CPF on bonuses
Is CPF payable on bonuses?
The situation
Yes. Bonuses are additional wages and attract CPF subject to the additional wage ceiling.
The law
- Sec 7, Central Provident Fund Act 1953: Employers pay CPF for Singapore Citizen and PR employees monthly
What it means for you
The ceiling depends on ordinary wages for the year. Use CPF calculator. The additional wage ceiling depends on total ordinary wages for the year. Payroll software usually applies it automatically.
What to do
- Mark bonus as AW.
- Check AW ceiling.
- Compute CPF.
- Pay.
We can do this for youMonthly CPF and SDL contributions: SGD 150