Additional Salary From Employer

Today, I realised one thing about Central Provident Fund (“CPF”) Contribution. I note that the salary earned from the active employment also consist of employer’s contribution CPF contribution is capped at the salary of $6,000. Any amount above $6,000 will not be subject to CPF deduction. In another word, the employer will contribute 17% of $6,000 ($1,020) into the CPF. This will mean an additional salary into CPF which can be withdrawn at the age of 55 with the assumption of one hitting the prevailing FRS at the age of 55 (at that point of time).

WTK

Author: firewtk

A middle-age Singaporean currently having a minimalist and simple lifestyle. I am not longer in full-time employment with effect from 1 May 2019. I try my very best to write one post per day on this blog. The purpose is to share my prevailing thoughts to interested readers. It is up to the interested readers to decide whether they want to take action in embarking on the FIRE journey. I do not gain anything from this blog and it is solely for sharing hopefully for the benefits of all interested reader. WTK

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