1,378.00

Applying a flat 25% to the ordinary ₱100.00 rate would give ₱250.00 for those two hours instead of ₱338.00.

Why night hours are asked for twice

The differential is a percentage of whatever rate the hour is already earning, so a night hour inside overtime is worth more than one inside regular time. On an ordinary day, two night hours in overtime are ₱25.00 and two in regular time are ₱20.00.

Splitting a single total would mean guessing which hours of a shift fell between 10 PM and 6 AM, and a shift ending at midnight and one starting at 10 PM sit on opposite sides of that split. The calculator asks rather than guessing.

A worked comparison, ₱800.00 daily wage

Day worked, 8 hours Pay
Ordinary day ₱800.00
Rest day ₱1,040.00
Special holiday ₱1,040.00
Special holiday on a rest day ₱1,200.00
Regular holiday ₱1,600.00

Article 87 sets the overtime premium at at least 25% on an ordinary day and at least 30% on a holiday or rest day. If you leave 25 in the box and switch to a rest day, the calculator raises it to 30 and shows the rate it used. It will not compute a figure below the statutory minimum, and it will never lower a higher rate your employer already pays.

Undertime cannot be offset

Article 88 is short and absolute: undertime work on any particular day shall not be offset by overtime work on any other day. An employer cannot cancel two hours of overtime against two hours of a short day.

The regular holidays

Article 94(c) lists New Year’s Day, Maundy Thursday, Good Friday, 9 April, 1 May, 12 June, the last Sunday of August, 1 November, 30 November, 25 December and 30 December.

Retail and service establishments regularly employing fewer than 10 workers are excepted from the holiday pay entitlement.

The annual benefit computed on basic pay rather than premiums is 13th month pay, whose guide is at 13th month pay, and the paid leave floor is service incentive leave at 5 days.

The rates on this page, and the compounding that makes rest day overtime higher than a flat 25%, are explained in the overtime pay guide.

  1. Official Gazette | Presidential Decree No. 442, Labor Code of the Philippinesopens in a new tab, retrieved