HRSINGAPORE Community Discussions


CPF Contribution on Backdated Unpaid Leave - Update 1 (Reply)


QUESTION 

Dear HR Professionals,

When an employee took unpaid leave at the end of the month after salary has been processed, we will deduct this unpaid leave in the following month.

Can anyone share on what is your practice in your Company? And how to compute the CPF contribution for this unpaid leave?

Thank you.

Cass

 


REPLY 1

Our current practice: We will try to deduct all unpaid leave within the month, any leaves applied after the cut-off period will be deducted in the following month payroll. However, we just being notified that the CPF contribution should be based on the basic salary instead of after deduction amount.The reason being employer should have sufficient time to make adjustment before the CPF contribution.

The following is an illustration: Employee A with basic salary $2,000 took 1 day unpaid leave in Nov’17, however deduction made in Dec’17. The CPF contribution should be based on $2,000 instead of after pay deduction.

Ai Ting

  


Reply | Post | Community


<ADVERTISEMENT>

Payroll Administration Workshop

- 13 February 2018 (30th Run)

This one day workshop will provide participants with valuable insights relating to payroll administration, all legislative requirements surrounding payroll, the latest trend and market practices for payroll and the options for outsourcing payroll.

For details, please click on: https://hrsingapore.org/payrolladmin/

 


HRSINGAPORE is the first, free, HR Community that provides HR Certification, HRLAW Seminars, HR Workshops and HR Consultancy Services. For more about us please visit https://hrsingapore.org/


HRSINGAPORE Community | This email was sent to | Unsubscribe | Forward this email to a friend


© HRSINGAPORE® ~ A Decade of Helping HR People Succeed!

HRSINGAPORE PTE LTD | www.hrsingapore.org | query@hrsingapore.org | Tel: 6337-8016 | 89 Short Street #04-16 | Singapore 188216 | Co Reg. 200409860M