Paycheck Vocab
The total amount of money earned by an employee before any taxes or penalties are taken out.
What is Gross Pay?
If you earn ₱100/hour and work an 8-hour shift, this is your daily gross pay.
What is ₱800?
This mandatory year-end bonus, required by law in the Philippines, equals one month of your base salary
What is 13th Month Pay?
A mandatory percentage taken by the government from your gross pay to fund public services.
What is Income Tax?
A percentage of total sales paid to an employee, often used to motivate salespeople.
What is a Commission?
A fixed regular payment, typically paid on a monthly or biweekly basis, often expressed as an annual sum.
What is a Salary?
Working 5 days a week at ₱500 a day yields this weekly gross.
What is ₱2,500?
A one-time flat bonus given to an employee simply as an incentive for joining the company.
What is a Signing Bonus?
The financial penalty applied when an employee arrives after their scheduled shift time begins.
What is a Late Penalty (or Tardiness Deduction)?
A small amount of extra money given voluntarily by a customer to a service worker, like a waiter or driver, for excellent service.
What is a Tip (or Gratuity)?
A regular payment usually paid on a daily or weekly basis, directly tied to the specific number of hours worked.
What is a Wage
This is the standard number of weeks in a year used by HR and accountants to calculate annual salary from a weekly wage.
What is 52 weeks?
An extra multiplier or premium paid to an employee for voluntarily working on a recognized public event like Christmas or Independence Day.
What is Holiday Pay?
A temporary company shutdown where employees are put on mandatory, unpaid leave for a set number of weeks.
What is a Furlough?
A payment system where a worker is paid a fixed amount for each individual item they produce or action they complete, rather than the hours they work.
What is Piece-Rate Pay (or Piecework)?
The amount of money you actually take home after all taxes, benefits, and penalties are subtracted.
What is Net Pay?
You earn ₱120/hour but face a 1-hour late penalty every day for a 5-day workweek. This is your total deduction for the week.
What is ₱600?
Earning a degree gives you a 10% raise on your ₱100/hour base rate. This is your new hourly rate.
What is ₱110/hour?
You break a company laptop and are charged a ₱500 flat fee deducted from your ₱2,500 weekly pay. This is your net pay for the week.
What is ₱2,000?
An extra premium percentage added to your regular pay for working during unusual or late hours, typically between 10:00 PM and 6:00 AM.
What is a Night Shift Differential?
The absolute lowest hourly rate an employer is legally allowed to pay an employee.
What is Minimun Wage?
An employee earns exactly ₱20,000 a month. This is their calculated annual base gross pay.
What is ₱240,000?
A loyalty multiplier doubles your base annual gross of ₱200,000. This is your newly calculated total.
What is ₱400,000?
A 10% tax bracket applied to a base annual gross salary of ₱300,000 results in this exact deduction amount.
What is ₱30,000?
A payment made to an artist, author, or creator based on a percentage of the revenue generated by the sale or use of their work.
What is a Royalty?