In short: from 1 January 2026, Singapore employers contribute 17% and employees contribute 20% of monthly wages to CPF for employees aged 55 and below, on wages up to the S$8,000 Ordinary Wage ceiling. Rates for employees aged above 55 to 65 increased by 1.5 percentage points in 2026 as part of the government's plan to strengthen retirement adequacy for senior workers.
CPF contribution rates from 1 January 2026
These rates apply to Singapore Citizens and Singapore Permanent Residents from their third year of PR status, earning more than S$750 a month.
| Employee age | Employer (% of wage) | Employee (% of wage) | Total (% of wage) |
|---|---|---|---|
| 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 |
What changed from 2025?
- Above 55 to 60: total rate up from 32.5% to 34% (employer 15.5% → 16%, employee 17% → 18%).
- Above 60 to 65: total rate up from 23.5% to 25% (employer 12% → 12.5%, employee 11.5% → 12.5%).
- Ordinary Wage ceiling: up from S$7,400 to S$8,000 a month.
- Rates for employees aged 55 and below, and above 65, are unchanged.
The additional contributions for senior workers go to the employee's Retirement Account, up to the Full Retirement Sum. Further increases for the 55 to 65 age bands have been announced for 2027, so check the CPF Board for the latest schedule.
When does a new age band apply?
The new rate applies from the first day of the month after the employee's 55th, 60th, 65th or 70th birthday, not on the birthday itself. HRMatters switches the rate automatically from the correct month.
Permanent Residents in their first two years
For Singapore PRs in their first and second year of PR status, lower graduated rates apply by default. Employers and employees can jointly apply to contribute at full rates. HRMatters tracks the PR start date and moves the employee to the next rate tier automatically.
CPF wage ceilings in 2026
Ordinary Wages (OW) are wages for the month, such as basic salary and fixed allowances. Additional Wages (AW) are wages not granted wholly for the month, such as annual bonuses, the 13th-month payment (AWS) and leave encashment.
- OW ceiling: CPF is payable on Ordinary Wages up to S$8,000 a month.
- Annual salary ceiling: S$102,000 of total wages a year.
- AW ceiling: S$102,000 minus the total Ordinary Wages subject to CPF for the year.
Worked examples
Example 1: monthly salary above the ceiling
An employee aged 35 earns S$9,000 a month. CPF is calculated on S$8,000 (the OW ceiling).
- Total CPF: 37% × S$8,000 = S$2,960
- Employee share: 20% × S$8,000 = S$1,600 (deducted from salary)
- Employer share: S$2,960 − S$1,600 = S$1,360
Example 2: year-end bonus
The same employee receives a S$20,000 bonus in December. Ordinary Wages subject to CPF for the year are S$8,000 × 12 = S$96,000, so the AW ceiling is S$102,000 − S$96,000 = S$6,000. CPF is payable only on S$6,000 of the bonus.
Rounding rules
The total CPF contribution is rounded to the nearest dollar (an amount of 50 cents is rounded up), and the employee's share is rounded down to the nearest dollar. The employer's share is the total minus the employee's share.
Employees earning S$750 or less
- S$50 or less a month: no CPF contributions required.
- Above S$50 to S$500: only the employer contributes.
- Above S$500 to S$750: the employer contributes the full rate; the employee's share is phased in.
When to pay CPF
CPF contributions for each month must be paid by the 14th of the following month. The Skills Development Levy (SDL) is paid together with CPF through the same submission. Late payments attract interest. Employers must also show CPF deductions on each employee's itemised payslip.
HRMatters calculates every rate, ceiling and rounding rule above and produces your CPF submission file with each payroll run.
This guide is general information for Singapore employers, not legal or tax advice. Rates and rules change; always confirm against official CPF Board, IRAS and MOM sources.