CPF Contributions
Written in plain language for general understanding. This is educational content, not legal advice. Based on Singapore Acts of Parliament, subsidiary legislation, and official government guidance.
What is this right?
The Central Provident Fund (CPF) is Singapore's mandatory social security savings scheme. Both employers and employees must contribute:
- Aged 55 and below: Employee 20% + Employer 17% = 37% total
- Above 55 to 60: Employee 15% + Employer 15% = 30% total
- Above 60 to 65: Employee 9.5% + Employer 11.5% = 21% total
- Above 65 to 70: Employee 7.5% + Employer 9% = 16.5% total
- Above 70: Employee 5% + Employer 7.5% = 12.5% total
Contributions are split into your Ordinary, Special, and MediSave accounts. Rates are lower for employees earning below $750/month. CPF contributions are mandatory for all Singapore citizens and permanent residents (with transitional rates in the first two years for new PRs).
Your CPF funds are used for housing (HDB), healthcare (MediSave/MediShield Life), and retirement.
When does it apply?
- You are a Singapore citizen or permanent resident employee earning more than $50/month.
- Your employer must contribute regardless of whether you are full-time, part-time, casual, or on probation.
- Self-employed persons must contribute to their MediSave account if their net trade income exceeds $6,000/year.
- Foreign workers on work passes are not required to contribute to CPF.
What should you do?
- Check your CPF statement monthly via the CPF website or the my cpf mobile app.
- If your employer is not contributing, report it to the CPF Board — late or non-payment is a criminal offence.
- Employers must pay contributions by the 14th of the following month. Late payment incurs interest at 18% per annum.
- For disputes about CPF contribution amounts, you can also approach TADM.
What should you NOT do?
- Don't agree to waive CPF contributions — they are mandatory by law and any agreement to the contrary is void.
- Don't ignore short-payment — some employers under-declare wages to reduce CPF. This affects your housing, healthcare, and retirement funds.
- Don't confuse gross pay with CPF-applicable wages — certain allowances and reimbursements are excluded from CPF calculations.
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