correct me if i'm wrong...so far from what i know the constribution of CPF as follow:Javaguy wrote:I will give you an idea how CPF deductions work.
1st year of employment as PR
Employee - 14% of yr salary
Employer - 15% of yr salary
2nd year of emplyment as PR
Employee - 17% of yr salary
Employer - 14% of yr salary
and thereafter
Employee - 20% of yr salary
Employer - 13% of yr salary
It's somewhere that percentage. goto www.cpf.gov.sg for more details
It is not employer based, it is date of gaining PR based. If you got your PR and lost your job and were unemployed for two years, then when you started working again, you contributions would be based on the third year rates.Zinta wrote:Have question on CPF when switcing JOB. Appreciate your verification on this.
Now my CPF contribution is 33% (20 Employee, 13 Employer). Now I would like to Switch to another job where they contribute CPF. Do they maintain these 33%? OR do I start from the begining which 9%?
thank you
-zinta
This is fine as far as it goes. Yes CPf contributions are both tax free AND a deduction from gross income (your share of the contributions) up to the amount REQUIRED by law. If you are contributing in excess of the quoted rates as noted above the excess is taxable and not deductible.kk_lass wrote:Some companies (like mine) will request the employees who are PR to commit on contributing the full Employee % - 20% of yr salary from the first year of your PR for easier payout.
There are bad and good ..
Bad is that you r 20% broke in your cash out.
Good is that you r 13% rich in your CPF account.
And as this arrangement is between you and your company, based on voluntary action, the goverment do not care. The goverment will still, based on the standard distribution, tax your income+CPF.
Note: CPF contribution is supposedly to be tax-free.
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