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CPF at Higher Rates

Employees who are citizens or Permanent Residents of Singapore are required to contribute CPF monthly, as outlined in the following help page:

CPF contributions for employees in their first two years of permanent residency are at a lower rate than citizens and other Permanent Residents. SimplePay will automatically use the correct rates for the employee, based on the employee’s setup. To read more about employee setup, please refer to the following help page:

Employers and employees can apply to the CPF Board to contribute CPF for first and second year Permanent Residents at the same rate as citizens and other permanent residents. If this is approved by the CPF Board, you will need to tell SimplePay to use the higher rates. To do this:

  1. Go to the employee's profile.
  2. Click on Add next to Regular Inputs.
  3. Select CPF at Higher Rates under Other.
  4. Indicate whether the higher CPF rate applies to both the employer and the employee, or only the employer.
  5. Enter the effective date for the higher contribution rate.
  6. Click Save.

Backdating contributions

The effective date should be backdated only when users wish to deduct a higher amount of CPF for historical periods.

Increase in CPF Contribution rates for 2026

Further changes to CPF contribution rates will take effect on 1 January 2026. The most notable of these is an increase in the contribution rates for employees aged 55 to 65 whose monthly wages are more than $750. This increase is applicable only to third year permanent residents onwards. First and second year permanent residents will not be affected by this change unless CPF is calculated at a higher rate.

More information about the changes and a link to the complete contribution rate tables can be found on the CPFB website.

From 1 January 2026, SimplePay will automatically calculate CPF using the new rates.