Pag-IBIG Contributions 2026: Rates, Computation and How They Differ from SSS
If you work in the Philippines, two deductions appear on almost every payslip next to each other: SSS and Pag-IBIG. Many people assume Pag-IBIG is part of the Social Security System, but it is a separate government agency with its own rules, its own member number and a very different contribution. This guide explains how much you pay to Pag-IBIG in 2026, how it is computed, and how it compares with your SSS contribution.
Pag-IBIG Fund (officially the Home Development Mutual Fund, HDMF) is a government savings and housing finance fund. SSS is social insurance: it pays pensions and benefits for retirement, sickness, maternity, disability, death and unemployment. Most private-sector workers must contribute to both.
Pag-IBIG vs SSS at a Glance
| Pag-IBIG Fund (HDMF) | SSS | |
|---|---|---|
| What it is | Savings and housing finance fund | Social insurance (pensions and benefits) |
| Contribution rate | Employee 2% (1% if earning ₱1,500 or less) + employer 2% | 15% of the Monthly Salary Credit: employer 10%, employee 5% |
| Salary used for computation | Up to ₱10,000 (Monthly Fund Salary) | ₱5,000 to ₱35,000 (Monthly Salary Credit) |
| Maximum monthly contribution | ₱200 employee + ₱200 employer = ₱400 | ₱1,750 employee + ₱3,530 employer (incl. ₱30 EC) |
| What you get back | Your savings plus annual dividends, paid out at membership maturity or termination | Pension and benefits when a covered event happens |
| Main loans | Housing, multi-purpose and calamity loans | Salary, calamity and pension loans |
Pag-IBIG Contribution Rates in 2026
Pag-IBIG contributions are set by Republic Act No. 9679 (the Home Development Mutual Fund Law of 2009):
- Employees earning ₱1,500 or less a month pay 1% of their monthly compensation;
- Employees earning more than ₱1,500 pay 2%;
- The employer pays 2% of each covered employee’s monthly compensation.
The percentage is not applied to your full salary. It is applied only up to the Monthly Fund Salary (MFS), which Pag-IBIG raised from ₱5,000 to ₱10,000 starting February 2024. Because of this cap, anyone earning ₱10,000 or more pays exactly ₱200 a month, and the employer adds another ₱200, for a total of ₱400 a month going into the member’s Pag-IBIG Regular Savings. Before February 2024 the amounts were ₱100 each.
| Monthly compensation | Employee share | Employer share | Total |
|---|---|---|---|
| ₱1,500 | ₱15 (1%) | ₱30 (2%) | ₱45 |
| ₱5,000 | ₱100 (2%) | ₱100 (2%) | ₱200 |
| ₱8,000 | ₱160 (2%) | ₱160 (2%) | ₱320 |
| ₱10,000 and above | ₱200 (cap) | ₱200 (cap) | ₱400 |
How Much Goes to SSS and Pag-IBIG from Your Salary
SSS is computed differently: the rate is 15% of your Monthly Salary Credit (MSC), which ranges from ₱5,000 to ₱35,000 under SSS Circular No. 2024-006. The employer also pays the Employees’ Compensation (EC) contribution of ₱10 or ₱30. See the full bracket list in our SSS contribution table for employees and employers, or compute your exact amount with the SSS contribution calculator.
Here is what an employee and the employer pay every month to the two agencies at a few typical salaries:
| Monthly salary | SSS – employee | Pag-IBIG – employee | Employee pays in total | SSS – employer (incl. EC) | Pag-IBIG – employer | Employer pays in total |
|---|---|---|---|---|---|---|
| ₱10,000 | ₱500 | ₱200 | ₱700 | ₱1,010 | ₱200 | ₱1,210 |
| ₱15,000 | ₱750 | ₱200 | ₱950 | ₱1,530 | ₱200 | ₱1,730 |
| ₱25,000 | ₱1,250 | ₱200 | ₱1,450 | ₱2,530 | ₱200 | ₱2,730 |
| ₱35,000 and above | ₱1,750 | ₱200 | ₱1,950 | ₱3,530 | ₱200 | ₱3,730 |
As the table shows, the Pag-IBIG share stays at ₱200 once you earn ₱10,000 or more, while the SSS share keeps growing with your salary up to the ₱35,000 cap. PhilHealth is a third, separate deduction; read our overview of PhilHealth and its relationship with SSS.
What You Get for Your Contributions
Pag-IBIG: savings that earn dividends
Your Pag-IBIG contributions, together with your employer’s share, are your savings. They earn annual dividends based on the Fund’s income. For 2025, Pag-IBIG declared a dividend rate of 6.62% on Regular Savings and 7.12% on MP2 Savings (the voluntary savings program), a record payout of ₱64.34 billion announced in February 2026.
The savings are paid back to you, your estate or your beneficiaries when membership ends. Under RA 9679, membership matures after 20 years with 240 monthly contributions, and it can end earlier because of retirement, permanent disability, death or departure from the country, among other grounds allowed by law. Pag-IBIG estimates that a member who saves at the current rates for 20 years would receive around ₱174,000.
Your savings also determine how much you can borrow through the Pag-IBIG multi-purpose loan and calamity loan, and membership is required to apply for a Pag-IBIG housing loan.
SSS: insurance and pension
SSS contributions are not a savings account you can withdraw. They buy protection: a monthly pension at retirement, and cash benefits for sickness, maternity, disability, death and funeral, and unemployment. The amount depends on your contribution history and your MSC; you can estimate your future pension with our SSS pension calculator. The part of the contributions above ₱20,000 MSC goes to the Mandatory Provident Fund, an individual savings account inside SSS.
SSS also offers loans, including the SSS calamity loan, which is separate from the Pag-IBIG calamity loan.
Key Differences Between Pag-IBIG and SSS
- Separate agencies, separate numbers. Your SSS number and your Pag-IBIG Membership ID (MID) number are different, and contributions are reported and paid separately. A payment to SSS is not credited to Pag-IBIG, and vice versa.
- Savings vs insurance. Pag-IBIG gives your money back with dividends; SSS pays benefits when a covered event happens.
- Size of the contribution. Pag-IBIG is capped at ₱200 per side; SSS can reach ₱1,750 for the employee and ₱3,530 for the employer.
- No effect on each other. Paying Pag-IBIG does not increase your SSS pension, and missed SSS contributions are not covered by your Pag-IBIG savings.
Who Must Pay Both
Under RA 9679, Pag-IBIG membership is mandatory for all employees covered by SSS (and GSIS for government workers), including their employers, and for Filipinos employed by foreign-based employers. Spouses who manage the household full-time may join voluntarily.
If you are not a regular employee, check the SSS rules for your group: self-employed members, OFWs, voluntary members and non-working spouses, and kasambahays and their employers.
Frequently Asked Questions
Is Pag-IBIG part of SSS?
No. Pag-IBIG Fund (HDMF) and the Social Security System are separate government agencies. They are often mentioned together because employers deduct both from salaries every month.
How much is the Pag-IBIG contribution in 2026?
For employees earning ₱10,000 or more, ₱200 a month, plus ₱200 from the employer. For lower salaries it is 2% of the monthly compensation (1% if you earn ₱1,500 or less), with the employer paying 2%.
Can I get my Pag-IBIG contributions back?
Yes. Your total savings, the employer’s share and the dividends are paid out when membership matures (20 years and 240 monthly contributions) or ends for another reason allowed by law, such as retirement, permanent disability or death.
Can I get my SSS contributions back in the same way?
No. SSS contributions are paid out as benefits, mainly the retirement pension. If you have fewer than 120 monthly contributions at retirement age, SSS pays a lump sum instead of a monthly pension. See how much you need to contribute for an SSS pension.