01012021 04:52 PM  
pandemonium 
Quote:
Refer to this: https://www.cdac.org.sg/contributorinformation/ Gross wages for the month includes AWS or any other bonuses or oneoff payment. 

01012021 11:05 AM  
tpj2000  Just ask additional question: the CDAC $3 per month is the same for December right, even with AWS, it is $3 right?  
01012021 09:43 AM  
tpj2000 
Thank you for the details  it is as per suspected. (btw I just saw this; I am the real TS) Quote:


01012021 02:13 AM  
Unregistered 
Your original qn nv ask why there is a discrepancy of $200 You asked is your bonus considered additional wage and how is it calculated. So i already answered Anyway i also already answered your $200 discrepancy in the previous reply U sure your pay 7k? Coz 7k usually can count. 

01012021 02:08 AM  
Unregistered 
Can understand? All your bonus go to the additional wage as long as your bonus dont hit 30k Can count or nottttt... Nowadays youngster quite cmi Lack basic arithmetic skills No wonder all kenna scammed 

01012021 02:02 AM  
Unregistered 
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 = 85001200= 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 

01012021 01:54 AM  
Unregistered 
Quote:


01012021 01:51 AM  
Unregistered 
Quote:
Essentially ow max is 6k per month. Aw max is 30k per annum Aw cap is counted per annum basis Now your dec pay is 6k ow + 7k bonus Your ow is cap at 6k for dec. But your 7k bonus will fully attracts cpf coz it is considered additional wage unless you hit the 30k bonus limit per year. Your employer will also be forced to pay the employer contribution of 17% of the 7k. 

01012021 01:01 AM  
tpj2000 
13th Month AWS is subjected to CPF? Hi all, asking a noob question. I just received my December payslip. I am grossing at 7K. So monthly, I am taking home 5800. For Dec I am getting 7K + 7K (AWS) = 14K. I notice my payslip is having 11400 instead of 11600. My question is 7K AWS subject to Ordinary Wage (OW) Ceiling OR Additional Wage (AW) Ceiling? If AWS is considered Additional Wage (AW) Ceiling, then the AWS will be reduced by 20%. If AWS is considered OW, how is calculated? many thanks 