A practical, everything-you-need-to-know guide. General information only, not legal advice.

1) What’s “mandatory” and who is covered?

Three baseline programs apply to almost all employees in the Philippines:

SSS (Social Security System) — social insurance for private-sector workers (sickness, maternity, disability, retirement, death, funeral, unemployment) plus Employees’ Compensation (EC) for work-related contingencies.
PhilHealth — national health insurance (inpatient/outpatient/Konsulta, case-rate packages, Z benefits).
Pag-IBIG/HDMF — provident savings + access to short-term loans and housing loans.

Covered workers generally include: regular, probationary, project, seasonal, casual, and fixed-term employees; part-timers; piece-rate; commission-based with employer control; kasambahay (household helpers); Filipino employees of foreign entities operating in PH; many expatriates unless covered by a bilateral agreement or otherwise exempt by law. Contractors/freelancers are not employees—but they must self-register and contribute as self-employed/voluntary if they earn from trade/profession.

Government employees are under the GSIS (not SSS) but still PhilHealth and Pag-IBIG members.

2) Employer obligations at a glance (lifecycle)

A) Onboarding (Day 0–30)

Register the employer with each agency and obtain employer numbers.
Enroll all new hires as members (if new) or link existing member IDs to your employer account.
Collect employees’ TIN, SSS number, PhilHealth number, and Pag-IBIG MID; verify names/birthdates vs government IDs.
Classify workers properly (employee vs contractor) based on control test; misclassification triggers liabilities.

B) Payroll & deductions (monthly)

Compute contributions per published contribution schedules (rates and salary brackets change over time—keep the latest circulars on file).
Deduct the employee share and add your employer share; include EC premium (employer-paid).
Remit on time using each agency’s e-channels and Payment Reference Number (PRN) systems.
Keep payroll registers, proof of remittances, electronic confirmations, and posted ledgers.

C) Changes during employment

Update civil status/dependents, salary movements, and employment status (full-time/part-time).
Facilitate benefit claims (SSS sickness/maternity, PhilHealth confinement, etc.) by certifying forms/leave credits and submitting required employer certifications.

D) Offboarding

Remit final month contributions.
Issue Certificate of Employment and, upon request, contribution summaries (e.g., SSS static info printout, PhilHealth MDR update advice, Pag-IBIG contribution history guidance).
For terminated/retrenched employees, certify SSS unemployment eligibility when applicable.

3) Registration basics (employer and employee)

SSS

Employer registers online; submit business docs (may vary by setup: SEC/DTI, business permit).
Report employees for coverage (new hires must be reported immediately; legacy forms: R-1A. Online reporting now standard).
Generate PRNs for contributions; EC premium is employer-only.

PhilHealth

Employer enrollment; update ER2/ER form equivalents online.
Verify employees’ PhilHealth ID; if none, assist with PMRF enrollment.
Use PhilHealth PRN to ensure posting per employee.

Pag-IBIG

Employer EDF (Employer’s Data Form) + MRF (Member Registration Form) equivalents (now online).
Get your Pag-IBIG Employer ID; enroll employees to generate MID or link existing MIDs.

Kasambahay: Household employers must register and remit to SSS, PhilHealth, and Pag-IBIG. If the kasambahay’s monthly pay is below the statutory threshold, the employer shoulders the full contribution (no employee share).

4) Contributions: how they’re computed (without locking rates)

SSS: Based on Monthly Salary Credit (MSC) table. A percentage rate applies to the MSC; the employer pays the larger share, the employee a smaller share, and a separate EC premium is employer-paid.
PhilHealth: Percentage of monthly basic income subject to a floor and ceiling (both adjust over time under the UHC law). Employer and employee split the premium for employed members.
Pag-IBIG: 1%–2% employee share (subject to contribution ceiling), matched by the employer up to the required cap. Many employers top up voluntarily; members can also save in MP2 (optional).

Always use the current tables/circulars. Rates and compensation ceilings change. Maintain the latest issuances in your compliance binder.

5) Remittance timing and proofs

Due dates are set by each agency (often monthly with cut-offs dependent on employer number/practical schedules).
Use official e-portals (My.SSS, PhilHealth Member/Employer Portal, Virtual Pag-IBIG) to generate PRNs.
Keep: bank/e-payment confirmations, PRN printouts, agency posting confirmations, transmittal summaries, and reconciliation reports.

Best practice: Reconcile payroll → contribution worksheets → PRNs → posted ledgers every month; clear any posting variances within the same quarter.

6) Benefits overview (why compliance matters)

SSS (employee entitlements with qualifying contributions):

Sickness (daily cash allowance), Maternity (enhanced benefit; employer advances and reimburses per rules), Unemployment (for involuntary separation; employer issues certification), Disability, Retirement (pension or lump sum), Death/Funeral.
EC Program (work-related injury/sickness/disability/death): separate schedule; employer-funded.

PhilHealth:

Inpatient/outpatient case rates; Konsulta for primary care; catastrophic (Z) benefits; eligible dependents coverage. Correct, timely posting is crucial to availments.

Pag-IBIG:

Provident savings (can be withdrawn at maturity/contingencies).
Short-term loans (multi-purpose/calamity).
Housing loans at program rates if eligibility and underwriting standards are met.

7) Compliance documentation & audit file (what to keep)

Corporate registration docs; employer registration confirmations with all three agencies.
Employee masterlist with ID numbers, dates hired/separated, salaries.
Monthly contribution computation sheets, signed payroll summaries, and PRNs.
Proofs of payment and posting; bank receipts/e-acknowledgments.
Copies of filed benefit certifications (e.g., maternity reimbursement, sickness notifications).
Policies/SOPs on onboarding, salary changes, and offboarding; data privacy notices.

Retention: keep at least 10 years (or longer if feasible) given prescriptive periods and practical disputes.

8) Penalties, liabilities, and enforcement

Non-registration, non-remittance, or misappropriation of employee shares may trigger surcharges, monthly interest, compromise penalties, criminal prosecution, and civil liability under the SSS Law, UHC/PhilHealth Law, and HDMF Law.
Officers who consent to or tolerate violations can incur personal liability.
Agencies can issue compliance orders, garnish payments due to the employer, and bar business transactions (e.g., requiring clearances for government bidding/permits).

Late posting disputes: Prepare a reconciliation pack (payroll extract, PRNs, proofs) and file a posting correction request promptly.

9) Special categories & edge cases

Minimum-wage earners: usually exempt from income tax, not from SSS/PhilHealth/Pag-IBIG (contributions still required; employee share rules may vary per agency schedule).
Expatriates: Check totalization agreements or treaty coverage; otherwise generally covered if employed in PH.
Multi-site or group employers: Map RDOs/business permits vs agency registration footprints; ensure single source of truth for employee IDs and salaries.
No-work-no-pay months: Confirm handling of zero-pay periods (some contributions may still be due depending on policies; document).
Salary loans offsetting: Loan amortizations are separate from mandatory contributions; do not skip contributions because loans are being paid.

10) Maternity, sickness, and leave coordination (SSS—employer tasks)

Maternity: Validate eligibility and advance the SSS benefit to the employee in full; then seek reimbursement per SSS rules (observe notice timelines and documentary standards).
Sickness: Track sickness notifications, advance employer-required portion if applicable, and file reimbursement claims timely.
Keep a benefits calendar so statutory deadlines are never missed.

11) Practical monthly/quarterly rhythm (checklist)

Monthly

Hire/exit updates posted in HRIS and government portals.
Contribution worksheet prepared and reviewed; PRNs generated.
Payroll run; employee share deducted; employer share added.
Remit SSS, PhilHealth, Pag-IBIG before due dates; save proofs.
Reconcile agency posted ledgers vs payroll.

Quarterly

Random spot-audit of 5–10 employees for ID/name/birthday mismatches.
Clear all variance notices (e.g., unposted PRNs).
Refresh contribution tables if new circulars issued.

Annually

Compliance refresher for payroll/HR.
Archive prior-year binders and validate offboarded employees’ final postings.
Review kasambahay (if any) separate compliance file.

12) Governance & controls

Written Delegation of Authority for payroll and government remittances.
Dual control on PRN generation and payment approval.
Cut-off calendar shared with HR/Finance; align with 13th-month and bonus cycles.
Data privacy: Limit access to member numbers; encrypt storage; purge redundant copies.

13) Frequently asked questions

Q: Can we delay remittance until the end of the quarter? A: No. Each agency sets monthly due dates. Late remittance triggers surcharges and interest and may expose officers to liability.

Q: Employee forgot or has no SSS/PhilHealth/Pag-IBIG number. Can we hire? A: Yes, but assist registration immediately and do not delay contributions. Use temporary workflows only per agency guidance.

Q: Are trainees/interns covered? A: Students under bona fide school-required OJT without pay are generally not covered as employees; paid interns/trainees typically are.

Q: We hired a contractor who works like an employee. A: If the control test indicates employment, you must register and remit as for employees—plus fix back periods (with penalties).

Q: Do we need to enroll separated employees for benefits claims? A: Contributions remitted during employment continue to count toward their personal eligibility (e.g., SSS sickness/maternity if events fall within qualifying windows).

14) One-page action plan for new or scaling employers

Register your business with SSS, PhilHealth, Pag-IBIG and secure employer numbers.
Audit your employee list for complete government IDs; assist enrollments.
Load the current contribution tables into payroll; set due-date reminders and PRN workflows.
Remit monthly and reconcile postings; fix variances within the quarter.
Train HR/payroll on benefit certification (maternity/sickness/unemployment).
Document controls (dual approvals, retention, privacy).
Review changes in rates/ceilings annually; update policies accordingly.

If you share your headcount, pay schedules, and any special worker categories (e.g., kasambahay, part-timers, expats), I can draft a customized compliance calendar, contribution worksheet template, and step-by-step onboarding/offboarding SOPs for your team.