Quick answer
Singapore employers cannot treat salary deductions as an unrestricted way to recover costs. The Employment Act and MOM guidance set rules on allowable deductions. Common situations include employee CPF, absence or no-pay leave, recovery of salary overpayments, and other deductions that meet the applicable legal conditions.
Estimate a no-pay leave deduction
See how unpaid leave can affect salary for an incomplete month of work.
Common salary deductions
- Employee CPF: the employee share is deducted from CPF-eligible wages.
- No-pay leave or absence: a monthly-rated full-time employee who takes no-pay leave has an incomplete month of work; use the Unpaid Leave Calculator.
- Salary overpayment: recovery should follow the applicable rules and be clearly documented.
- Other authorised deductions: some deductions require specific conditions or employee consent. Check MOM guidance for the exact situation.
How deductions affect gross and net salary
Gross pay is not the same as the amount credited to your bank account. Employee CPF and other valid deductions reduce cash pay. See Gross Salary vs Net Salary and review the deductions shown on your itemised payslip.
No-pay leave and incomplete month salary
MOM's incomplete-month formula uses the monthly gross rate of pay divided by the total number of working days in that month, multiplied by the number of days actually worked. This is more appropriate for statutory no-pay leave calculations than choosing an arbitrary calendar-day or fixed 26-day basis.
Before accepting a deduction
Check the reason, amount, payslip description, employment contract and any written consent or supporting record. If the deduction concerns a statutory rule, compare it with current MOM guidance.
Related tools and guides
Payslip Guide · Unpaid Leave Calculator · Final Salary Calculator · Gross vs Net Salary Guide