Withheld Funds for GSIS, PhilHealth and Pag-ibig Not Remitted on Time
20. Funds withheld and recorded under the accounts “Due to GSIS,” “Due to
Philhealth,” and “Due to Pag-ibig” were not fully remitted within the required
timeframe, contrary to the provisions of Section 14.1 of the IRR of RA No. 8291,
Section 11 of the Revised IRR of RA No. 10606, and Section 3, Rule VII of the IRR
of RA No. 9679, which could affect employees’ access to benefits from these
government agencies, including salary and policy loans.
20.1 Rule III, Section 14.1 of the Implementing Rules and Regulations (IRR) of
Republic Act (RA) No. 8291, also known as the GSIS Act of 1997, mandates
that every government agency must remit both the employees’ and the agency’s
contributions directly to the GSIS within the first ten (10) days of the calendar
month following the month for which the contributions apply. Furthermore, the
remittance of these contributions to the GSIS shall take precedence over all
other obligations, except salaries and wages for its employees.
20.2 On the other hand, Section 18(b) of the Revised IRR of the National Health
Insurance Act of 20134, requires employers to remit the monthly premium
contributions of employed members to PhilHealth on or before the date
prescribed by the latter. Anent thereto, the Corporation issued PhilHealth
Circular No. 0001, series of 2014, dated January 9, 2014, which specifies that
starting in March 2014 onwards, the PhilHealth contributions must be remitted
every 11th–15th day of the month following the applicable period for employers
with PhilHealth Employer Number (PEN) ending in 0-4.
20.3 Similarly, Rule VII, Section 3, IRR of RA No. 9679, also known as “An Act
Further Strengthening the Home Development Mutual Fund, and for Other
Purposes,” requires that remittances be made within 15 days from the date of
collection.
20.4 An examination of the General Ledger revealed that not all funds withheld
during the month were subsequently remitted on the following month. As shown
in the table below for the period January to December 2024, the total amount
remitted did not correspond to the amount recorded as withheld in the previous
month.
Due to GSIS (Proper) (20201020)
Month Withheld Remittance Balance
Beginning Balance ₱10,906,188.02 ₱10,906,188.02
January 7,783,444.26 8,626,040.03 842,595.77
February 7,671,609.82 7,288,289.23 383,320.59
March 7,897,073.11 7,921,908.10 24,834.99
April 7,626,134.65 8,087,248.01 461,113.36
May 7,360,083.45 7,769,794.39 409,710.94
June 7,120,097.99 7,120,151.20 53.21
4
RA 7875 as amended by RA 9241 and 10606
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