| Quote: | | | Originally Posted by Yongjin | | | |
| for low income i guess there are ways around it ba | |
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That's not true. It's against the laws for company not to contribute CPF for you, regardless of your income & the decision made between you & the company privately, with a few exceptions as listed below (Source:
CPF Board):
| Quote: | | | |
| EXCEPTIONS TO PAYMENT OF CPF FOR EMPLOYEES
Employees who are exempted from CPF contributions
a. Foreigners on Employment Pass, Professional Visit Pass or Work Permit
CPF contributions are not allowed for foreigners. Both the employer’s and employee’s contributions for foreign employees on Employment Pass, Professional Visit Pass or Work Permit will be rejected.
b. Partners, sole-proprietors or self-employed
All Singapore citizens or Singapore Permanent Residents who derive income from Singapore or from outside Singapore through any trade, business, profession or vocation excluding employment under a contract of service are considered self-employed. Unlike employees, they do not contribute to all 3 CPF accounts. Instead, they are only required to contribute to their Medisave, which is computed based on their annual net trade income earned.
c. Employees working overseas
CPF contributions are not mandatory for Singaporean employees who work overseas. If you wish to continue making CPF contributions for your existing employees who are posted overseas, you may have to register for a new employer reference number before making a voluntary contribution.
Overseas employers are required to register for an employer reference number to make voluntary contributions for their Singaporean employees.
This is allowed only for employees who are Singaporeans and Singapore Permanent Residents. The contribution is subject to the limit of $26,393 per calendar year. | |
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By the way, for income <$50, there's no CPF contribution. For income >$50 but <$500, there's no employee's CPF contribution... only employer's 13%, 14.5% with effect from 1st July 2007.
For some small recruitment agencies that don't abide by the rules, think you can try to request not to have CPF contributions, though that's illegal. Usually, they will agree, as not paying CPF for you also means lower costs for them. That's what happened to a cousin of mine before. By the way, all these are more applicable to temporary jobs.
