Singapore CPF Contribution

Singapore CPF Contribution Rates, Eligibility, Process and other details

What is the CPF and Why Should Employers Pay?

The CPF is Singapore’s social security net ensuring that employees have enough saved funds for retirement, hospitalization, and housing. Employers need to mandatorily pay the entire contribution to the Provident Fund. The employer can later deduct a certain portion from the employee’s salary as specified by the authorities.

In this way, Singapore citizens and Permanent Residents are forced to save money for a minimum quality of life. PF contributions are universally recognized as the most viable way to ensure that your employees are able to fend for themselves and keep inflation at bay.

What are the Singapore CPF Contribution Rates for 2021?

The percentage of employee wages that are to be contributed towards his/her Central Provident Fund (CPF) is 37% for the productive age group of persons below 55 years of age. Of this 37%, 17% is to be contributed by the employer while 20% will be deducted out of the employee’s salary.