Pag-Ibig bares new payment schedules

CEBU, Philippines - The Home Development Mutual Fund or Pag-Ibig has announced the new schedules of payments for their members effective next month.

HDMF officer-in-charge Ma.Victoria Ty, in a letter to all the employers, said that effective July 1 employers with names starting with letters A to D their due dates shall fall on the 10th to 14th day of the month.

For employers names starting from letters E to L their due dates shall fall on every 15th to 19th of the month while letters M to O will be on the 20th to 24th day. For letters R to Z and numeral will be on the 25th up to the end of every month.

"Hence, we encourage you to pay on or before the due date since failure or refusal of the employer/trade association/cooperative to pay or to remit the contributions shall be charged a penalty equivalent to one-tenth of 1% per day of delay of the amount due starting on the first day immediately following the due date until the date of full settlement," Ty’s letter reads.

Through the signing of Republic Act No. 9679, or the Home Development Mutual Fund Law of 2009, membership to the Fund was made mandatory for all employees – including their employers – coverable by the Social Security System (SSS) or Government Service Insurance system (GSIS), regardless of the status of employment or nature of appointment.

The coverage took effect last January 1. Under the said law, employers are directed to deduct the employees’ monthly membership contributions from their salary and remit the same to the Fund, together with the employer’s counterpart, which is equivalent to two-percent.   (FREEMAN NEWS)