Year-End Bonus: Equivalent to One Month Basic Pay
According to DBM Budget Circular No. 2016-4, all qualified government personnel, including DepEd teachers, are entitled to a Year-End Bonus equivalent to one (1) month basic salary as of October 31 of each year.
To qualify, an employee must:
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Have rendered at least four (4) months of service from January 1 to October 31, 2025; and
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Be still in government service as of October 31, 2025.
The Year-End Bonus is typically released not earlier than November 15, allowing teachers to receive it ahead of the December holiday period. Regional memoranda, such as those issued by DepEd Region VIII in previous years, have confirmed the early processing of this benefit to ensure timely disbursement.
₱5,000 Cash Gift: A Holiday Tradition
Alongside the Year-End Bonus, teachers are also set to receive a ₱5,000 Cash Gift, as provided under the same DBM circular. This benefit is likewise released starting mid-November, and it is granted to all eligible personnel who meet the same conditions required for the Year-End Bonus.
The Cash Gift has long been considered a traditional year-end incentive for government employees, providing additional support for family and holiday expenses.
Productivity Enhancement Incentive (PEI): December Release
In addition to the Year-End Bonus and Cash Gift, DepEd teachers are expected to receive the Productivity Enhancement Incentive (PEI) before the year ends. The DBM authorizes the release of a ₱5,000 PEI to qualified government workers not earlier than December 15, subject to specific conditions.
To be eligible for the PEI, employees must:
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Still be in service as of November 30, 2025; and
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Have rendered at least four months of satisfactory service by that date.
While the PEI is a standard benefit across government agencies, its release may depend on available funds and compliance with agency performance targets. DepEd teachers, being part of the largest government workforce, are typically among the first to receive updates from DBM and their regional offices regarding this incentive.
Reviewed by Teachers Click
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October 26, 2025
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