CENTRAL PROVIDENT FUND & SKILL DEVELOPMENT LEVY

CENTRAL PROVIDENT FUND & SKILLS DEVELOPMENT LEVY

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2017

Copyright © 2017 Rikvin Pte Ltd. All rights reserved. Last updated 22 Feb 2017 | 2

SINGAPORE CENTRAL PROVIDENT FUND (CPF) RATES

CENTRAL PROVIDENT FUND & SKILLS DEVELOPMENT LEVY

The Central Provident Fund or CPF is a compulsory pension fund scheme in which the employer and employee contribute a percentage of the monthly salary to the fund. CPF contribution by the employer is mandatory for all local employees who are Singapore Citizens or Permanent Residents earning more than S$50 a month. The maximum CPF contribution rate for employers and employees is 17% and 20% respectively and can be lower depending on certain factors such as employee age and permanent resident status. Employment pass holders do not have to contribute to CPF.

1st year PR 2nd year PR 3rd year onwards PR and Singapore citizen

Graduated Employer & Employee Rates With effect from 1 Jan 2016(A) Employees age 50 years and below

Employee 5.00% 15.00% 20.00%

Employer 4.00% 9.00% 17.00%

Total 9.00% 24.00% 37.00%

(B) Employees age above 50 to 55 years

Employee 5.00% 15.00% 20.00%

Employer 4.00% 9.00% 17.00%

Total 9.00% 24.00% 37.00%

(C) Employees age above 55 to 60 years

Employee 5.00% 12.50% 13.00%

Employer 4.00% 6.00% 13.00%

Total 9.00% 18.50% 26.00%

(D) Employees age above 60 to 65 years

Employee 5.00% 7.50% 7.50%

Employer 3.50% 3.50% 9.00%

Total 8.50% 11.00% 16.50%

(E) Employees age above 65

Employee 5.00% 5.00% 5.00%

Employer 3.50% 3.50% 7.50%

Total 8.50% 8.50% 12.50%

* Based on a base salary of $1,000 per month.

All companies required to contribute a fee to the skills development fund. SDL contribution is payable by employers for all employees up to the first $4,500 of each employee’s total monthly wages at a levy rate of 0.25% or a minimum of $2 (for total wages of $800 or less), whichever is higher.

WORKER GROSS MONTHLY REMUNERATION SDL PAYABLE REMARKS

A $609.50 $2.00 Minimum of $2 is payable

B $2,000.00 $5.00 0.25% levy

C $4,500.00 $11.25 0.25% levy

D $4,502.03 $11.25 First $4,500 levied at 0.25%

E $10,000.00 $11.25 First $4,500 levied at 0.25%

SKILLS DEVELOPMENT LEVY (SDL) RATES

Copyright © 2017 Rikvin Pte Ltd. All rights reserved. Last updated 22 Feb 2017 | 3

RIKVIN PAYROLL SERVICES

CENTRAL PROVIDENT FUND & SKILLS DEVELOPMENT LEVY

Contact us at [email protected] or call us at +65 6320 1888.

Let us take the load off you.

Running a company is hard work. Outsource your payroll tasks to us so that you can focus on growing your business.

Our payroll services have consistently helped small and medium sized enterprises, start-ups and companies like you remain in compliance with authorities as well as avoid unnecessary penalties.

Our payroll services include the following:

• Fully automated payroll systems with a dedicated human interface

• Flexibility in pay runs: Fortnightly or monthly payroll

• Computerized payslips and payroll reports for management

• Online leave management & expense reimbursement features

• Annual compliance documents like Form IR8A & IR8S

• Maternity claims, NS (MINDEF) claims, childcare leave application services

• Tax clearance for non-local employees

• Drafting of employment contracts and agreements

• CPF registration of employers

R I V I N PA Y R O L L S O L U T I O N S

PACKAGE 1: PREMIUM PACKAGE 2: STANDARD PACKAGE 3: LITE

Covers all major HR process of your company, including: employment

contracts, CPF registration, payroll processing including disbursement of employee salaries and expenses, payment of levies & CPF, submission

of claims and IR8A Forms

Price:

(Available upon request)

This package comprises of payroll processing including disbursement of employee

salaries and expenses, payment of levies and CPF, submission of claims and annual IR8A Forms.

Price:

(Available upon request)

This package comprises ofpayroll computations,generation of payroll

reports and payslips foremployees including CPF

payment advice.

Price:

(Available upon request)

Copyright © 2017 Rikvin Pte Ltd. All rights reserved.

RIKVIN PTE LTD (In.Corp Group Company)

30 Cecil Street, #19-08 Prudential Tower, Singapore 049712

Main Line: +65 6320 1888 Fax: +65 6438 2436 Email: [email protected] Website: www.rikvin.com

Reg No. 200708442E EA License No. 11C3030

The information contained herein is intended for general information purposes only and shall not be regarded as professional advice. Readers are therefore advised that before acting on any matter arising from these notes, they should discuss their particular situation with the Firm. No liability can be accepted for any action taken as result of reading the notes without prior consultation with regard to all relevant factors.

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