DE MINIMIS BENEFITS

> Facilities and privileges of relatively small value furnished and offered by an employer
to his employees are not considered as compensation subject to income tax and
consequently to withholding tax.

> It is a means of promoting the health, goodwill, contentment or efficiency of employees CEILING
MONTHLY YEARLY REMARKS

MONETIZED VACATION LEAVE not exceeding ten(10) days If P466 per day x 10 days. The
1 4,660 higher the daily rate, the better.
Monetize value of vacation and sick leave credits paid to government officials and employees
2
MEDICAL CASH ALLOWANCE to dependents of employees not exceeding P750 per employee
3 per semester of P125 per month 125 1,500
RICE SUBSIDY of P1,500 or one sack of 50kg rice per month
4 1,500 18,000
UNIFORM & CLOTHING ALLOWANCE not exceeding P5,000 per annum
5 5,000
ACTUAL YEARLY MEDICAL BENEFITS not exceeding P10,000 per annum
6 833 10,000
LAUNDRY ALLOWANCE not exceeding P300 per month
7 300 3,600
EMPLOYEES ACHIEVEMENT AWARDS not exceeding P10,000 We should limit the use of it. Not
8 10,000 all employees can used it.
GIFTS given during Christmas and major anniversary celebration not exceeding P5,000 per MINIMUM WAGE = P466 ; P466 *
9 annum 5,000 25% = P117. The higher the daily
rate, the better. Rank and file
DAILY MEAL ALLOWANCE for OVERTIME WORK not exceeding 25% of the basic minimum employees, as well as supervisors
wage MINIMUM
can use it. WAGE = P466
However, ; P466
officers *
of the
10 3,039 36,465 25% = P117.
company Theentitled
are not higher totheit daily
as
rate, the not
they are better. Ranktoand
required file
render
Benefits received by an employee by virtue of Collective Bargaining Agreement (CBA) and employees,
overtime work.as well as supervisors
productivity incentive scheme can use it. However, officers of the
11 10,000 company are not entitled to it as
104,225 they are not required to render
104,225 overtime work.
0