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COST OF DOING BUSINESS IN THE PHILIPPINES (As of February 2017) REGISTRATION FEES

Securities and Exchange Commission (SEC)

I. REGISTRATION OF NEW CORPORATIONS/ PARTNERSHIPS (fees as of 20 May 2004)

A. Name Verification/Reservation Fee P40.00 per allowed name (30 day-reservation)

B. Articles of Incorporation/Partnership

1. Stock Corporation with par value

1/5 of 1% of the authorized capital stock or the subscription price of the subscribed capital stock whichever is higher but not less than P1,000.00 plus LRF*

2. Stock Corporation without par value

1/5 of 1% of the authorized capital stock computed at P100.00 per share or the subscription price of the subscribed capital stock whichever is higher but not less than P1,000.000 plus LRF*

3. Non-stock corporation

P500.00 plus LRF

4. Partnerships 1/5 of 1% of the partnership’s capital but not less than P1,000.00 plus LRF

C. By-laws of both stock and non-stock corporation P500.00 plus LRF

D. Applications Under Foreign Investments Act P2,000.00 plus (in addition to filing fee for articles of incorporation)

E. License to Operate – Foreign Corporations

1. Branch Office

Filing fee is 1% of the actual inward remittance of the branch of foreign corporation converted into Philippine currency but not less than P2,000.00 plus LRF

2. Representative Office Filing fee is 1/10 of 1% of the actual inward remittance to the foreign corporation converted into Philippine currency but not less than P2,000.00 plus LRF

3. Regional Headquarters of Multinational Corporations P5,000.00 plus LRF

4. Regional Operating Headquarters or Petition for Conversion of an Area or Regional Headquarters into Regional Operating Headquarters

Filing fee is 1% of the actual remittance but not less than 1% of the Philippine currency equivalent of US$200,000.00 at the time of remittance plus LRF*

5. Non-stock Foreign Corporation P2,000.00

*Legal Research Fee (LRF) For more information, please visit: http://iregister.sec.gov.ph/MainServlet

Department of Trade and Industry (DTI)

A. Business Name Registration of Single Proprietorships

A1. Registration Original Renewal

A2. Scope

A2a. Barangay PhP200.00 PhP200.00

A2b. City/Municipality PhP500.00

PhP500.00

A2c. Regional PhP1,000.00 PhP1,000.00

A2d. National PhP2,000.00 PhP2,000.00

A3. Other Fees

A3a. Surcharge for Renewal

A3a1. If filed within three (3) months from the expiration of the five (5)-year period

Free of Charge

A3a2. If filed after the said period of three (3) months

50% of the selected territorial scope

http://iregister.sec.gov.ph/MainServlet

For more information, please visit: http://ww.dti.gov.ph http://www.bnrs.dti.gov.ph/web/guest/faqsfees

BOARD OF INVESTMENTS (BOI)

Filing/Application Fees*

Classification Project Cost MSE Fees (Php) Regular Fees (Php)

New/Expansion

SMALL Exceeding Php3 million but not over Php4 million

375 1,500

Exceeding Php4 million but not over Php 15 million

750 3,000

MEDIUM Exceeding Php15 million but not over Php20 million

NA 3,000

Exceeding Php20 million but not over Php50 million

NA 4,500

Exceeding Php50 million but not over Php100 million

NA 6,000

LARGE Over Php 100 million NA 6,000

A3b. Certification (Change in Business Profile, Negative Certification, etc.)

PhP50.00

A3c. Credit Investigation - per Business Name

PhP50.00

A4. Documentary Stamp Tax PhP15.00

A5a. Listing of Accredited Enterprises

A5a1. Hard Copy - per page of the first five (5) pages

PhP20.00

- per page of the succeeding page(s) PhP 3.00

A5a2. Soft Copy (in diskette) - per Business Name

PhP 5.00

B. Certificate of Authority to Engage in Business under R.A. 7042 (Foreign Investment Act)

B1. Filing Fee PhP500.00

B2. Registration Fee PhP5,000.00

C. Accreditation of Service and Repair Enterprises

Original Renewal

C1. Registration Filing Fee Accreditation Fee

C1a. One-Star PhP50.00 PhP350.00 PhP350.00

C1b. Two-Star PhP50.00 PhP400.00 PhP400.00

C1c. Three-Star PhP50.00 PhP425.00 PhP425.00

C1d. Four-Star PhP50.00 PhP450.00 PhP450.00

C1e. Five Star PhP50.00 PhP500.00 PhP500.00

C1f. Medical/Dental PhP50.00 PhP350.00 PhP350.00

C2. Documentary Stamp Tax PhP 15.00

C3. Other Fees/Charges

C3a. Certification; Replacement of a lost/destroyed Certificate

PhP 50.00

C3b. Listing of Accredited Enterprises

C3b1. Hard Copy - per page of the first five (5) pages

PhP 20.00

- per page of the succeeding page(s PhP 3.00

C3b2. Soft Copy - per Accredited Enterprise

PhP 5.00

http://www.bnrs.dti.gov.ph/web/guest/faqsfees

EXISTING ASSETS

Micro Not exceeding Php3 million

Waived 1,500

Small Exceeding Php3 million but not over Php15 million

375 1,500

Medium Exceeding Php15 million but not over Php100 million

NA 1,500

Large Over Php100 million NA 1,500

Registration Fees

Classification Project Cost MSE Fees (Php) Regular Fees (Php)

New Expansion


Waived 1/10 of 1% of project cost, but not less than Php3,000; and not to exceed Php15,000

Small Not exceeding Php3 million

25% of 0.1% of project cost, but not less than Php3,000


NA

Large Over Php100 million NA

Existing


Waived 3,000

Small Exceeding Php3 million but not over Php15 million

750 3,000


NA 3,000

Large Over Php100 million NA 3,000

For more information, please visit: http://www.boi.gov.ph

PHILIPPINE ECONOMIC ZONE AUTHORITY (PEZA)

Registration of Economic Zone Export Manufacturing Enterprise

Application Fee PhP3,600.00

RegistrationFee PhP6,000.00

For more information, please visit: http://www.peza.gov.ph

CAGAYAN ECONOMIC ZONE AUTHORITY (CEZA)

Cagayan Special Economic Zone and Freeport (CSEZFP) Enterprise Registration

Application/Processing Fee for New CSEZFP Enterprise Registration

US$200.00 or its Philippine Peso equivalent at current exchange rate

Application/Processing Fee for Renewal of CSEZFP Enterprise Registration

US$200.00 or its Philippine Peso equivalent at current exchange rate

For more information, please visit: http://www.ceza.gov.ph

SUBIC BAY METROPOLITAN AUTHORITY (SBMA)

FEES AMOUNT

Filing fee US$50.00

Registration Fee US$150.00

Certificate of Tax Exemption US$100.00

Business Plate Fee US$20.00

For more information, please visit: http://www.mysubicbay.com.ph

http://www.boi.gov.ph/

http://www.peza.gov.ph/

http://www.ceza.gov.ph/

http://www.mysubicbay.com.ph/

CLARK DEVELOPMENT CORPORATION (CDC)

Application/Processing Fee

Certificate of Registration and Tax Exemption (CRTE) PhP2,000.00

Certificate of Registration (CR) PhP2,000.00

Approval for Branch/Facility PhP2,000.00

For more information, please visit: http://www.clark.com.ph

ZAMBOANGA CITY SPECIAL ECONOMIC ZONE AUTHORITY AND FREEPORT (ZCSEZAF)

FEES AND CHARGES AMOUNT

Registration of Enterprises (Application Fee) US$80 (PhP3,600.00)

Certificate of Registration and Tax Exemption US$220 (PhP10,000.00)

Availment of Incentives (Income Tax Holiday and extensions)

PhP2,000.00

Permit to Operate (Registration Certificate)

Temporary (renewable every 6 months) PhP1,000.00

Non-registered companies w/ physical presence in the zone

US$150 (PhP6,750.00)

Permit to operate US$80 (PhP3,600.00)

Accreditation (non-registered companies w/o physical presence in the zone)

US$150 (PhP6,750.00)

Annual renewal of certificate of registration PhP2,000.00

For more information, please visit: http://www.zfa.gov.ph TAX RATES Tax Reform Act of 1997 A.) For Individuals Earning Purely Compensation Income and Individuals Engaged in Business and Practice of Profession

Amount of Net Taxable Income Rate

Over But Not Over

P10,000 5%

P10,000 P30,000 P500 + 10% of the Excess over P10,000

P30,000 P70,000 P2,500 + 15% of the Excess over P30,000




P500,000 P125,000 + 32% of the Excess over P500,000

Tax Rate Taxable Base

1. Domestic Corporations

a. In General 30% (effective Jan. 1, 2009) Net taxable income from all sources

b. Minimum Corporate Income Tax* 2% Gross Income

c. Improperly Accumulated Earnings 10% Improperly Accumulated Taxable Income

2. Proprietary Educational Institution 10% Net taxable income provided that the gross income from unrelated trade, business or other activity does not exceed 50% of the total gross income

http://www.clark.com.ph/

http://www.zfa.gov.ph/

3. Non-stock, Non-profit Hospitals 10% Net taxable income provided that the gross income from unrelated trade, business or other activity does not exceed 50% of the total gross income

4. GOCC, Agencies & Instrumentalities

a. In General 30% Net taxable income from all sources



5. National Gov’t. & LGUs




6. Taxable Partnerships




7. Exempt Corporations

a. On Exempt Activities 0%

b. On Taxable Activities 30% Net taxable income from all sources

8. General Professional Partnerships 0%

9. Corporation covered by Special Laws

Rate specified under the respective special laws

10. International Carriers 2.5% Gross Philippine Billings

11. Regional Operating Headquarters 10% Taxable Income

12. Offshore Banking Units (OBUs) 10% Gross Taxable Income on Foreign Currency Transaction

30% On Taxable Income other than Foreign Currency Transaction

13. Foreign Currency Deposit Units (FCDU)

10% Gross Taxable Income on Foreign Currency Transaction

30% On Taxable Income other than Foreign Currency Transaction

*Beginning on the 4th year immediately following the year in which such corporation commenced its business operations, when the minimum corporate income tax is greater than the tax computed using the normal income tax. B.) For Non-Resident Aliens Engaged in Trade or Business

1.Interest from currency deposits, trust funds and deposit substitutes

20%

2.Interest Income from long-term deposit or investment in the form of savings, common or individual trust funds, deposit substitutes, investment management accounts and other investments evidenced by certificates

Exempt

Upon pre- termination before the fifth year, there should be imposed on the entire income from the proceeds of the long-term deposit based on the remaining maturity thereof:

Holding Period

Four (4) years to less than five (5) years 5%

Three (3) years to less than four (4) years 12%

Less than three (3) years 20%

3. On capital gains presumed to have been realized from the sale, exchange or other disposition of real property

6%

4. On capital gains for shares of stock not traded in the Stock Exchange

- Not over P100,000 5%

- Any amount in excess of P100,000 10%

C.) For Non-Resident Aliens Not Engaged in Trade or Business

1.On the gross amount of income derived from all sources within the Philippines

25%

2.On capital gains presumed to have been realized from the exchange or other disposition of real property located in the Philippines

6%

3.On capital gains for shares of stock not traded in the Stock Exchange

- Not Over P100,000 5%

- Any amount in excess of P100,000 10%

D.) On the gross income in the Philippines of Aliens Employed by Regional Headquarters (RHQ) or Area Headquarters and Regional Operating Headquarters (ROH), Offshore Banking Units (OBUs), Petroleum Service Contractor and Subcontractor - 15% E.) General Professional Partnerships - 0% F.) Domestic Corporations

1.) a. In General – on net taxable income 30%

b. Minimum Corporate Income Tax – on gross income 2%

c. Improperly Accumulated Earnings – on improperly accumulated taxable income

10%

2.) Proprietary Educational Institution and Non-profit Hospitals

10%

- In general (on net taxable income) 10%

- If the gross income from unrelated trade, business or other activity exceeds 50% of the total gross income from all sources

30%

3.) GOCC, Agencies & Instrumentalities

a. In General – on net taxable income 30%


c. Improperly Accumulated Earnings – on improperly accumulated taxable income

10%

4.) Taxable Partnerships

a. In General – on net taxable income 30%


c. Improperly Accumulated Earnings – on improperly accumulated taxable income 10%

5.) Exempt Corporation

a. On Exempt Activities 0%

b. On Taxable Activities 30%

6.) Corporation covered by Special Laws Rate specified under the respective special laws

G.) Resident Foreign Corporation

Individual Taxation

1.) a. In general – On Net taxable Income b. Minimum Corporate Income Tax – On gross Income c. Improperly Accumulated Earnings – on improperly accumulated taxable income

30% 2% 10%

2.) International Carriers – on gross Philippine Billings 2.5%

3.) Regional Operating Headquarters on gross income 10%

4.) Corporation covered by Special Laws Rate specified under the respective special laws

5.) Offshore Banking Units (OBUs) on gross income 10%

6.) Foreign Currency Deposit Units (FCDU) on gross income

10%

For more information, please got to: http://www.bir.gov.ph/index.php/tax-information/income-tax.html COST OF LIVING I. Education Philippine education system is regulated by the Department of Education (DepEd), Commission on Higher Education (CHED), and Technical Education and Skills Development Authority (TESDA). DepEd covers the K-12 basic education while CHED and TESDA regulates higher education. CHED oversees academically-oriented universities and colleges while TESDA supervises technical and vocational education institution. There are international schools, which offer international curricula in the Philippines. Below are some of the international schools in Metro Manila:

1. Brent International School Manila (www.brent.edu.ph) 2. British School Manila (www.britishschoolmanila.org) 3. Chinese International School Manila (www.cismanila.org) 4. European International School (www.eis-manila.org) 5. Fountain International School (www.fis.edu.ph) 6. German European School Manila (www.gesm.org) 7. International School Manila (www.ismanila.org) 8. Korean International School Philippines (www.ph.koreanis.org) 9. Lycee Francais de Manille (ifmanille.ph) 10. Mahatma Gandhi International School (www.ais.mgis.org.ph) 11. Manila Japanese School (www.mjs.org.ph) 12. Reedley International School (www.reedleyschool.com)

II. Public Transport

Mode of Transportation Amount

Jeepneys. The most common and inexpensive mode of Transportation in the Philippines. Foreigners do not generally use these.

Metro Manila, as of February 06, 2017: P8.00 (first 4 kilometers) P1.50 (succeeding kilometers)

Buses. Buses are classified into non-aircon and air-conditioned.

Metro Manila, as of 2007: Air-conditioned buses: P12.00 (first 5 Kilometers) and P2.35 (successive kilometers) Regular buses: P10.00 (first 5kilometers) and P1.95 (successive kilometers)

Taxis. Almost all taxis are air-conditioned. Metro Manila, as of 2011:Flagdown for the first 500 meters is P40.00, and an additional P3.50 for every 250 meters or2 minutes waiting time

Car Service (Uber and Grab) P40.00 Base Fare additional P2.00 per minute plus P5.70 per kilometer (Uber). P30.00 Base Fare plus P12.00 per kilometer (Grab).

Minivans/FX. These are relatively new mode of transportation. They are generally cheaper than taxis but more expensive than jeepneys.

P12.00 Minimum Fare (varies on distance)

Light Rail Transit (LRT) & Metro Rail Transit (MRT).These are overhead railway system that currently runs in Metro Manila.

P 11.00 Base Fare plus P 1.00 (per kilometer) distance-based

http://www.bir.gov.ph/index.php/tax-information/income-tax.html

http://www.fis.edu.ph/

http://www.gesm.org/

http://www.reedleyschool.com/

Air Transport (Domestic Flights –One way Fare per Person)

Starts at P 1,000.00, fare will vary depending on destination

Ferry Rates Cheapest Class Ranges starts at P 210.00, fare will vary depending on destination

III. Travel and Leisure The Philippines remains a safe and fun destination for all tourists. Both domestic and international transport in the Philippines remain available and continue to be operational. The Philippines has a great majority of touristic offerings, whether one is looking for natural wonders, historical landmarks, culture and tradition, arts and crafts, shopping, recreation and entertainment, among many others. Tourism activities continue in the country’s different regions, each with its own feature destinations and products. Source: http://www.tourism.gov.ph/Pages/20131118aPHILIPPINETOURISMCONTINUES.aspx IV. Property Market

Comparative Land Values (PhP / sq m)

LOCATION 1Q 2016 2Q 2017 % CHANGE (QoQ)

2Q 2017F %CHANGE (YoY)

Makati CBD 378,000 - 668,000

394,000 - 696,000

4.23 448,000 - 793,000

13.85

Fort Bonifacio 315,000 - 574,000

326,000 - 595,000

3.60 367,000 - 670,000

12.57

Ortigas Center 140,000 - 237,000

146,000 - 246,000

4.00 164,000 - 277,000

12.64

Comparative Office Rental Rates (PHP / sq m / month)

Makati CBD (based on net useable area)

GRADE 1Q 2016 2Q 2016 % CHANGE (QoQ)


PREMIUM 1,120 -1,430 1,130 – 1,440 0.98 1,210 – 1,540 6.86

GRADE A 720 – 1,100 720 – 1,110 0.46 800 – 1,220 10.08

GRADE B 590 - 840 590 - 840 0.14 620 - 880 4.49

Metro Manila Residential Condominium

Comparative Luxury 3BR Rental Rates (PHP / sq m / month)



Makati CBD 590 - 1,140 580 - 1,130 -1.22 550 - 1,070 -5.08

Rockwell 810 - 1,100 800 - 1,100 -0.38 790 - 1,080 -1.61

Fort Bonifacio 670 - 1,070 660 - 1,050 -1.48 620 - 990 -6.11

Comparative Residential Lease Rates (High-Rise)

3BR, Semi-Furnished to Fully Furnished

LOCATION MINIMUM AVERAGE MAXIMUM

Apartment Ridge / Roxas Triangle Rental Range (PhP/month)

Average Size (in sq m)

150,000

286

200,000

303

300,000

330

Salcedo Village Rental Range (PhP/month)


100,000

165

175,000

234

260,000

332

Legaspi Village Rental Range (PhP/month)


130,000

142

200,000

206

260,000

296

Rockwell Rental Range (PhP/month)


140,000

127

180,000

189

280,000

285

Fort Bonifacio Rental Range (PhP/month)


120,000

138

200,000

223

260,000

310

Makati CBD Comparative Residential Lease Rates for Exclusive Villages (PHP / mo)

3BR - 4BR, Unfurnished to Semi-Furnished

VILLAGE LOW HIGH

FORBES PARK 250,000 650,000

DASMARIÑAS VILLAGE 230,000 600,000

URDANETA VILLAGE 250,000 360,000

BEL-AIR VILLAGE 230,000 350,000

SAN LORENZO VILLAGE 140,000 250,000

MAGALLANES VILLAGE 120,000 250,000

AYALA ALABANG VILLAGE 130,000 280,000

Metro Manila Residential Condominium

Comparative Luxury 3BR Capital Values (PHP / sq m / month)



Makati CBD 107,000 - 197,000

104,000 - 191,000

-2.67 100,000 - 184,000

-4.02

Rockwell 122,000 - 203,000

120,000 - 200,000

-1.23 119,000 - 197,000

-1.36

Fort Bonifacio 115,000 - 185,000

112,000 - 181,000

-2.52 104,000 - 148,000

7.01

Source: http://www.colliers.com/-/media/phil_knowledge_2q2016.pdf LABOR Labor Code of the Philippines The laws on labor standards and employment relations are consolidated in the Labor Code of the Philippines. The salient points of employment conditions and employee benefits under the Philippine labor laws are as follows: Normal hours of work. The normal hours of work of any employee shall not exceed eight (8) hours a day. Hours worked. Hours worked shall include (a) all time during which an employee is required to be on duty or to be at a prescribed workplace; and (b) all time during which an employee is suffered or permitted to work. Meal periods. Subject to such regulations as the Secretary of Labor may prescribe, it shall be the duty of every employer to give his employees not less than sixty (60) minutes time-off for their regular meals. Night shift differential. Every employee shall be paid a night shift differential of not less than ten percent (10%) of his regular wage for each hour of work performed between ten o’clock in the evening and six o’clock in the morning. Emergency overtime work. Any employee may be required by the employer to perform overtime work in any of the following cases:

1. When the country is at war or when any other national or local emergency has been declared by the National Assembly or the Chief Executive;

http://www.colliers.com/-/media/phil_knowledge_2q2016.pdf

2. When it is necessary to prevent loss of life or property or in case of imminent danger to public safety due to an actual or impending emergency in the locality caused by serious accidents, fire, flood, typhoon, earthquake, epidemic, or other disaster or calamity;

3. When there is urgent work to be performed on machines, installations, or equipment, in order to avoid serious loss

or damage to the employer or some other cause of similar nature;

4. When the work is necessary to prevent loss or damage to perishable goods; and

5. Where the completion or continuation of the work started before the eighth hour is necessary to prevent serious obstruction or prejudice to the business or operations of the employer.

Any employee required to render overtime work under this Article shall be paid the additional compensation required in this Chapter. Computation of additional compensation. For purposes of computing overtime and other additional remuneration as required by this Chapter, the "regular wage" of an employee shall include the cash wage only, without deduction on account of facilities provided by the employer. For more information visit: http://www.dole.gov.ph/labor_codes/view/4 Summary of Latest Wage Orders and Implementing Rules Issued by The Regional Boards (As of 29 December 2016)

Region Wage Order

Wage Increase/COLA Non-Agriculture Minimum

Wage Rate

Coverage Wage Order Implementing Rules

Date of Issuance

Date of Publication

Date of Effectivity

NCR NCR-20 Integration of P15.00 COLA under W.O. No. RBIVA-16 into the basic pay;

P10.00 New COLA

P491.00 (P481.00 basic wage + P10.00 COLA)

Minimum Wage Earners

May 17, 2016

May 18, 2016 Philippine Star

June 02, 2016

Issued – May 17, 2016 Approved – May 27, 2016 Published – June 07, 2016 Manila Times

CAR RB-CAR-17

P5 & P10/day COLA integration

P2, P5 & P8/day basic wage increase

Integration into the Basic Wage of the remaining P10 and P15 COLA effective January 01, 2016

P285.00 & P265.00 (P270 basic pay + P15) and (P255 basic pay + P10)


May 14, 2015

June 14, 2015 Baguio Midland Courier

June 29, 2015

Issued – June 22, 2015 Approved – Aug. 11, 2015 Published – Aug. 30, 2015 Herald Express

CAR-DW

RB-CAR-DW-I

P500.00 increase P2,500 – chartered cities and municipalities P2,000 – other municipalities

Domestic Workers

May 14, 2015

July 26, 2015 Baguio Midland Courier

August 10, 2015

Issued – Aug. 5, 2015 Approved – Sept. 24, 2015 Published – Oct. 18, 2016 Herald Express

http://www.dole.gov.ph/labor_codes/view/4

RB-I RB-I

RB 1-18 RB-I RB1-DW-01

Ranging from P12.00-P27.00

P1,500 increase in chartered cities and first class municipalities

P1,000 increase in other municipalities

Large – P280.00 Medium – P265.00 Small – P252.00 Micro – P243.00 P3,500 – chartered cities and municipalities P2,500 – EGA and RBA other municipalities

Minimum Wage Earners Domestic workers

July 20, 2016 August 17, 2016

September 17, 2016 Ilocos Herald September 17, 2016 Ilocos Herald

October 2, 2016 October 2, 2016

Issued – Sept. 30, 2016 Approved – Oct. 17, 2016 Published – Oct. 29, 2016 Issued – Aug. 17, 2016 Approved – Oct. 3, 2016 Published – Oct. 15, 2016

RB-II RTWPB II-17

P45-61 for Non-Agriculture

P37-45 for Agriculture

P31 for Retail/Service employing not more than 10 workers

P300.00 Minimum Wage Earners

April 22, 2016

April 29, 2016 Malaya

May 14, 2016

Issued – May 02, 2016 Approved – June 15, 2016 Published – June 29, 2016 Philippine Star

RB-III RB III-19

P15.00/day basic pay increase in all provinces (except Retail/Service with less than 16 workers) to be given in two (2) tranches: - P8.00 per day

upon effectivity of the order

- P7.00 per day effective 01 May 2016

P20.00/day basic pay increase for the retail and service establishments with less than 16 workers in the province of Aurora to be given in two (2) tranches: - P10.00 per day

upon effectivity of the order

- P10.00 per day effective 01 May 2016

P364.00 In Aurora: P313.00


December 02, 2015

December 17, 2015 Philippine Star

January 01, 2016

Issued – Dec. 02, 2015 Approved – Dec. 17, 2015 Published – Jan. 15, 2016 Sun Star Pampanga

RB-IVA RB-IVA

RB-IVA-17 RB-IVA-DW-01

Integration of P12.50 CTPA and P13.00 SEA into the basic pay: Upon effectivity: P13.00 SEA Effective 1 October 2016 – P12.50 CTPA P5.00 to P73.20 basic wage increase by reason of area reclassification for a 7-year tranche.

P500.00 increase in GCA (chartered cities and municipalities)

P300.00 increase in EGA and RBA (other municipalities)

GCA: 296.00-378.00 EGA: 293.00-328.50 RBA: 293.00-311.50 P2,500 – GCA (chartered cities and municipalities) P1,800 – EGA and RBA (other municipalities)

Minimum Wage Earners Domestic Workers

May 30, 2016 December 21, 2015

June 16, 2016 March 17, 2016 Philippine Star

July 01, 2016 April 01, 2016

Issued – May 30, 2016 Approved – June 30, 2016 Published: July 05, 2016 Philippine Star

Issued – Dec. 21, 2015 Approved – Feb. 29, 2016 Published – Mar. 17, 2016 Philippine Star

RB-IVB RB-IVB-07

Integration of P5 COLA under previous WO No. IVB-6

Increase in basic pay from P5 to P30/day to be given in 4 tranches: Upon Effectivity

- Nov. 1, 2015 - May 1, 2016 - Nov. 1, 2016

Puerto Princesa: P280.00 Calapan City, Puerto Galera, El Nido & Coron: P275.00 First Class Mun. of MIMAROPA P265.00 The Rest of the Region: P260.00


April 29, 2015

June 18, 2015 The Manila Times

July 3, 2015

Issued – June 17, 2015 Approved – Sept. 22, 2015 Published – Oct. 8, 2015 The Manila Times

RB-V RBV-17 P5.00/day basic wage for Non-Agriculture employing more than 10 workers

P12.00/day basic wage for Non-Agriculture employing not more than 10 workers, Cottage/Handicraft & Agriculture

P265.00 (P260.00 basic wage + P5.00 increase)


September 2, 2015

December 10, 2015 Bicol Mail

December 25, 2015

Issued – Sep. 07, 2015 Approved – Dec. 18, 2015 Published – Dec. 31, 2015 Bicol Mail

RB-VI RB-VI

RBVI-DW-01 RBVI-22

P500.00 increase

P11.50/day wage increase

P2,500 – chartered cities and municipalities P2,000 – other municipalities P298.50 (P287.00 basic wage + P11.50 wage increase)

Domestic Workers Minimum Wage Earners

December 21, 2015 March 30, 2015

February 3, 2016 Panay News April 17, 2015 Panay News

February 18, 2016 May 02, 2015

Issued – Feb. 16, 2016 Approved – Feb. 29, 2016 Published – March 9, 2016 Panay News Issued – Apr. 22, 2015 Approved – Jun. 26, 2015 Published – July 5, 2015 Panay News

RB-VII RBVII-19

P13.00 per day increase in basic pay for private sector workers within Metro Cebu

P10.00 per day increase in basic wage for all sugar mill workers


September 10, 2015

September 25, 2015 Sun Star Cebu

October 10, 2015

Issued – Sept. 10, 2015 Approved – Oct. 15, 2015 Published –

RB-VIII

RB VIII-19

Increases in the basic wage:

P 25 for Non-agriculture;

P23 for Sugar Mills;

P15 for Cottage/Handicraft;

P10 for Retail/Service with 10 workers and below;

P15 for Retail/Service with 11 up to 30 workers;

P10 for Agriculture Non-sugar;

P10 for Agriculture Sugar Farm

P 285.00 (P278.00 basic wage +P7.00 COLA)


December 19, 2016

January 28, 2017 Leyte Samar Daily Express

February 12, 2017

Issued - Approved - Published -

RB-VIII RB VIII-DW-01

P500.00 increase P2,500 – chartered cities and municipalities P2,000 – other municipalities

Domestic Workers

March 03, 2016

March 03, 2016 Leyte Samar Daily Express

March 23, 2016

Issued – March 30, 2016 Approved – May 4, 2016 Published – May 31, 2016 Leyte Samar Daily Express

RB-IX RB-IX

RIX-I9 RIX-DW-01

P6.00-P16.00 basic pay increase (in tranches)

P500.00 in chartered cities and first class municipalities

P500.00 in other municipalities

P296.00 P2,500 – chartered cities and municipalities P2,000 – other municipalities


August 15, 2016 August 15, 2016

September 16, 2016 Zamboanga Today Zamboanga Today September 16, 2016 Zamboanga Today

October 1, 2016 October 1, 2016

Issued – Aug. 15, 2016 Approved – Oct. 3, 2016 Published – Oct. 13, 2016 Issued – Aug. 15, 2016 Approved – Oct. 3, 2016 Published – Oct. 13, 2016

RB-X RX-18 P12/day basic wage increase

WCI– P318.00 WCII– P313.00 WCIII–P308.00WCIV–P303.00


May 12, 2015

June 18, 2015 Mindanao Gold Star Daily

July 3, 2015

Issued – June 28, 2015 Approved – Aug. 11, 2015 Published – Aug. 19, 2015 Mindanao Gold Star Daily

RB-XI RB-XI-19

P23-29.00 basic wage increase upon effectivity.

P5.00 COLA under WO No. RBXI-18 to be integrated into the basic pay effective May 1, 2017.

Upon effectivity: P340.00 (P335+P5COLA) Effective May 1, 2017: P340.00


November 04, 2016

December 01, 2016 Mindanao Times

December 16, 2016

Issued – Approved – Published –

RB-XII RBXII-19

Integration of P5.00 COLA into the basic pay;

Increase in basic pay: - P20/day for Non-

Agriculture - P17/day for

Retail/Service Establishment

- P15/day for Agriculture


September 09, 2016

September 24, 2016 The Mindanao Cross

October 09, 2016

Issued – Sept. 9, 2016 Approved – Nov. 2, 2016 Published – Nov. 12, 2016 The Mindanao Cross

CARAGA CARAGA

RB-XIII-14 RB-XIII-DW-01

Upon effectivity, P7.00/day basic wage increase;

Effective 01 October 2016, P5.00 COLA increase

P1,000.00 in chartered cities and first class municipalities

P1,000.00 in other municipalities

Upon effectivity: P275.00 (P260 basic pay + P15.00 COLA) Effective Oct. 1, 2016: P280.00 (P260 basic pay + P20.00 COLA) P3,000 – chartered cities and municipalities P2,500 – other municipalities


May 30, 2016 September 09, 2016

June 16, 2016 Mindanao Goldstar Daily September 27, 2016 Gold Star Daily

July 01, 2016 October 12, 2016

Issued – June 16, 2016 Approved – June 30, 2016 Published – July 12, 2016 Mindanao Goldstar Daily Issued – Sept. 19, 2016 Approved – Oct. 3, 2016 Published – Oct. 21, 2016 Mindanao Goldstar Daily

ARMM RB-ARMM-16

P15.00/day basic wage for Non-Agriculture;

P5.00 per day basic wage for Agriculture Plantation and Non-Plantation


January 20, 2016

February 15, 2016 Kutang Bato, Star Weekly News

March 01, 2016

Issued – March 14, 2016 Approved – April 27, 2016 Published – May 18, 2016 Kutang Bato Star Weekly News

Source: http://www.nwpc.dole.gov.ph/pages/statistics/latest_wo.html

Employee Benefits, Incentives, Coverage and Contributions 13TH Month Pay

All employers are required to pay their rank and file employees thirteenth-month pay, regardless of the amount of basic salary that they receive in a month, their designation and their employment status and irrespective of the method by which their wages are paid, provided they have worked for at least one (1) month during a calendar year. The thirteenth month pay should be given to the employees not later than December 24 of every year. Source: Presidential Decree No. 851; Memorandum Order No. 28, S. 1986

Home Development Mutual Fund The Home Development Mutual Fund (HDMF), more popularly known as Pag-IBIG (Pagtutulungan sa kinabukasan: Ikaw, Bangko, Industriya at Gobyerno) Fund, is a national savings program and an affordable shelter financing for the Filipino worker.

http://www.nwpc.dole.gov.ph/pages/statistics/latest_wo.html

Rate of Membership Savings

Monthly Compensation (Basic + COLA)

Contribution Rates

Employee Share Employer Share TOTAL

P 1, 500 and below 1% 2% 3%

Over P 1, 500 2% 2% 4%

Source: Member’s Contribution Remittance Form (www.pagibigfund.gov.ph/dlformsprovident.html)

Social Security System The Social Security System (SSS) provides a package of benefits to covered employees in the event of death, disability, sickness, maternity, and old age. The SSS provides for a replacement of income lost on account of the aforementioned contingencies. All private employees are covered by the Social Security (SS) benefits. Self-employed and voluntary members also get the same benefits as covered employees, except those benefits under the Employees’ Compensation (EC). Schedule of SS and EC Contributions

Range of Monthly Employer-Employee SE/ VM/ OFW

Compensation Salary Social Security EC Total Contribution Total

Credit* ER EE Total ER ER EE Total Contribution

1,000 – 1,249.99 1,000 73.70 36.30 110.00 10.00 83.70 36.30 120.00 110.00

1,250 – 1,749.99 1,500 110.50 54.50 165.00 10.00 120.50 54.50 175.00 165.00

1,750 – 2,249.99 2,000 147.30 72.70 220.00 10.00 157.30 72.70 230.00 220.00

2,250 – 2,749.99 2,500 184.20 90.80 275.00 10.00 194.20 90.80 285.00 275.00

2,750 – 3,249.99 3,000 221.00 109.00 330.00 10.00 231.00 109.00 340.00 330.00

3,250 – 3,749.99 3,500 257.80 127.20 385.00 10.00 267.80 127.20 395.00 385.00

3,750 – 4,249.99 4,000 294.70 145.30 440.00 10.00 304.70 145.30 450.00 440.00

4,250 – 4,749.99 4,500 331.50 163.50 495.00 10.00 341.50 163.50 505.00 495.00

4,750 – 5,249.99 5,000 368.30 181.70 550.00 10.00 378.30 181.70 560.00 550.00

5,250 – 5,749.99 5,500 405.20 199.80 605.00 10.00 415.20 199.80 615.00 605.00

5,750 – 6,249.99 6,000 442.00 218.00 660.00 10.00 452.00 218.00 670.00 660.00

6,250 – 6,749.99 6,500 478.80 236.20 715.00 10.00 488.80 236.20 725.00 715.00

6,750 – 7,249.99 7,000 515.70 254.30 770.00 10.00 525.70 254.30 780.00 770.00

7,250 – 7,749.99 7,500 552.50 272.50 825.00 10.00 562.50 272.50 835.00 825.00

7,750 – 8,249.99 8,000 589.30 290.70 880.00 10.00 599.30 290.70 890.00 880.00

8,250 – 8,749.99 8,500 626.20 308.80 935.00 10.00 636.20 308.80 945.00 935.00

8,750 – 9,249.99 9,000 663.00 327.00 990.00 10.00 673.00 327.00 1,000.00 990.00

9,250 – 9,749.99 9.500 699.80 345.20 1,045.00 10.00 709.80 345.20 1,055.00 1,045.00

9,750 – 10,249.99 10,000 736.70 363.30 1,100.00 10.00 746.70 363.30 1,110.00 1,100.00

10,250 – 10,749.99 10,500 773.50 381.50 1,155.00 10.00 783.50 381.50 1,165.00 1,155.00

10,750 – 11,249.99 11,000 810.30 399.70 1,210.00 10.00 820.30 399.70 1,220.00 1,210.00

11,250 – 11,749.99 11,500 847.20 417.80 1,265.00 10.00 857.20 417.80 1,275.00 1,265.00

11,750 – 12,249.99 12,000 884.00 436.00 1,320.00 10.00 894.00 436.00 1,330.00 1,320.00

12,250 – 12,749.99 12,500 920.80 454.20 1,375.00 10.00 930.80 454.20 1,385.00 1,375.00

12,750 – 13,249.99 13,000 957.70 472.30 1,430.00 10.00 967.70 427.30 1,440.00 1,430.00

13,250 – 13,749.99 13,500 994.50 490.50 1,485.00 10.00 1,004.50 490.50 1,495.00 1,485.00

13,750 – 14,249.99 14,000 1,031.30 508.70 1,540.00 10.00 1,041.30 508.70 1,550.00 1,540.00

14,250 – 14,749.99 14,500 1,068.20 526.80 1,595.00 10.00 1,078.20 526.80 1,605.00 1,595.00

14,750 – 15,249.99 15,000 1,105.00 545.00 1,650.00 30.00 1,135.00 545.00 1,680.00 1,650.00

15,250 – 15,749.99 15,500 1,141.80 563.20 1,705.00 30.00 1,171.80 563.20 1,735.00 1,705.00

15,750 - over 16,000 1,178.70 581.30 1,760.00 30.00 1,208.70 581.30 1,790.00 1,760.00

Source: https://www.sss.gov.ph/sss/appmanager/pages.jsp?page=scheduleofcontribution

http://www.pagibigfund.gov.ph/dlformsprovident.html

https://www.sss.gov.ph/sss/appmanager/pages.jsp?page=scheduleofcontribution

National Health Insurance Program The National Health Insurance Program (NHIP) was established to provide health insurance coverage and ensure affordable, acceptable, available and accessible health care services for all citizens of the Philippines. The Philippine Health Insurance Corporation (PhilHealth), a tax-exempt government corporation attached to the Department of Health (DOH), is the mandated administrator of the NHIP under the National Health Insurance Act of 1995 (Republic Act No. 7875, as amended).

Salary Bracket Salary Range Salary Base

Total Monthly Premium Employee Share* Employer Share

1 8,999.99** and below 8,000.00 200.00 100.00 100.00

2 9,000.00 - 9,999.99 9,000.00 225.00 112.50 112.50

3 10,000.00 - 10,999.99 10,000.00 250.00 125.00 125.00

4 11,000.00 - 11,999.99 11,000.00 275.00 137.50 137.50

5 12,000.00 - 12,999.99 12,000.00 300.00 150.00 150.00

6 13,000.00 - 13,999.99 13,000.00 325.00 162.50 162.50

7 14,000.00 - 14,999.99 14,000.00 350.00 175.00 175.00

8 15,000.00 - 15,999.99 15,000.00 375.00 187.50 187.50

9 16,000.00 - 16,999.99 16,000.00 400.00 200.00 200.00

10 17,000.00 - 17,999.99 17,000.00 425.00 212.50 212.50

11 18,000.00 - 18,999.99 18,000.00 450.0 225.00 225.00

12 19,000.00 - 19,999.99 19,000.00 475.00 237.50 237.50

13 20,000.00 - 20,999.99 20,000.00 500.00 250.00 250.00

14 21,000.00 - 21,999.99 21,000.00 525.00 262.50 262.50

15 22,000.00 - 22,999.99 22,000.00 550.00 275.00 275.00

16 23,000.00 - 23,999.99 23,000.00 575.00 287.50 287.50

17 24,000.00 - 24,999.99 24,000.00 600.00 300.00 300.00

18 25,000.00 - 25,999.99 25,000.00 625.00 312.50 312.50

19 26,000.00 - 26,999.99 26,000.00 650.00 325.00 325.00

20 27,000.00 - 27,999.99 27,000.00 675.00 337.00 337.00

21 28,000.00 - 28,999.99 28,000.00 700.00 350.00 350.00

22 29,000.00 - 29,999.99 29,000.00 725.00 362.50 362.50

23 30,000.00 - 30,999.99 30,000.00 750.00 375.00 375.00

24 31,000.00 - 31,999.99 31,000.00 775.00 387.50 387.50

25 32,000.00 - 32,999.99 32,000.00 800.00 400.00 400.00

26 33,000.00 - 33,999.99 33,000.00 825.00 412.50 412.50

27 34,000.00 - 34,999.99 34,000.00 850.00 425.50 425.50

28 35,000.00 and up 35,000.00 875.00 437.50 437.50

*Employee share represents half of the total monthly premium while the other half is shouldered by the employer. **For Kasambahay helper receiving a wage of less than Five Thousand Pesos (P5,000.00) per month, the employer will shoulder both the employee and employer share based on the premium schedule. Source: https://www.philheatlh.gov.ph/partners/employers/contri_tbl.html

https://www.philheatlh.gov.ph/partners/employers/contri_tbl.html

Mailing Rates

DOMESTIC Ordinary Mail (In PhP)

Weight Intra Province Inter-Land Inter-Air

01-50 35 41 46

51-100 56 62 68

101-250 68 73 79

251-500 79 84 90

501-1000 90 107 129

1001-1500 107 124 152

1501-2000 124 140 168

INTERNATIONAL (In PhP)

Weight Zone 1 - Asia Zone 2 – Middle East and Pacific Countries

Zone 3 – Europe, America and US

Territories

Zone 4 – Africa, Central & South

America and The Caribbean

01-20 115 120 125 130

21-50 150 162 175 180

51-100 210 233 261 266

101-250 390 445 541 563

251-500 690 800 1011 1062

501-1000 1285 1532 1958 2053

1001-1500 1880 2266 2904 3044

1501-2000 2470 2999 3850 4041

Source: https://www.phlpost.gov.ph/advisory.php?id=64

Utility Costs I. Petroleum Products Prevailing retail prices of Petroleum Products in Metro Manila as of January 03, 2017

Product Caltex Petron Shell Seaoil Flying V Uni Oil Total

Gasoline (Ron 91) 41.40-47.05 40.91-46.98 41.40-46.85 42.30-44.65

41.40-43.15

37.60-46.00

43.10-45.50

Gasoline (Ron 95) 44.70-48.19 41.50-48.60 41.55-48.09 - 41.85-47.55

39.50-46.10

44.50-46.20

Gasoline (Ron 97) 46.15-51.20 43.95-47.40

Gasoline (Ron 100) 43.60-51.85

Diesel 30.45-32.99 30.75-33.47 30.75-32.67 30.60-30.70

27.85-30.90

29.70-32.50

33.10-33.80

Diesel Plus 33.84-36.37 34.25-36.20

Kerosene 39.50-43.23 33.25-41.55 38.95-39.10 35.65

Source: https://www.doe.gov.ph/sites/default/files/pdf/price_watch/petro_mm_2017_january_03.pdf

https://www.phlpost.gov.ph/advisory.php?id=64

https://www.doe.gov.ph/sites/default/files/pdf/price_watch/petro_mm_2017_january_03.pdf

II. Telecommunication Rates

Landline

Service Provider Residential Business

Globe Starts at P 599.00 / month* Starts at P 999.00 / month*

PLDT Starts at P 700.00 / month* Starts at P 1000.00 / month*

Bayantel Starts at P 499.00 / month* Starts at P 899.00 / month*

* As of December 2014 For more information, you may visit Providers’ respective websites: http://www.globe.com.ph , http://pldthome.com , http://www.bayan.com.ph Mobile Phone Rates

Service Provider Standard Call Rate Standard Call Rate Standard Text Standard Text

Per Minute Per Minute Rates Local Rates International

Local International

Globe P 6.50 - P7.50 USD 0.40 P 1.00/ 160 char

Smart Telecom P 6.50 – P7.50 USD 0.40 P 1.00/ 160 char P15.00 / 160 char

Talk N’ Text P 5.50 – P 6.50 P 1.00/ 160 char P 15.00 / 160 char

Sun Cellular P 5.50 – P 6.50 USD 0.10 P 0.50 – P 1.00 / 160 P 2.00 / 160 char

For more information, please visit: www.globe.com.ph, www.smart.com.ph, http://www.suncellular.com.ph Internet Service Rates

Service Provider Fee

Globe Starts at P 1,099.00

PLDT Starts at P 1,888.00 with landline

Bayantel Starts at P 999.00

For more information, you may visit Providers’ respective websites: http://www.globe.com.ph , http://pldthome.com , http://www.bayan.com III. Electricity Rates Sample from list of Electric Companies in the Philippines ranked by electricity price (As of December 2016)

COMPANY ELECTRICITY PRICE

GENERATION CHARGE (PHP/KWH)

TRANSMISSION CHARGE ( PHP/KWH)

DISTRIBUTION CHARGE (PHP/KWH)

SYSTEMS LOSS CHARGE (PHP KWH)

PANELCO 1 17.7595 4.1477 0.0606 0.5143 0.7850

CELCO 14.9330 6.0214 1.0242 1.2081 0.6816

ILPI 13.4881 4.6103 0.6109 0.3553 0.5102

KAELCO 12.6595 5.5430 1.8223 1.0557 1.1834

CASURECO 3 11.9053 5.5380 1.2978 0.7004 1.1095

ILECO 2 10.9465 5.7469 1.0258 0.5782 0.9309

http://www.globe.com.ph/

http://pldthome.com/

http://www.bayan.com.ph/

http://www.bayan.com/

NONECO 9.9768 5.5838 0.5513 0.5782 0.7426

SIASELCO 8.9842 4.7872 0.0000 1.4218 0.5123

SIARELCO 7.9879 2.7986 0.9555 1.0577 0.3486

MERALCO 7.4176 3.9238 0.8361 1.0012 0.4173

CLPC 6.4957 2.8037 0.4843 1.9002 0.2833

Source: http://www.kuryente.org.ph/rank-according-to/1 IV. Water Rates

Source: http://www.kuryente.org.ph/electric-company/rates/128

http://www.kuryente.org.ph/rank-according-to/1

http://www.kuryente.org.ph/electric-company/rates/128

Documents

COST OF DOING BUSINESS IN THE PHILIPPINES (As ... - boi.gov.ph of Doing Business... · COST OF DOING BUSINESS IN THE PHILIPPINES (As of February 2017) REGISTRATION FEES ... SMALL