Pag-IBIG Fund FAQs
The Pag-IBIG Housing Development Program provides low-interest housing and land acquisition loans to its members, payable for up to 30 years, giving employees working in the Philippines an opportunity to own a house with easy payment plans that can directly be deducted from their monthly wages.
A private employee, whether permanent, temporary, or provisional, who isn't over 60 years old, is required to be a Pag-IBIG member.
In addition, an expatriate who isn't more than 60 years old and is compulsorily covered by the Social Security System (SSS) is also required to register with Pag-IBIG. This is regardless of citizenship, nature and duration of employment, and the manner by which his compensation is paid. In the absence of an explicit exemption from SSS coverage, the said expatriate, upon assumption of office, shall be covered by the Fund.
Aside from housing loans, Pag-IBIG members can avail of the following:
- Multipurpose cash loan
- Calamity fund cash loan
- Additional savings channel via increased monthly contribution or enrolling in the Modified Pag-IBIG Fund II Program
- Pag-IBIG Fund Loyalty Card (to get discounts from partner companies)
As an employer-member, your responsibilities include:
- Acting as an agent of both the Fund and the employee, collecting and remitting monthly contributions
- Implementing loan payments through salary deduction, if the member-borrower consents in writing to do so
- Indicating on the employee’s pay slips all deductions for contributions, including loan amortization payments
- Informing the Fund of newly hired employees and other incidences that may affect an employee’s Pag-IBIG membership
The duty of the employer to deduct and remit monthly contributions and amortization payments, as well as to pay the employer counterpart, shall cease upon the employee’s death, resignation, or separation from the company.
If you have new employees:
- Ask them to give you their Pag-IBIG Membership ID (MID) number.
- Update your Membership Savings Remittance Form (MSRF). Under the Remarks column, write N and the hiring date (in MM/DD/YYYY format) of each new hire (ex. N: 05/20/2019).
You're not required to facilitate your employees' loan application, although some companies offer this service. However, you need to provide some of the requirements that Pag-IBIG will need as part of your employees' loan application such as proof of employment or pay slip.
You can download Pag-IBIG forms here.
You can read the Pag-IBIG rules and regulations here.
The payment due date depends on the first letter of the employer's name.
- A to D: 10th to the 14th day of the month following the period covered
- E to L: 15th to the 19th day of the month following the period covered
- M to Q: 20th to the 24th day of the month following the period covered
- R to Z: 25th to the end of the month following the period covered
Payment can be done by enrolling in an accredited bank’s electronic collection facility.
- Accomplish the enrollment form and comply with the bank's requirements.
- Once approved, the bank will provide you access (user ID and password) to its electronic collection facility.
To remit membership savings or loan amortizations:
- Log in to the bank’s website (or go to the Pag-IBIG website and click on the bank’s logo, which will automatically redirect you the bank’s website).
- Upload the MCRF based on Pag-IBIG's file structure format.
- You or your registered authorizer will receive an electronic notification for each successful upload. You'll have to approve payment for MSS/STL.
- If your transaction is successful, you'll see the Transaction Reference Number.
- Retrieve the electronic receipt from the system.
- Print the Transaction Reference Number (TRN) to serve as proof of payment.
You can pay online through the electronic collection facility of Pag-IBIG's partner banks (Unionbank, BPI, Landbank, Security Bank) and any bank that's part of the BancNet network.
Any employee earning P5,000 or higher per month will have a 2% deduction for both employee and employer share. The combined amount represents the total monthly contribution to Pag-IBIG. Note though that both employee and employer shares top at P100 each.
The monthly contribution becomes savings contributions with the Pag-IBIG fund. This earns annual dividends that are competitive and usually above inflation rate. Members can withdraw their contributions ("savings") upon maturity of 20 years.
You can refer to this file for instructions on how to fill out the MCRF.
To download the Excel file of the MCRF, which you can upload to your bank's electronic collection facility, click on this link.
You'll need to go to a Pag-IBIG fund payment center to pay the total contribution and submit a physical copy of an updated MCRF.
If you fail to pay or remit the contributions, you'll be charged a penalty equivalent to 1/10 of 1% of the amount due per day of delay starting on the first day immediately following the due date until the date of full settlement.
You're not required to match your employee's increased contribution. You just need to update the MCRF with the additional value and pay the additional amount deducted from your employee's salary.
You won't be required to pay the equivalent amount of contribution covering the period of your employee's absence without leave/suspension. You just need to inform Pag-IBIG about this in the Remittance Report.