Average Salary in the Philippines 2022

How much money does a Filipino worker earn?

Around 44,600 Philippine Pesos (PHP) is the average monthly wage for workers in the Philippines. The starting wage is 11,300 PHP and may go up to 199,000 PHP.

Taking into consideration the cost of housing, transport, and other necessities, this is an average monthly salary. In terms of salary, there is a wide disparity between different sorts of jobs. Starting salaries in the data entry and manual labor industries are much lower than those in fields such as engineering and medicine.

In general, salaries in the Philippines are lower than in other developed countries. The cost of living is also relatively low, which makes it possible to live a comfortable life on a modest salary.

However, wages have been growing slowly in recent years, and many people are struggling to make ends meet.

The average salary in the Philippines is a complex topic because there is a wide range of salaries across different types of work. The starting salary for unskilled labor is very low, while the top earners in the country make much more than the average worker.

Pay Scales in the Philippines

The Pay Scale

The average monthly salary in the Philippines is 11,300 PHP, while the highest monthly salary is 199,000 PHP. The lowest monthly salary is 1,000 PHP. The median monthly salary is between 10,000-11,599 PHP.

The average hourly wage in the Philippines is 556 PHP, while the highest hourly wage is 992 PHP. The lowest hourly wage is 487 PHP. The median hourly wage is between 500-549 PHP.

Median Income

The median monthly wage is 48,200 PHP, which implies that half of the population (50%) earns less than 48,200 PHP, while the other half earns more. The median is the value that falls exactly in the center of the range.

The average monthly income is 72,697 PHP. This means that the majority of the population (52.4%) earns more than the median wage and that slightly less than half of the population (47.6%) earns below the median.

The average is calculated by summing all incomes and dividing by the number of people.

Percentiles

There are 25% of people in the population who make less than 26,800 Philippine PHP, whereas the other 75% of people earn more than 26,800 Philippine PHP.

There are 10% of people in the population who make less than 21,600 Philippine PHP, whereas the other 90% of people earn more than 21,600 Philippine PHP

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The lowest 10% earn an income of 14,400 PHP or less while the highest 10% earn an income of 119,000 PHP or more.

What is the difference between the median and the average salary?

Both the average salary and median compensations are indicators of how much an average worker in the Philippines earns. The median salary is the one at which half of all workers earn less than and half earn more.

On the other hand, the average salary includes all salaries of employees in the Philippines, whether high or low. It is computed by adding up all salaries and dividing this sum by the number of employees. The average salary is usually higher than the median salary because it is influenced by a few high-earners

The average salary in the Philippines was PHP 966.60 per day in 2019, while the median salary was only PHP 608 per day.

Comparative Wage Analysis Based on Years of Experience in the Philippines

How does a person’s pay change over the course of their career?

A person working in the Philippines may expect to earn an average total compensation of PHP 612,087 (US$13,068) per year over the course of their career.

This is lower than the median salary in the Philippines which is PHP655,200 (US$13,966). The average yearly salary in the Philippines is PHP552,857 (US$11,693).

However, a person with more experience can expect to earn a higher salary. A person with 5-9 years of experience can expect to earn an average total compensation of PHP 781,364 (US$16,946) per year. A person with 10-19 years of experience can expect to earn an average total compensation of PHP 923,958 (US$20,081) per year.

A person with 20 or more years of experience can expect to earn an average total compensation of PHP 1,031,875 (US$22,396) per year.

These numbers are based on the salaries reported by employees with various years of experience. The median salary is calculated using the salaries of employees with at least 5 years of experience. The average salary is calculated using the salaries of employees with at least 10 years of experience.

In general, a person can expect to earn more money as they gain more experience.

Comparison of Wages in the Philippines Based on Level of Education

How does your degree of education affect the amount of money you make?

Those with a tertiary degree earn the highest salaries, while those who have not completed high school earn the least.

There is a significant jump in earnings between those who have completed high school and those with some college education, indicating that furthering one’s education can lead to better-paying jobs.

Overall, we can see that there is a positive correlation between the level of education and salary in the Philippines. Therefore, if you are looking to increase your earning potential, it may be worth considering pursuing higher levels of education.

Comparison of Men’s and Women’s Wages in the Philippines

The average annual salary for male workers in the Philippines is 15% more than that of their female colleagues, across all industries. In general, women in the Philippines earn 18,959 PHP per month while men earn 22,316 PHP.

This is in line with the global trend where men earn more than women. The gender pay gap is a measure of the difference between men’s and women’s average earnings from paid employment.

In the Philippines, the unadjusted gender pay gap is 16.6%. This means that for every 1 PHP earned by a man, a woman earns 0.834 PHP. The adjusted gender pay gap is 10.4%, which takes into account factors such as education, work experience, and job type.

The biggest contributors to the unadjusted gender pay gap are differences in occupation and industry.

Women are more likely to work in lower-paying sectors such as agriculture and retail trade while men are more likely to work in higher-paying sectors such as manufacturing and mining.

Philippines Annual Salary Increase

How much are wage increases in the Philippines per year?

Employees in the Philippines may expect to get an 8% wage rise every 18 months. The cost of living in the Philippines is relatively low, which contributes to why salaries are not increased as often as in other countries.

The minimum wage in the Philippines is currently P18 per day, or P540 per month. The minimum wage is set by Region and may be different depending on where you live and work in the Philippines.

For example, workers in Metro Manila have a higher minimum wage than workers in other parts of the country.

The average salary in the Philippines is around $400 per month, which is still relatively low compared to other countries. However, there are many high-paying jobs available in the Philippines, especially in the capital city of Manila.

If you are looking for a job in the Philippines, it is important to research salaries in your field so that you can negotiate a fair wage.

Philippines Industry Growth Rate 2022

  • Healthcare – 3%
  • Banking – 5%
  • Tourism – 8%
  • Business and Professional Services – 4%
  • Information Technology – 10%
  • Construction – 7%

The average salary in the Philippines is expected to grow in 2022. Healthcare, banking, tourism, business and professional services, and information technology are among the sectors that are projected to see the highest growth rates. Construction is also expected to see strong growth.

Salaries in these sectors are expected to rise at a faster pace than the overall average salary growth rate.

Average Philippines Salary Raise by Experience

In the Philippines, junior-level workers are expected to receive a 3-5% salary raise, while senior-level workers are expected to receive a 5-8% salary raise. Also, those with extra skillsets or who are in high demand may be able to negotiate a higher salary.

For example, the average annual salary for a web developer in the Philippines is PHP 361,964, while the average annual salary for a senior web developer is PHP 557,408.

So, while experience does lead to higher salaries on average, there is still a lot of room for negotiation and earning potential at all experience levels.

Employee Bonuses and Incentive Payouts in the Philippines

How often and how much in bonuses are given out?

45% of Filipino workers indicated they had not received any bonuses or incentives in the previous year, while 55% claimed they had.

Bonuses received by employees ranged from 2% to 7% of their yearly salaries. Filipinos are more likely to get bonuses for taking on extra assignments or working long hours. Those who are able to secure promotions also receive larger bonuses.

In general, the size of the bonus is based on an individual’s position in the company and years of service.

Types of Rewards and Bonuses in the Philippines

Individual Bonuses Based on Employee Performance

These individual-based bonuses are usually fixed and are not given on a regular basis. They depend on how well the employee performs in his or her job which is often reflected in meeting targets, goals, and objectives. Individual bonuses can be in the form of cash or kind.

Bonuses Based on Company Performance

This type of bonus is usually given to all employees, regardless of their position or job performance. The amount and frequency will depend on the company’s profit or revenue for a certain period.

For example, year-end bonuses are common in the Philippines as companies celebrate their successes of the past year.

Commissions Based

The commission is a type of reward that is given to employees based on their sales performance. This can either be a fixed amount or a percentage of the total sales generated.

For example, a sales executive in a real estate company may receive 2% of the total value of a property sold.

Bonuses for the Year-End and Holiday

In the Philippines, it is common for companies to give their employees a bonus during the holidays or at the end of the year. This is seen as a way of thanking employees for their hard work and dedication throughout the year.

The amount of the bonus will depend on the company policy, but it is typically a month’s salary or more.

13th Month Pay

The 13th-month pay is a mandatory benefit in the Philippines that all companies must give to their employees. It is equivalent to one month’s salary and is usually given during the Christmas season.

Other types of bonuses and rewards that are common in the Philippines include:

  • Retention bonuses
  • Signing bonuses
  • Referral bonuses
  • Profit-sharing
  • Stock options

Comparative Bonus Rates by Profession in the Philippines

What factors determine if a position merits rich perks and a reasonable salary?

45% of Filipino workers said that they had not received any bonuses or incentives in the previous year, while 55% claimed they had.

Bonuses received by employees ranged from 2% to 7% of their yearly salaries. The average bonus was approximately 3.7% of an employee’s salary.

For those who did receive bonuses, the median amount was PHP 10,000 (US$200), with the highest earners receiving up to P50,000 ($1,000).

The most common benefits received by employees were health insurance, followed by housing allowance and transportation allowance.

Comparative Analysis of Seniority-Based Bonuses in the Philippines

Bonuses based on years of service are common in the Philippines for senior-level employees. Bonuses may be as high as 100% of a person’s pay in rare situations.

The following table provides a comparison of the average salaries of senior-level workers in the Philippines across different industries:

  • Banking – PHP 437,917
  • Construction – PHP 263,333
  • Information Technology – PHP 300,000
  • Manufacturing – PHP 316,667

The table above demonstrates that senior-level workers in the Philippines receive bonuses that are based on their years of service. In some cases, these bonuses can be as high as 100% of one’s salary.

The banking industry is the highest paying industry for senior-level workers, followed by information technology and manufacturing. Senior-level workers in the construction industry earn the least amount of money when compared to other industries.

Pay for High-Potential Careers

Construction / Building / Installation

  • Civil Engineer – 40,600 PHP
  • Construction Project Manager – 69,300 PHP
  • Health and Safety Officer – 19,300 PHP

Information Technology

  • Network Engineer – 40,600 PHP
  • Software Developer – 45,000 PHP
  • Database Administrator – 42,400 PHP

Marketing / Advertising / Communications

  • Brand Manager – 63,100 PHP
  • Digital Marketing Manager – 75,900 PHP
  • Copywriter – 21,800 PHP

Legal and Law Enforcement

  • Corporate Attorney – 95,000 PHP
  • Criminal Defense Attorney – 81,500 PHP
  • Police Sergeant – 29,900 PHP

Teaching / Education

  • High School Teacher – 28,400 PHP
  • Special Education Teacher – 33,100 PHP
  • Guidance Counselor – 31,700 PHP

Science / Research and Development

  • Clinical Research Coordinator – 42,500 PHP
  • Medical Scientist – 68,800 PHP
  • Psychologist – 37,200 PHP

Management

  • Commercial Banking Manager – 102,000 PHP
  • Investment Banking Manager – 107,000 PHP
  • Restaurant Manager – 32,200 PHP

Sales / Business Development

  • National Sales Manager – 119,000 PHP
  • Regional Sales Manager – 89,700 PHP
  • Account Executive – 49,500 PHP

Comparison of Salary by City

Here is the salary based on the city in the Philippines.

  • Manila – PHP 23,274.32
  • Cebu –  PHP 20,511.48
  • Davao – PHP 19,265.60
  • Baguio – PHP 18,194.84
  • General     PHP 16,769.96

The average salary in the Philippines is PHP 23,274.32. The highest average salary is in Manila followed by Cebu and Davao. The lowest average salary is in General Santos City.

The Philippine Standard Hourly Wage

Filipinos earn an average of 260 PHP per hour. The minimum wage in the Philippines is currently set at 205 PHP per day. The average salary in the Philippines is around 10,000 PHP per month.

The average salary in Manila is 15,000 PHP per month while Cebu city is around 12,000 PHP. Outside of Manila and Cebu, salaries are generally lower with the exception of a few cities such as Davao which has a similar cost of living to Manila.

The average salary for fresh graduates in the Philippines is around 8,000-10,000 PHP per month. Salaries will increase with experience and can reach up to 20,000-30,000 PHP or more for top executives and managers.

The Salary Differences Between the Government and Private Sector

There is a 12% wage disparity between public and private sector workers in the Philippines. The average salary in the private sector is Php 20,971 per month while government employees earn an average of Php 23,531 per month.

This difference is due to a number of factors, including:

  • The type of work performed: Private sector workers are more likely to be employed in lower-skilled occupations than government workers.
  • The level of education: Government employees tend to have higher levels of education than private-sector workers.
  • The experience: Government employees have on average more years of experience than private-sector workers.

The above three factors result in government employees having a higher earning potential than private-sector workers. However, this does not mean that all government jobs are better paid than all private-sector jobs. There are many high-paying private-sector jobs that offer better salaries than some government jobs.

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