HOW TO READ THE FINAL PAY CALCULATION SHEET

➢ OTHER PAYMENTS
The Final Pay Calculation Sheet has two parts as discussed in detail as follows: o This line is for both taxable and non-taxable adjustments for time & attendance,
overtime, incentives, hold pays & other remunerations for inclusion to final pay
PART 1 – Shows the employee’s employment details

➢ Basic employment details such as Employee ID, Jod Position, Program or Department, Date of
Joining & Last Working Date

➢ OTHER DEDUCTIONS
o This line is for all deductions to be made from the final pay including advances,
recoveries for lost assets and other deductibles

➢ Employee’s latest Salary Details which will be used as basis for the calculation for the SL
conversion and Adjustments

➢ TAX CALCULATION
o Gross Compensation pertains to YTD earnings for the year
o Government Contribution pertains to employee’s YTD contribution to SSS, PHIC &
HDMF
o Tax Due is computed based on the prescribed Annual Tax Table by the BIR
PART 2 – Shows the composition of final pay

➢ 13TH MONTH PAY CALCULATION

o YTD Basic Pay (Net of Lost Hours) + Adjustments for Absences & Tardiness over 12
o This income is non-taxable up to the ceiling of 90K

➢ LEAVE CONVERSION
o Daily Rate multiplied by the No. of SL days for conversion
o This income is taxable
 ANNUAL TAX TABLE

o i.e., Net Taxable Income is PHP 299,932.84 is over 250K but does not exceed 400K.
In the table above, net taxable income falls on the second row so it should be deducted
from PHP 250,000 then the difference will be multiplied to 20% to come up with the tax
due for remittance.

a. PHP 299,932.84 – 250,000 = PHP 49,932.84

b. PHP 49,932.84 x 20% = PHP 9,986.57
c. Tax Due for Remittance = PHP 9,986.57

o Taxes Withheld – pertains to the YTD taxes withheld by SGSPI every payroll
o Tax Refund – is the excess taxes withheld and shall be paid to the employee via final
pay
o Tax Payable – refers to the taxes that are still for remittance to BIR and will be deducted
from the employees final Pay

OTHER DOCUMENTS ATTACHED IN THE FINAL PAY COMPUTATION SHEET

➢ BIR FORM 2316

➢ QUITCLAIM, WAIVER & RELEASE
➢ CERTIFICATE OF EMPLOYMENT (COE)
➢ FINAL PAY PACKAGE NOTES

FOR QUESTIONS OR CLARIFICATIONS IN THE FINAL PAY

Please send inquiry to HR Compensation & Benefits (C&B):

- Mariel De Leon (mariel.deleon@sutherlandglobal.com)

- Mary Grace Opiala (marygrace.opiala@sutherlandglobal.com)

- PHL HR C&B (PHLHRC&B@sutherlandglobal.com)