21/07/2025
๐ง๐๐ ๐ง๐ฅ๐จ๐ง๐: No, your total savings is NOT being taxed. Only the interest or โtuboโ your money earns gets a 20% tax.
Your โฑ100,000 is still โฑ100,000.
But if it earns โฑ6,000 in interest, thatโs when the 20% tax applies.
Quick math:
โฑ6,000 interest ร 20% = โฑ1,200 tax
You get to keep โฑ4,800 of your earnings.
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๐ก๐ผ๐ ๐๐ณ๐ณ๐ฒ๐ฐ๐๐ฒ๐ฑ ๐ฏ๐ ๐๐ต๐ฒ ๐ฎ๐ฌ% ๐ง๐ฎ๐
(๐ฎ๐ ๐น๐ฒ๐ฎ๐๐, ๐ณ๐ผ๐ฟ ๐ป๐ผ๐):
Cooperative Time Deposits โ if youโre a member of a registered coop, your savings might earn dividends tax-free.
Pag-IBIG MP2 Savings โ government-backed, 5-year term, tax-free dividends (subject to availability).
Stocks & Mutual Funds โ gains here have separate tax rules (e.g. capital gains tax, stock transaction tax), but not the blanket 20% on savings interest.
Digital wallets/investment apps โ some fintechs offer savings-like products with varied tax implications (check each one carefully).
Life Insurance with Investment (e.g. VULs) โ long-term growth, with built-in life protection, and not taxed like bank deposits.
Crypto platforms โ risky, yes, but currently not affected by this FWT (Final Withholding Tax).
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Soโฆ what now?
You donโt need to pull your money out of the bank.
Diversify: Consider splitting your money across bank, Stock Market, Mutuals Funds, PDF, MP2, coop, investment apps, etc.
Ask questions: Not all "savings" are created equal. Some grow quietly, some are taxed loudly.
โWhere else can my money grow better?โ
โWhat other options are safer and smarter?โ
Donโt panicโbut also, donโt park all your dreams in one taxed bucket.
Letโs talk. Letโs learn. Letโs grow.
Here โwe break down big changes in real talk.
Just message me for more details
