- Overview: Philippines
- Global HR Compliance
- Global PEO and payroll
- Work permit for hiring expats via PEO
- Expand without a company set up
- Contractor vs. employee: which is better?
Global PEO and Payroll in the Philippines
Getting your business up-and-running in the Philippines can be challenging, especially if you do not speak the native language. Establishing your own business entity in the Philippines is an option to be considered as you expand abroad. But before you invest valuable resources in setting up business in the Philippines, you should be fully aware of the risks involved.
Acumen’s Global PEO and Payroll solution was designed especially for companies like yours, to smooth the way for quick, easy and risk-free business operations in the Philippines, without having to establish a legal business entity.
Acumen International – Your Professional Employer Organization in the Philippines
Navigating the Philippine legal system and adhering to regulations governing employment and taxation can be challenging for businesses, especially if you are not a native Philippine speaker. Partnering with Acumen International as a global Professional Employer organization (PEO) provides you with the local knowledge and support you need to conduct business in the Philippines without concern for legal and compliance risks.
Whether you represent international client companies or you are taking your own business operations abroad, Acumen International’s Global PEO and payroll service allows you to hire and payroll local and expat employees in the Philippines. With Acumen in your corner, you can quickly and easily onboard and compensate your employees without risk of legal repercussions.
International Global Payroll and Taxation in the Philippines
Employment related taxes
Personal income tax. The Philippines taxes its resident citizens on their worldwide income. Non-resident citizens and aliens, whether or not resident in the Philippines, are taxed only on income from sources within the Philippines.
Rates of tax on income of aliens, resident or not, depend on the nature of their income (i.e. compensation income, income subject to final tax, or other income).
Corporate taxation. A domestic corporation is subject to tax on its worldwide income. On the other hand, a foreign corporation is subject to tax only on income from Philippine sources.
Payroll Cycle in the Philippines
Wages shall be paid at least once every two weeks or twice a month at intervals not exceeding sixteen days. If on account of force majeure or circumstances beyond the employer’s control, payment of wages on or within the time herein provided cannot be made, the employer shall pay the wages immediately after such force majeure or circumstances have ceased. No employer shall make payment with less frequency than once a month.
Non-payroll taxes in the Philippines
The VAT is levied, assessed and collected on every sale, barter or exchange of goods or properties at the rate of 12 percent of the gross selling price or gross value in money of the goods or properties sold, bartered or exchanged such tax to be paid by the seller or transferor.
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How Acumen’s International PEO and Payroll Service can Benefit Your Business in the Philippines
Compensating your local and expat workforce in the Philippines and closely adhering to Philippine taxation requirements can divert your attention and resources from activities that help your business grow. A reliable global employment solution like Acumen’s Global PEO and Payroll service can take a substantial burden off your shoulders so you can focus on running your company.
Outsourcing the administrative and compliance tasks involved in employee payroll is one approach, but we have a better solution. Acumen International offers a global PEO and payroll solution that goes beyond outsourcing. We hire and compensate your global workforce on your behalf, and take care of all the details of payroll while ensuring full compliance with Philippine labor and taxation laws.
It is important to note that Acumen does not provide international global payroll services as a standalone solution, but only as a part of our global PEO and Payroll solution.
Our comprehensive global PEO and payroll services are just some of the benefits of partnering with Acumen International. We make it easy for you to achieve your business goals in the Philippines by officially employing and compensating your best selected global talent – both locals and expats – without concerns for legal and compliance risks faced by global employers.
Disclaimer: Any of the above information is subject to changes imposed by Uzbekistan laws. To get the latest updates on taxation in the Philippines and in 190 countries worldwide, contact Acumen’s team of global employment experts.