Understand Singapore CPF contributions, employee CPF, employer CPF, CPF rates, wage ceiling and how CPF affects your take-home pay.
Use these free Singapore salary tools to estimate your CPF, income tax and take-home pay.
CPF stands for Central Provident Fund. It is Singapore’s compulsory social security savings scheme funded by both employers and employees.
CPF mainly applies to Singapore Citizens and Singapore Permanent Residents. CPF savings are used for retirement, housing, healthcare and other approved purposes.
For employees, CPF affects take-home pay because the employee CPF contribution is deducted from gross salary. Employer CPF is paid by the employer on top of the employee’s salary.
The table below shows common CPF contribution rates for Singapore Citizens and Singapore Permanent Residents from the third year onwards, for monthly wages above S$750.
| Employee Age | Employer CPF | Employee CPF | Total CPF |
|---|---|---|---|
| 55 and below | 17% | 20% | 37% |
| Above 55 to 60 | 16% | 18% | 34% |
| Above 60 to 65 | 12.5% | 12.5% | 25% |
| Above 65 to 70 | 9% | 7.5% | 16.5% |
| Above 70 | 7.5% | 5% | 12.5% |
For example, if an employee aged 55 and below earns S$5,000 per month, employee CPF is estimated at S$1,000 and employer CPF is estimated at S$850.
The CPF Ordinary Wage ceiling is the maximum amount of monthly ordinary wages used for CPF contribution calculation.
From 2026, the CPF Ordinary Wage ceiling is S$8,000 per month. This means if your monthly ordinary wage is higher than S$8,000, CPF on ordinary wages is generally calculated only up to S$8,000.
| Monthly Salary | CPF Wage Used | Employee CPF at 20% |
|---|---|---|
| S$5,000 | S$5,000 | S$1,000 |
| S$8,000 | S$8,000 | S$1,600 |
| S$10,000 | S$8,000 | S$1,600 |
Employee CPF is deducted from your gross monthly salary. This is why your cash take-home pay is lower than your gross salary.
Employer CPF is contributed by your employer on top of your salary. It is not deducted from your salary.
Total CPF is the combined amount of employee CPF and employer CPF. For employees aged 55 and below, the total CPF rate is commonly 37%, made up of 20% employee CPF and 17% employer CPF.
Take-home pay is your salary after employee CPF deduction. For example:
| Item | Amount |
|---|---|
| Monthly Gross Salary | S$5,000 |
| Employee CPF at 20% | S$1,000 |
| Estimated Take-Home Pay Before Tax | S$4,000 |
Singapore income tax is usually assessed annually, so monthly take-home pay after CPF is not always the same as final after-tax income.
To estimate CPF and tax together, use the Singapore Salary After Tax Calculator.
Singapore Permanent Residents may have graduated CPF contribution rates during the first and second year of PR status. The full CPF rates usually apply from the third year onwards.
Because PR CPF rules can depend on PR year and contribution type, employees and employers should check the official CPF calculator or CPF contribution tables when accuracy is important.
Foreign employees on Employment Pass, S Pass or Work Permit generally do not contribute CPF.
This means a foreign employee’s take-home pay calculation is usually different from a Singapore Citizen or PR employee. However, foreign employees may still be subject to Singapore income tax rules depending on tax residency.
Yes. Employee CPF is deducted from your gross monthly salary.
No. Employer CPF is paid by the employer on top of your salary.
For Singapore Citizens and PRs from the third year onwards, the common CPF rate for employees aged 55 and below is 20% employee CPF and 17% employer CPF, for monthly wages above S$750.
The CPF Ordinary Wage ceiling is S$8,000 per month in 2026.
Foreign employees on work passes generally do not contribute CPF.
This CPF guide is for general information and simple salary estimation only. Actual CPF contributions may differ due to CPF rounding, additional wages, PR year, wage ceilings, CPF annual limits and other CPF rules.
For exact CPF calculation, refer to the official CPF Board calculator and CPF contribution tables.