Free tool
13th month pay calculator for your Filipino VA
Many US business owners give their virtual assistant in the Philippines a 13th month payment each December. Enter what you pay, and you'll have the amount in seconds.
13th month amount
$1,200.00
Based on $14,400.00 in regular pay this year.
General information, not legal or tax advice. For your situation, talk with an attorney or tax professional. See the official rules (opens in a new tab).
What is 13th month pay?
In the Philippines, employers must give rank-and-file employees an extra month of pay each year, by December 24. The amount is one-twelfth of the basic pay they earned that year.
Source: Department of Labor and Employment, FAQs on 13th Month Pay (opens in a new tab)
Do I have to pay 13th month pay to my VA?
13th month pay is required for employees in the Philippines. Independent contractors generally aren't covered, but many US clients pay it anyway as a benefit, because it's expected and it helps keep good people.
How to calculate 13th month pay
Add up the regular pay your VA earned this year, then divide by 12.
- $1,200 a month for 12 months: $14,400 ÷ 12 = $1,200
- $1,200 a month for 6 months: $7,200 ÷ 12 = $600
- $8 an hour, 40 hours a week, all year: $16,640 ÷ 12 = about $1,387
How owners build it into the agreement
- Decide whether you'll offer it, and put it in your work agreement so your VA can count on it.
- Pay it in December. In the Philippines it's paid by December 24, so that's when it's expected.
- Base it on regular pay, not bonuses or extra hours.
- Some owners start after the first full year. Others pay a share based on months worked. Pick one and write it down.
For rates, holidays and the rest of the pay picture, read how much to pay a virtual assistant in the Philippines.
Questions owners ask
13th month pay for your VA, answered
Is 13th month pay required for a virtual assistant in the Philippines?
It's required for employees in the Philippines. Independent contractors generally aren't covered, but many US clients pay it anyway as a benefit.General information, not legal or tax advice. For your situation, talk with an attorney or tax professional.
How do I calculate 13th month pay?
Add up the regular pay your VA earned during the year and divide by 12. If they worked part of the year, use only the months they worked.
When should I pay 13th month pay?
Most owners pay it in December. In the Philippines, it's paid by December 24.
Does 13th month pay include bonuses or overtime?
No. It's based on regular pay. Bonuses and extra hours are usually left out.
Want help setting up pay and your work agreement?
Remote Team Consulting covers fair pay, 13th month, Philippine holidays and a simple work agreement, in plain language.