PhilHealth Contribution 2026: Rates & Payroll Guide

PhilHealth contribution 2026 updated rates and payroll guide Philippines

Last updated July 21, 2026 by Philip Joshua Guadalquiver

PhilHealth remains one of the mandatory government contributions that employers must deduct and remit for eligible employees in the Philippines. For 2026, the PhilHealth premium contribution rate remains at 5% of an employee's monthly basic salary, in accordance with the Universal Health Care (UHC) Act. The contribution is shared equally between employers and employees, making it an essential part of payroll processing and compliance.

PhilHealth Contribution Rate for 2026

For employed members, the total monthly premium is 5% of the Monthly Basic Salary (MBS). The 5% rate is the final rate under the Universal Health Care Law, as the gradual rate-increase schedule has now been completed.

Contribution Item	2026 Rate
Total Premium Contribution	5%
Employer Share	2.5%
Employee Share	2.5%
Salary Floor	₱10,000
Salary Ceiling	₱100,000

Employees earning below the salary floor are computed using the minimum salary base, while those earning above the ceiling use the maximum salary base for contribution purposes. This means the monthly premium ranges from a minimum of ₱500 to a maximum of ₱5,000.

How to Compute PhilHealth Contributions

PhilHealth contributions are based on the employee's monthly basic salary. Here are two sample computations:

Item	Example 1	Example 2
Monthly Basic Salary	₱20,000	₱50,000
Contribution Rate	5%	5%
Total PhilHealth Contribution	₱1,000	₱2,500
Employer Share	₱500	₱1,250
Employee Share	₱500	₱1,250

Payroll software should automatically calculate these deductions based on the official contribution schedule.

Who Needs to Pay PhilHealth Contributions?

PhilHealth contributions apply to several membership categories, including:

Private-sector employees
Government employees
Self-employed individuals
Voluntary members
Overseas Filipino Workers (OFWs)
Employers registered with PhilHealth

For employed members, employers are responsible for deducting the employee's share and remitting both employer and employee contributions on time.

Why PhilHealth Contributions Matter

Regular PhilHealth contributions keep the national health insurance fund viable and make it easier for members to access healthcare benefits, including:

Inpatient hospital coverage
Outpatient benefits
Emergency medical services
Selected preventive healthcare services
Case rate packages for covered illnesses
Other benefits under the National Health Insurance Program

It is important to note that under the Universal Health Care (UHC) Act (Republic Act No. 11223), every Filipino is automatically a member of the National Health Insurance Program and cannot be denied benefits solely because of missed or unpaid contributions. Unpaid premiums, however, remain a collectible obligation: employers who fail to deduct and remit on time are liable for the contributions plus interest and penalties, and members with arrears may still be required to settle them. Keeping contributions up to date keeps remittances simple and avoids these liabilities.

Payroll Tips for Employers

Employers should review their payroll processes to ensure compliance with PhilHealth regulations. Best practices include:

Update payroll systems with the latest PhilHealth contribution rates.
Deduct the correct employee share every payroll period.
Remit employer and employee contributions before the required deadline.
Maintain payroll and remittance records for audit purposes.
Regularly monitor PhilHealth advisories for policy changes.

Accurate payroll processing helps businesses avoid penalties while ensuring employees continue receiving healthcare coverage. For a wider view of your obligations, see our Payroll Compliance in the Philippines: 2026 Guide for Employers and the companion SSS Contribution 2026 guide.

Stay Updated on PhilHealth Contribution Changes

PhilHealth contribution policies may change through future legislation or official circulars. Employers, HR professionals, and payroll administrators should regularly monitor official announcements to ensure payroll compliance and accurate contribution remittances.

Sources: Philippine Health Insurance Corporation (PhilHealth) and the Universal Health Care Act (RA 11223).

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