TAGBILARAN CITY, Bohol (PIA) – More than a year after the contributions to the Home Development Mutual Fund (HDMF) or Pag-IBIG Fund have been doubled, there are still around 600 registered employers in Bohol who have yet to implement the increase.
Pag-IBIG Fund Bohol marketing division supervisor Leonardo Cirujales appealed to employers to implement Pag-IBIG Fund Circular No. 460, which states that the maximum fund salary to be used in computing the employer and employee savings is increased from P5,000 to P10,000 per month.
Cirujales warned employers that the failure to deduct or remit means fines and penalties that accumulate over time.
“Mohangyo lang gyud pod ta sa mga employers nga palihug, one year na man tong Circular No. 460, nga mag-increase ta February 2024. Unya naa pa baya tay mga employers karon nga wala pa gyud sila nag effect sa increase. Sa formal sector, mandatory man gyud na dapat nga iremit sa Pag-IBIG Fund. Kon wala pa mo magremit, paninglan gyud mo,” he said.
(We are appealing to employers to implement Circular No. 460. Until, there are still employers here who have yet to implement the increase. This is mandatory for the formal sector. If you do not remit, we will really collect these from you.)
Cirujales also urged employees to be proactive and inform their employers if they notice discrepancies in their pay slips.
“As for employees, when you notice in your pay slip that the deductions are still at P100, remind your employers about the circular and its implementation,” he said.
“That way, your monthly savings increase and your total accumulated savings when you decide to take back your savings, can also be a huge lump sum,” Cirujales added.
Section C of Pag-IBIG Fund Circular No 460 specifies that unless otherwise noted, the contribution rate of all Pag-IBIG Fund members, both mandatory or voluntary shall be: for P1,500 and below, employee pays 1 percent of P10,000 (P100) while the employer pays 2 percent of P10,000 (P200).
For those earning over P1,500, the employee pays 2 percent of P10,000 (P200) as his personal share while the employer pays 2 percent of the P10,000 (or P200), for a monthly accumulated savings of P400 for the worker.
That means that the employee’s savings in Pag-IBIG Fund is doubled earlier and the financial assistance he can avail of for housing and other needs is also doubled.
Cirujales said Pag-IBIG Fund sees no problem with compliance in the government sector as the Department of Budget and Management (DBM) has earlier issued a circular informing all budget officers of government offices to comply with the increase.
For more information, employers can contact Pag-IBIG Bohol marketing division chief Leonardo Cirujales at 09472628281. (RAHC/PIA7 Bohol)
