Pag-IBIG Contribution & MP2 Calculator
Calculate your regular monthly Pag-IBIG Fund contribution under the ₱200/₱200 cap (Circular 460) or simulate your 5-year Modified Pag-IBIG II (MP2) compounding savings growth.
💰 Program & Contribution Setup
📊 Financial Projection
- Computation Base (Capped at ₱10,000) ₱ 10,000.00
- Employee Regular Share (2.0%)
- Additional Voluntary Regular Savings ₱ 0.00
- TOTAL MONTHLY REMITTANCE ₱ 400.00
- Total Savings Accumulated in 1 Year ₱ 4,800.00
• Circular No. 460: Effective 2024, the Maximum Monthly Compensation (MMC) was raised to ₱10,000. Employees earning ₱10,000 and above now contribute ₱200/month, matched by ₱200/month from the employer (₱400 total).
• MP2 Program: The Modified Pag-IBIG II is a 5-year voluntary savings program guaranteed by the Philippine Government under Republic Act No. 9679. Dividends are 100% tax-exempt and historically yield ~6.5% to 7.5% per year.
📊 Statutory Comparative Breakdown Matrix
| Labor / Tax Statutory Metric | Calculated Amount |
|---|---|
| Primary Net Entitlement / Remittance | ₱0.00 |
Pag-IBIG Fund (HDMF) & MP2 Savings FAQ
Why did Pag-IBIG increase contribution rates to ₱200? Under Pag-IBIG Circular No. 460, the Maximum Monthly Compensation (MMC) was updated from ₱5,000 (which had been unchanged since 1986) to ₱10,000. This doubling of monthly savings directly increases the employee's retirement lump-sum payout and enables members to borrow higher amounts for housing loans.
How does the Modified Pag-IBIG II (MP2) program work? MP2 is open to all active Pag-IBIG members, retirees, and pensioners. Members can deposit as low as ₱500 with no upper ceiling. Over a 5-year lock-in period, the fund earns annual dividends sourced from Pag-IBIG's housing and short-term loans. At the end of 5 years, the entire principal plus compounded dividends can be withdrawn or rolled over into a new MP2 account.
Engr. Muhammad Shahzad
Principal Financial Systems Architect & Statutory Compliance Specialist
Lead software and systems architect specializing in high-performance browser computing, algorithmic validation, financial models, and zero-telemetry client-side privacy architecture.