The Taxberg
₱ 13,215
Net pay
₱ 46
Tax the employer pays
₱ 1,400
Tax you pay
Total tax paid
₱ 1,447
Did you know your employer also pays tax on your salary? It costs the employer ₱ 46 to pay you ₱ 14,615. In other words, every time you spend ₱ 10 of your hard-earned money, ₱ 0.99 goes to the government.
Real tax rate
So, with you and the employer both paying tax, what used to be a 9.6% tax rate now rises to 9.9%, meaning your real tax rate is actually 0.3% higher than what it seemed at first.