Salary : Basic, Net, gross, insurance, cpf/pension fund

Discuss about getting a well paid job or career advancement. Ask about salaries, expat packages, CPF & taxes for expatriate.
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singindo
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Salary : Basic, Net, gross, insurance, cpf/pension fund

Post by singindo » Fri, 19 Feb 2010 9:35 pm

HI All,

I've been searching info on this forum, but i dont find it very clear.
Let's summarize this.

In most countries here are the terms:

Basic : means the take home pay fix amount
Net : means the take home pay of basic + overtime
Gross : Net + tax + CPF + insurance

Questions, please keep in mind if i am Employment Pass(EP) only
(Not PR/Singaporean):

If a company offers gross : 4000SGD per month.
How much the Basic salary would be?

Please explain it like, and please tell us more variables if any:
Basic = 4000 - tax(2%) - insurance(100SGD) - CPF (0 as i am EP only)

Thanks in advance guys :)

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sundaymorningstaple
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Post by sundaymorningstaple » Fri, 19 Feb 2010 10:36 pm

SOME PEOPLE TRY TO TURN BACK THEIR ODOMETERS. NOT ME. I WANT PEOPLE TO KNOW WHY I LOOK THIS WAY. I'VE TRAVELED A LONG WAY, AND SOME OF THE ROADS WEREN'T PAVED. ~ Will Rogers

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Re: Salary : Basic, Net, gross, insurance, cpf/pension fund

Post by sundaymorningstaple » Fri, 19 Feb 2010 10:42 pm

http://forum.singaporeexpats.com/ftopic65825.html
singindo wrote:HI All,

I've been searching info on this forum, but i dont find it very clear.
Let's summarize this.

In most countries here are the terms: (Sure would like to know which countries you consider most. This is not one of them, neither is Aus, Canada, UK or the US)

Basic : means the take home pay fix amount Wrong. Basic is the amount quoted in your contract
Net : means the take home pay of basic + overtime Wrong. Net is the amount deposited into your bank account or actually given to you in cash.
Gross : Net + tax + CPF + insurance Wrong. Gross is the total Basic, Allowances, Overtime without regard to deductions.

Questions, please keep in mind if i am Employment Pass(EP) only
(Not PR/Singaporean):

If a company offers gross : 4000SGD per month. They wouldn't. They would offer you a Basic plus allowances and/or overtime.
How much the Basic salary would be? Cannot be figured out unless we know how much for allowances and overtime are included in what you call the Gross.

Please explain it like, and please tell us more variables if any:
Basic = 4000 - tax(2%) - insurance(100SGD) - CPF (0 as i am EP only)

Thanks in advance guys :)
SOME PEOPLE TRY TO TURN BACK THEIR ODOMETERS. NOT ME. I WANT PEOPLE TO KNOW WHY I LOOK THIS WAY. I'VE TRAVELED A LONG WAY, AND SOME OF THE ROADS WEREN'T PAVED. ~ Will Rogers

singindo
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Here is the answer that people might to know.

Post by singindo » Fri, 26 Feb 2010 9:29 pm

In singapore, tax is paid by yourself, it is around 1% per year.

There is no mandatory medical insurance and pension fund for EP.

So your take home pay is same with your gross salary.

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Post by FaeLLe » Sat, 06 Mar 2010 5:14 pm

Income tax is now 8% for the lowest slab and upwards from there.
Where are you getting from 1-2% now?

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Post by sundaymorningstaple » Sat, 06 Mar 2010 6:15 pm

FaeLLe wrote:Income tax is now 8% for the lowest slab and upwards from there.
Where are you getting from 1-2% now?

Code: Select all

RATES OF TAX FOR YEAR OF ASSESSMENT 2010
Your chargeable income is the amount remaining after deducting from your assessable income the personal reliefs to which you are entitled. If you are a resident in Singapore, the rates of tax chargeable are as follows:
  	        Chargeable Income 	        Rate 	      Gross Tax Payable
  	               $ 	                   (%) 	              $
On the first 	 20,000 	                   0 	                0
On the next 	  10,000 	                 3.5               	350
On the first 	 30,000 	  	                                 350
On the next 	  10,000 	                 5.5 	              550
On the first 	 40,000 	  	                                 900
On the next 	  40,000 	                 8.5 	            3,400
On the first 	 80,000 	  	                               4,300
On the next 	  80,000 	                  14 	           11,200
On the first 	160,000 	  	                              15,500
On the next     160,000 	                  17 	           27,200
On the first 	320,000 	  	                              42,700
Above 	       320,000 	                  20 	 
 
I think what the poster is talking about is that the amount of tax works out to around 1~2% of taxable income. e.g., 30K taxable = $350 tax so 350/30000= 1.16% HOWEVER! If your taxable income is $320,000 the taxes are $42,700 42700/320000= 13.3% of taxable income

Of course if your taxable income is less than 20K then it $0.
Last edited by sundaymorningstaple on Mon, 03 May 2010 8:49 pm, edited 1 time in total.
SOME PEOPLE TRY TO TURN BACK THEIR ODOMETERS. NOT ME. I WANT PEOPLE TO KNOW WHY I LOOK THIS WAY. I'VE TRAVELED A LONG WAY, AND SOME OF THE ROADS WEREN'T PAVED. ~ Will Rogers

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More than 10% !

Post by pravnash » Mon, 03 May 2010 7:23 pm

Hey SMS

I think there's an error in your calculations.. 42700/320000 is 13.3% :)

Cheers
Trabajo para vivir, no vivo para trabajar !

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sundaymorningstaple
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Post by sundaymorningstaple » Mon, 03 May 2010 8:47 pm

Damn those decimals! :cool:

I'm surprised you are the first one to catch it. Good one. Have edited decimals points! Ta!
SOME PEOPLE TRY TO TURN BACK THEIR ODOMETERS. NOT ME. I WANT PEOPLE TO KNOW WHY I LOOK THIS WAY. I'VE TRAVELED A LONG WAY, AND SOME OF THE ROADS WEREN'T PAVED. ~ Will Rogers

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