How to use it
Enter your monthly basic salary and how many days a week you work. Add the days you worked that have not been paid yet, your unused paid leave, and the months you worked this year. Pick why you are leaving and how long you were with the company.
The formula
Your daily rate is your monthly salary × 12 ÷ 261 for a five-day week, or ÷ 313 for a six-day week. Then:
- Unpaid salary = daily rate × days worked but not yet paid.
- Leave converted to cash = daily rate × unused paid leave days.
- 13th month pay = monthly salary × months worked this year ÷ 12.
- Separation pay, only when you are let go for an authorised cause:
- redundancy or replacement by machines: one month's pay for each year of service;
- retrenchment, closure, or illness: half a month's pay for each year of service;
- either way, at least one month's pay. Six months or more counts as a whole year.
Example: ₱25,000 a month, five-day week, so a daily rate of ₱1,149.43. You resign with 5 unpaid days, 5 unused leave days, and 6 months worked this year.
- Unpaid salary: ₱5,747.13. Leave: ₱5,747.13. 13th month: ₱12,500.
- Final pay: ₱23,994.26.
Had you been let go for redundancy after 3 years, add ₱75,000 of separation pay.
Common questions
How soon must I get my final pay?
Within 30 days from the day you leave, under DOLE Labor Advisory No. 06, Series of 2020, unless your contract or company policy sets a shorter time.
Do I get separation pay if I resign?
No, not by law. Some companies give it anyway through a contract, a union agreement or company policy. You also get none if you are fired for a just cause, such as serious misconduct.
Is unused leave always paid out?
Every worker with at least a year of service earns 5 days of service incentive leave a year, and unused days must be converted to cash. Extra leave your company gives is paid out only if its policy says so.
Is final pay taxed?
Unpaid salary and leave pay are taxed like normal pay. The 13th month is tax-free up to ₱90,000. Separation pay because of redundancy, retrenchment, closure or illness is tax-free. This tool does not take out tax.
What else is in final pay?
Any tax refund from your year-end tax computation, and pay for anything else your contract promises. Your employer may subtract cash advances or loans you still owe. Ask for your Certificate of Employment and BIR Form 2316 too.
Last checked: 2026-09-26