After taking calculated risks, you have finally decided to leave your current employer due to health reasons, lack of career growth, or a greener pasture, etc. Just like you, I always look forward in receiving my back pay because it can be used as savings or as an additional fund that you can utilize while transitioning to your new job.

Computation of back pay may vary depending on your company polices however, the following items should be considered.

1.       Last Salary – your last salary may be withheld and will be release as back pay.
2.       Pro Rated 13th month pay.
3.       Tax Refund
4.       Vacation and Sick Leave conversion (if convertible to cash).
5.       Other deductions or liabilities – loans or lost equipment (Headset, locker keys, etc.)

Illustration of Last Pay Slip for Back Pay

Aside from your last pay the employer should also release your Certificate of Employment, BIR Form 2316 and a release waiver and quitclaim that you need to sign to acknowledge that you received your last pay which releases the company of any obligation.

Most companies will issue your last pay within 30 – 60 business days after your last day of work. However there might be some reasons why it’s delayed.

1. Your manager has not submitted the clearance to HR.
2. The signatory of your last paycheck might not be available.
3. Companies are aware that there is no provision in the labor code in relation to the period of payment of last pay which technically allows them to hold it off.

Though, reason number 3 states that there is no provision in the law that covers the period of payment of last pay, companies should give it within a reasonable time or whatever is stated on the employment contract.

In case the reasonable time has lapsed and you have documented a proof that your previous employer has not given your last salary, you may now file a complaint at the National Labor Relations Commission (NLRC) or Department of Labor and Employment (DOLE).

You can also contact the BPO Workers Organization below which offers assistance to BPO employees.

Did you encounter any delays on getting your last pay?

There are a lot of articles that have been published on how to compute the 13th month pay and I have read most of it however, I think it’s missing the actual calculator that can compute our estimated 13th month pay.

The 13th month pay calculator that we have created would be beneficial especially for those employees who have been employed by the company for less than a year because, the amount of the 13th month pay will be pro-rated (will depend on the number of days or months of service).

Based on DOLE’s Department Advisory  the number of days for leave without pay should be taken into consideration.

Computation 1: If you have been employed by your company for more than a year use the computation below;

Computation 2: Pro- Rated computation. If you have been employed by your company for less than a year use the computation below;

Our Calculator has used the formula above to compute your estimated 13th month pay. 

How to use the calculator:

• If you have been in the company for more than a year just replace the value of salary and the no of days for leave without pay then click on compute.
• If you have been in the company for less than a year replace the value of salary, month of hire, date of hire and no of days for leave without pay  then click on compute.

13th Month Calculator

Basic Salary Per Month: Php
Month Hire (Jan = 1, Feb = 2 etc):
Day of hire (1-31):
No. of Day(s) for Leave without Pay: Day(s)

To know the amount of SSS Benefit that you will get in case you retire click the link below; http://www.callcenterfocus.com/2014/10/sss-retirement-computation.html

Note: You may consult your HR Personnel directly for queries about bonuses.