- Monthly Payment/Deduction tab is classified as Ordinary Wage
- Ad-Hoc Payment/Deduction tab is categorised as Additional Wage
Here are the definitions of Ordinary Wages (OW) and Additional Wages (AW)
- wages due or granted wholly and exclusively in respect of an employee's employment in that month.
- wages payable before the due date for payment of CPF contributions for that month.
E.g. monthly basic salary and fixed allowances.
The amount of Ordinary Wages that attract CPF contributions each month is capped at $6,000.
- wages not granted wholly and exclusively for the month.
- wages made at intervals of more than a month.
E.g. annual bonus, leave pay, commission.
The amount of CPF contributions payable on AW is capped at $102,000 minus the total ordinary wages subject to CPF for the year.
This Additional Wage ceiling is applied anew for each new employer in a year.