Thai or PI

for you first time in Asia, Thailand is definitely the better pick. It's just a lot more user-friendly and with better infrastructure. It's also better value for money. Having said that I'm in the Philippines at the moment. Compared to Thailand, there's just next to no tourists at all in the Philippines at any time, even Christmas. You can easily go a week or two without coming across another tourist, and when you do they often seem like a rabbit caught in the headlights, pretty confused. When push comes to shove, most tourists actually like to be around a lot of other tourists, rather than feeling on occasions like a creature from outer space like you often can in the Philippines. Never been to Palawan though, that could easily be a pretty inspired choice. If you decide to go there, head there straight away and save the bigger cities for last.

Agree with Callippo,

Palawan is very beautiful, but also quite hard work. Roads are just crap as are the busses so its long uncomfortable journeys to get from Puerto Princessa to anywhere. Snorkelling off the beach in Thailand also much more rewarding, easy to see corals and fish. I snorkelled lots in Palawan, mainly around the El Nido islands and was amazed at the lack of fish and dynamited dead coral. Port Barton was lovely though. Nice beach, cheap beach huts and no tourists at all.
Come to think of it the only advantage to the Phils is the cheap beer. At the equivalent of 13 baht for a bottle of San Miguel it was just great.

Thailand is wonderful and I agree with both of the above posts but......If you have the money to fly into El Nido from Manila you will save alot of time and effort and have a birds-eye- view of some of the most beautiful island scenery I've ever seen. The PI people are not only friendly and helpful but speak alot more English.We found the snorkling and lagoons and scenery off El Nido to be fantastic and not a high rise hotel in sight.You can also hop along the coast by banca to Port Barton, Sabang, etc. and do some day or overnight trips to one of the many small islands that lay along the coast.The bus trip to Puerto Princessa from Sabang is not so bad and you will see some nice scenery along the way. This area is not over run with tourists but I'm sure you will always meet some on this route. It's perhaps a bit more adventurous than Thailand for first timers, but I doubt you would regret the choice.

I'm a fan of both, but I reckon Palawan is way more exotic and less touristy than Thailand - and the people are friendlier than in Thailand.

Most visitors will only spend a night or two in the capital Manila, en route to the country’s lovely islands and highlands, which is a shame … as the best plan is not to spend any time in Manila at all.

I live in Thailand, but went on business to the Philippines a few months ago. I couldn't wait to get home, the PH is such an unhappy place, with foul food and so many beggars and lowlifes. Manila is a hell-hole, everybody has guns and knives, ppl thrust their starving children into yr face whilst grabbing your arm and refusing to let go, nobody says pls or thank u, the taxi drivers are the worst set of brutes you can imagine, I had so many arguments with them (I never have any arguments with thai ppl, except my girlfriend). U can read about both countries in my blog-cum-ezine if u click below.

If u have to go then for God sake don't hang around in Manila. The only place I went that I liked was Bohol, or Boracay if you're loaded (the PH is an expensive destination when compared to TH).

I'm never going back to that awful country for as long as I live. Well, I might, as i would like to see Palawan, which is supposed to be easily the best bit.

+The only place I went that I liked was Bohol, or Boracay if you're loaded (the PH is an expensive destination when compared to TH).

Boracay - considering it's the number one tourist destination in the Philippines - is not expensive when compared to its Thai equivalent, which I guess would be Phuket. There's no way you can get a nice room on as resort with a pool about 20 metres from the beach in Phuket for 800 baht right in the epicentre of the main drag like you can in Boracay, Where Thailand presents unbeatable value is in the provinces, where you can get decent hotel rooms for only half or even less what they cost in provincial Philippines cities.

thanks everyone for your thoughts ,you arent making our decision easier ...I am starting to think 4 weeks in thailand (similans/krabi/kanchanaburi,3 weeks in PI (palawan/boracay/donsal)..is there certain places in these 2 coutries we shouldnt miss??

Well thats an individual call - for the Thai islands it depends on whether you are looking for spectacular scenery, nightlife, laid back, good snorkelling etc. Perhaps you could check the WHICH ISLANDS AND BEACHES page in the first link below to see what grabs your fancy.
For spectacular scenery it is hard to go past Phi Phi, Railay at Krabi and Phang Nga Bay. But the first 2 do get very crowded in high season. Phang Nga is easy to visit as a daytrip out of Phuket or with a bit more effort from Krabi/Railay.

We are into diving ,snorkelling ,hikes ,beautiful beaches & relaxing.

Philippines

Have you added culture, architecture, cuisine to your list it had been more difficult choice between Thailand and Philippines, but diving/snorkelling, beautiful relaxed beaches and hiking(especially in North Luzon) are what Philippine excels in.

On the other hand Thailand is cheaper and it's more comfortable/developed and even if Philippines has better beaches and diving Thailand is still world-class also, unfortunately it's much more crowded than Philippines.