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SALARY PAYMENT IN Singapore Dollar (SGD)
CONTRACT LANGUAGES English
PAYROLL TAX 22%
PAYROLL CYCLE Monthly
TIME TO HIRE 12 hours
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Singapore has a straightforward social security system based almost entirely on contributions to the Central Provident Fund (CPD).
The social security system in Singapore is operated through the Central Provident Fund (CPF). This mandatory social security savings scheme is funded by joint contributions made by employers and employees and is designed to cover health care, retirement and home ownership needs of Singaporean citizens and permanent residents.
Employees are required to contribute 20% of monthly earnings subject to a maximum monthly salary ceiling of SGD 6,000. However, voluntary contributions above the mandatory amounts can be paid.
Employers are required to contribute 17% of employees’ monthly salaries subject to a maximum monthly salary ceiling of SGD 6,000. However, voluntary contributions above the mandatory amounts can be paid.
Mandatory contributions in Singapore are generally simpler than in neighboring countries, such as China (with ‘the 5 Insurances’) and Malaysia (with both the Employees Provident Fund and employment injury insurance).
Your business can easily hire employees in Singapore without opening a local entity. We handle local employment law, complex tax regulations, and international payroll in 180+ countries worldwide. All you need to do is focus on your business.
Employers are required to contribute 17% of employees’ monthly salaries subject to a maximum monthly salary ceiling of SGD 6,000.
Social security contributions are designed to cover healthcare, retirement and home ownership needs of Singaporean citizens and permanent residents.
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