The CPF Board acts as the agent for collection of contributions from employee wages to 4 self-help group funds:
Chinese Development Assistance Council Fund (CDAC)
Eurasian Community Fund (ECF)
Mosque Building and Mendaki Fund (MBMF)
Singapore Indian Development Association Fund (SINDA)
The mission of the SHGs is to aid the less privileged and low income households in the Chinese, Eurasian, Muslim and Indian communities in Singapore.
Employees are required to contribute monthly to the fund representative of the community they are a part of. An employee may opt-out or contribute a different amount by completing the relevant forms with the respective SHG.
As an example, if an employee is Chinese-Muslim (race in NRIC is Chinese), he/she will need to contribute to both Chinese Development Assistance Council Fund (CDAC) and Mosque Building and Mendaki Fund (MBMF) but he/she can choose to contribute to one and opt-out the other.
The contribution amount deducted is dependent on the wages of the employee. Use Talenox's Singapore CPF Contribution Calculator to quickly obtain accurate SHG contribution amounts. Below is an updated list of the respective contribution amounts:
CDAC fund effective 1 Jan 2015:
ECF effective 1 Jan 2015:
MBMF effective 1 Jun 2016:
SINDA fund effective 1 Jan 2015:
Who needs to contribute to these Self-Help Group (SHG) funds?
Chinese Development Assistance Council Fund (CDAC) - All employees belonging to the Chinese community who are Singapore Citizens and Singapore Permanent Residents.
Eurasian Community Fund (ECF) - All employees belonging to the Eurasian community who are Singapore Citizens and Singapore Permanent Residents.
Mosque Building and Mendaki Fund (MBMF) - All working Muslims who are Singapore Citizens, Singapore Permanent Residents and foreign employees.
Singapore Indian Development Association Fund (SINDA) - All employees belonging to the Indian Community who are Singapore Citizens, Singapore Permanent Residents and Employment Pass holders.
Where to include Self-Help Group Contribution for my employee?
In your Employee's Profile, you can select the correct Self-Help Group (SHG) fund before you start processing payroll for your employee. Scroll down the page until you see this section:
If your employee has opted-out, do indicate N/A in the 1st field. 😀
In the event your employee has obtained an approval from his/her respective Self-Help Group (SHG) funds to contribute a fixed amount, do view this guide for further information on next steps.
How to configure the setting if employer wants to pay Self-Help Group Contribution on behalf of the employee?
By default, it is mandatory for employees to pay Self-Help Contribution, that is deducted from their salaries.
However, if the employer wants to contribute on behalf of the employee, you can configure the setting under the Employee Profile > Statutory Details > SHG borne by employer: