HDMF Contribution Rates Table 2026

Understanding the 2026 Pag-IBIG Contribution Matrix

The Home Development Mutual Fund (HDMF), universally known as the Pag-IBIG Fund, is the primary national savings program and affordable shelter financing system for Filipinos. To ensure the fund remains robust enough to offer incredibly low-interest housing loans, active members are mandated to remit monthly savings.

Before diving into the exact numbers, it is critical to understand the primary computational rule: The Maximum Fund Salary (MFS) Cap. For the year 2026, the government strictly caps the computation base at exactly ₱5,000. This means that even if you earn ₱100,000 a month as a senior executive, your Pag-IBIG deduction is mathematically calculated as if you only earn ₱5,000.

The Official 2026 Rates Table

Demystifying the Employee vs. Employer Share

If you are formally employed within the Philippines by a registered corporation, your contribution burden is cut in half by legal mandate.

Let’s say you earn ₱30,000 monthly. Because of the ₱5,000 maximum cap limit, we only use ₱5,000 for the math. You fall under the "Above ₱1,500" bracket.

• Your Employee Share: 2% of ₱5,000 = ₱100. This is exactly what HR deducts from your physical payslip.
• The Employer Share: By law, your company must match your contribution out of their own corporate budget. They also pay 2% of ₱5,000 = ₱100.
• Total Transmitted: Every month, precisely ₱200 enters your Pag-IBIG savings ledger.

This is why formal employment is highly advantageous; you are essentially receiving free money from your company every month into a tax-free, dividend-earning government savings account.

The Kasambahay Exemption Rule

The Republic Act 10361, commonly known as the Domestic Workers Act or Kasambahay Law, provides a very strict safety net for maids, cooks, drivers, and gardeners.

If a kasambahay earns legally less than ₱5,000 a month, they are completely legally exempt from paying the Pag-IBIG deduction from their own pocket. Instead, their employer (the household head) is legally obligated to shoulder the entire cost. However, if their salary meets or exceeds ₱5,000, standard contribution splitting applies rapidly (a 2% deduction across the board).

Why You Should Voluntarily Upgrade (The ₱100 Limitation)

Paying the absolute bare minimum ₱100 a month feels great for your monthly budget, but it is financially hazardous in the long term.

Pag-IBIG specifically dictates your maximum loanable amount based aggressively on two things: your capacity to pay, and your Total Accumulated Value (TAV). If you plan on borrowing several million pesos for a house, showing a decade of ₱100 minimum payments signals tremendous weakness to their underwriting department.

You can instruct your HR department (or manually top up via Virtual Pag-IBIG) to voluntarily deduct ₱500, ₱1,000, or even ₱5,000 a month. This upgraded savings acts as an enforced discipline tool, earns extremely high tax-free annual dividends, and radically increases your future borrowing capacity. Note that your employer is only required to match the initial mandatory ₱100; everything beyond that is solitary upgraded saving.