Overtime and holiday premium pay from your salary.
Overtime pay
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Hourly rate
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OT multiplier
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Why the same hour is worth different amounts
An hour of overtime is not a flat thing in the Philippines. What it pays depends entirely on when you worked it. The Department of Labor and Employment (DOLE) sets a ladder of hourly multipliers, and the calculator above picks the right rung based on the day type you choose. Work extra hours on a normal Tuesday and the rate is gentle. Work them on a regular holiday and the same hour pays more than double. This matters because payroll mistakes cluster exactly here, with holiday and rest-day overtime often paid at the ordinary rate by accident. The tool makes the correct multiplier explicit so you can check the math against your payslip.
The multiplier ladder, rung by rung
Everything is built on the hourly rate, which the calculator derives by dividing your monthly salary by a standard 26 working days and then by 8 hours. Overtime pay is simply that hourly rate, times the number of overtime hours, times the multiplier for the day. The rates this calculator applies are an ordinary-day factor of 1.25, a factor of 1.69 for a rest day or a special non-working holiday, and 2.6 for a regular holiday. Each rung reflects the premium DOLE attaches to working when you would normally be resting. Treat these specific multipliers as the convention modelled here and confirm them against the current DOLE handbook, because the exact factors can shift with new issuances and some depend on whether the day is also your scheduled rest day.
Ten overtime hours, priced three ways
Start from a PHP 30,000 monthly salary. That gives a daily rate of PHP 1,154 and an hourly rate of about PHP 144.23. Now price 10 overtime hours under each day type, using the rates this calculator applies. The same input drives all three rows, so the only thing changing the answer is the multiplier the day type selects.
| Day type | Multiplier | Pay for 10 hours (PHP) |
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The same 10 hours swing from PHP 1,803 to PHP 3,750 purely on the calendar. If you regularly take holiday shifts, that difference is real money worth verifying every cutoff.
Where this tool stops, and what stacks on top
This calculator prices the overtime hours themselves under one day type at a time. Two things commonly stack beyond that. First, the night-shift differential: if your overtime runs past 10pm, you also earn the night premium on those hours, on top of the overtime multiplier. Second, the regular-holiday base: on a regular holiday you are generally entitled to holiday pay even for the first eight hours, separate from the overtime on hours beyond eight that this tool computes. A common error is mixing the two, treating the holiday premium on normal hours as if it were overtime. Compute them separately, then add. For tax, overtime pay is ordinary taxable income for most workers, though a statutory minimum-wage earner's overtime is exempt from income tax under the rules the Bureau of Internal Revenue (BIR) administers.
One more practical point: the multiplier the tool uses is the legal floor, so a generous employer or a collective bargaining agreement can pay more, but no contract may pay less. If you suspect your overtime was paid flat, the fastest check is to divide what you received by your hourly rate and by the hours worked, then compare the result against the multiplier for that day. When the figure comes back near 1.0 instead of the rate this calculator applies, your overtime premium was likely dropped, and that is worth raising with payroll or, if unresolved, with DOLE.
Are the first eight hours included in the overtime figure?
No. Overtime by definition is work beyond the normal eight hours in a day, so the figure here covers only those extra hours. Your basic pay for the first eight hours, plus any holiday premium that attaches to them, is calculated on its own. Enter only the hours worked past eight into the tool.
What rate applies if a holiday lands on my rest day?
When a regular holiday coincides with your scheduled rest day, the premium is generally higher than for either alone, because two entitlements overlap. This tool models a single day type at a time and does not combine them, so for that overlapping case treat the result as a floor and confirm the exact compounded multiplier with DOLE or your HR team before relying on it.