Labor & Pay Rules 7 min read · Updated

Overtime Pay Rate in the Philippines: DOLE Rules (2026)

Quick answer: On an ordinary day, overtime (work beyond 8 hours) is paid at your hourly rate plus at least 25% (125%). On a rest day or holiday, hours beyond 8 are paid at that day’s hourly rate plus at least 30% — 169% on a rest day or special non-working day and 260% on a regular holiday. Managerial employees, field personnel and a few other groups are not covered. To compute an actual amount, use the overtime pay calculator.

Overtime pay rate by day type (DOLE 2026)

The overtime premium comes from Article 87 of the Labor Code: at least 25% on an ordinary day, and at least 30% on the rate for a holiday or rest day. DOLE’s annual labor advisory on holiday pay spells out the resulting multipliers.

When you work overtimeOvertime hourly rateHow it is built
Ordinary dayhourly rate × 1.25100% + 25%
Special working dayhourly rate × 1.25treated as an ordinary day
Rest dayhourly rate × 1.69130% × 130%
Special non-working dayhourly rate × 1.69130% × 130%
Special non-working day on a rest dayhourly rate × 1.95150% × 130%
Regular holidayhourly rate × 2.60200% × 130%
Regular holiday on a rest dayhourly rate × 3.38260% × 130%

Work between 10 PM and 6 AM earns an extra 10% of whichever hourly rate applies, so night overtime on an ordinary day is 125% × 110% = 137.5% of your hourly rate. The details are in our night differential guide.

What overtime pays on a minimum-wage job

For a Metro Manila worker on the ₱755 daily minimum wage (Wage Order NCR-28), the hourly rate is ₱755 ÷ 8 = ₱94.375. Each hour of overtime then pays:

Day typeOvertime pay per hour (₱755/day)
Ordinary day₱117.97
Rest day or special non-working day₱159.49
Special non-working day on a rest day₱184.03
Regular holiday₱245.38
Regular holiday on a rest day₱318.99

Statutory minimum wage earners do not pay income tax on this pay, which makes the take-home difference larger than for higher-paid staff.

Who is entitled to overtime pay

Overtime rules apply to employees in all establishments, profit or non-profit, except the groups excluded by Article 82:

Being called a “supervisor” or “officer” does not make you managerial. The test is what you actually do. A supervisor who mostly performs the same tasks as the team, with no real power to hire, fire or discipline, is generally still entitled to overtime pay. Likewise, being paid a fixed monthly salary does not remove overtime pay by itself.

Undertime cannot be offset by overtime

Article 88 is one of the most common sources of short payslips. Undertime on one day cannot be cancelled against overtime on another. If you worked 6 hours on Monday and 10 hours on Tuesday, you still earn two hours of overtime for Tuesday; your employer cannot treat the two days as “8 and 8” and pay no premium. Giving you time off on another day does not remove the employer’s duty to pay the premium either.

When can overtime be required?

Overtime is voluntary in ordinary circumstances. Under Article 89 an employer may require it in emergencies: war or a declared national or local emergency, preventing loss of life or property, urgent work on machines or equipment to avoid serious loss, preventing loss of perishable goods, and finishing work started before the eighth hour when stopping would seriously prejudice the business. In those cases overtime pay is still due at the premium rates. Refusing legitimate compulsory overtime can lead to discipline, so document any dispute.

Overtime approval and records

The Labor Code does not make prior approval a condition of payment, but most employers set an approval process (a signed overtime request, a supervisor sign-off in the timekeeping system). Follow it. If you are told to stay and the form comes later, or your supervisor knows you are working past 8 hours, keep your own record: time in and out, who instructed you, and what you were working on. That evidence is what DOLE or the NLRC looks at in a pay dispute. A “no unapproved overtime” policy can control hours going forward, but it does not let an employer keep the benefit of work it knowingly allowed.

Source: Labor Code of the Philippines, Book III (PD 442), Articles 82 and 87–89; DOLE labor advisories on holiday pay and the Handbook on Workers’ Statutory Monetary Benefits. For estimation only — confirm the current rules with DOLE or your HR.

Run your own numbers in the overtime pay calculator.

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Frequently Asked Questions

Who is not entitled to overtime pay in the Philippines?
Under Article 82 of the Labor Code, overtime pay does not cover government employees, managerial employees, field personnel whose hours cannot be determined with reasonable certainty, family members of the employer who depend on the employer for support, domestic helpers and persons in personal service, and workers paid by results. Job titles do not decide this: what counts is the actual duties.
Can undertime be offset by overtime?
No. Article 88 of the Labor Code says undertime on any particular day shall not be offset by overtime work on any other day. If you left early on Monday, your employer cannot cancel that against two hours of overtime on Thursday. Each day stands on its own.
Can my employer force me to work overtime?
Only in the cases listed in Article 89: war or a declared national or local emergency, preventing loss of life or property, urgent work on machinery or equipment to avoid serious loss, preventing loss of perishable goods, and finishing work already started before the eighth hour when stopping would seriously prejudice the business. Outside those cases, overtime is voluntary. When overtime is compulsory it is still paid at the premium rates.
Do I need my employer's approval for overtime to be paid?
Many companies require prior written approval, and you should follow that policy. But work your employer required or knowingly allowed you to do is generally compensable even if the paperwork was missing, so keep records (timesheets, emails, chat requests). If your overtime is regularly unpaid, raise it with HR or DOLE's Single Entry Approach (SEnA) desk.
Is overtime pay taxable?
Yes for most employees: overtime is part of taxable compensation. The exception is statutory minimum wage earners, who are exempt from income tax on their minimum wage and on the holiday pay, overtime pay, night shift differential and hazard pay they earn. Overtime is also left out of the basic-salary base used for 13th month pay.
Is the overtime rate different for monthly-paid and daily-paid employees?
The multipliers are the same. What differs is how the hourly rate is found: a daily-paid worker's rate is the daily wage divided by 8, while a monthly-paid worker's daily rate comes from monthly salary × 12 ÷ the days-per-year factor your employer uses (commonly 261, 313 or 365), and then ÷ 8.

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