11400 is correct

After

cpf, your bonus is

7k*0.8=5.6k

Plus your usual 5.8k

So 5.6k + 5.8k=11.4k

The 200 apparent loss in cash is good for you

Coz you got 200more in

cpf and your employer lan lan must pay that 17% or $34

So end up your

cpf got $234

Further more

cpf has tax relief. So you end up paying lesser income tax than if you are paid that $200 in cash

Case study

Consider tom,

Tom pay is 8500 per month with zero bonus. Making a total of 102000

So each month his

cpf
Is 6000 ow cap * 0.2 = 1200

His take home pay = 8500-1200= 7300

So one year 7300*12 =87,600 in cash

Consider mary

Mary pay is 6000 per month with 30k bonus, making a total of 102000

Mary take home pay 102000*0.8=81,600

So u can see 6k cash difference. But

cpf is worth it coz employer kenna forced pay their 17%

You avoid tax