SimplePay is pleased to announce the following changes in your payroll program:
The central provident fund board of Singapore announced that from 1 January 2014, the CPF contribution rates for low-wage workers will be increased to help them save more for retirement. Private sector employees and government non-pensionable employees, including first and second year Singapore Permanent Residents (SPR), who are earning monthly wages of between $50 to $1,500 will benefit from the changes.
The following changes will apply to wages earned from 1 January 2014:
i) Increase in Employee’s CPF contribution rate
The phased-in employer’s CPF contribution rates for all employees aged above 35 years old and earnings wages of >$50 to $50 to $500 to $750 to <$1500 will be increased to the full rates.
There is no change for employees earning wages of ≤$500 as they are not required to make employee CPF contributions.
The above changes has already been incorporated in your SimplePay payroll.