老乌龟 有沒有 胡说八道?
Based on the recent seedly report “The average annual salary in Singapore is $67,152. This averages out to be $5,596 per month, inclusive of the employer’s CPF contribution.”
Using this figure as an example, let’s see how much tax this Singapore employee could possibly save by voluntarily top up his/her Central Provident Fund (aka CPF).
Using the IRAS tax calculator for FY2019, I am going to simulate a very simple example based on this Singaporean worker profile.
Name: Uncle Ah Sheng (UAS)
Marital Status: Single
Salary: $5,596 per month or $67,152 per year
– $1,000 (Earned income relief)
– $13,430 (CPF/Provident Fund relief)
Personal Income Tax Rebate: $200
Scenario 1 (YOLO, don’t bother to top up CPF lah, Cash is KING)
Based on UAS salary, he will be paying $1,240.54 for his FY2019 taxes to IRAS after all the standard tax relief based on his profile.
Tax payable: $1,240.54
Scenario 2 (Voluntary Contributions (VC) to Medisave account)
UAS got his annual performance bonus