The Central Provident Fund (CPF) is Singapore’s mandatory defined-contribution savings scheme, covering every employed Singapore Citizen and Permanent Resident. From the moment you receive your first payslip, a combined 37% of your salary (if you are below 55) flows automatically into three accounts: the Ordinary Account (OA) for housing and education, the Special Account (SA) for retirement, and the MediSave Account (MA) for healthcare. After your 55th birthday, the Special Account closes and a Retirement Account (RA) is created, consolidating your retirement savings.
January 2026 marked the final step of a multi-year CPF reform: the Ordinary Wage (OW) ceiling rose from S$7,400 to S$8,000 per month, completing the government’s commitment to align CPF contributions with Singapore’s rising median wages. This change means roughly 120,000 higher-income workers now see more of their salary attracting CPF contributions — directly boosting their OA, SA, and MA balances.
2026 CPF Contribution Rates by Age Band — Singapore Citizen, 3rd Year PR & Senior Worker Rates
Age Group
Employee %
Employer %
Total %
Notes
35 and below
20%
17%
37%
Full rates — housing-heavy OA allocation
36 – 45
20%
17%
37%
Same rates; SA allocation begins to increase
46 – 55
20%
17%
37%
Same rates; MA allocation rises
56 – 60
15%
15.5%
30.5%
↑ increased from 2025 rates
61 – 65
9.5%
10.5%
20%
↑ increased from 2025 rates
66 – 70
7.5%
8.5%
16%
No change from 2025
Above 70
5%
7.5%
12.5%
No change from 2025
2026 Key Change: For workers aged 56–60 and 61–65, the January 2026 rate increases apply to wages earned from 1 January 2026 onward. The additional contributions are fully allocated to the Retirement Account (RA) until the Full Retirement Sum (FRS) is met.
CPF OA, SA/RA & MediSave Allocation Ratios — Official CPF Board Table, Effective 1 January 2026
The allocation ratio determines how each dollar of total CPF contribution splits across your accounts. These figures are published by CPF Board and represent the ratio of total contribution allocated to each account:
Age
OA Ratio
SA / RA Ratio
MA Ratio
Account Note
35 & below
0.6217
0.1621
0.2162
SA
36 – 45
0.5677
0.1891
0.2432
SA
46 – 50
0.5136
0.2162
0.2702
SA
51 – 55
0.4055
0.3108
0.2837
SA
56 – 60
0.3530
0.3382
0.3088
RA (SA closed)
61 – 65
0.1400
0.4400
0.4200
RA
66 – 70
0.0607
0.3030
0.6363
RA
Above 70
0.0800
0.0800
0.8400
RA
The CPF Board specifies the computation order: MA is calculated first, then SA/RA, and the remainder goes to OA. This ensures healthcare savings are prioritised, particularly for older members. The pattern is deliberate: for workers under 35, over 62% of CPF flows to OA (supporting the goal of home ownership), while for members above 65, 84% of CPF contributions flow to MediSave — reflecting the healthcare-heavy needs of older Singaporeans.
How This CPF Contribution Calculator Computes Your Payslip Deduction, OW/AW Ceiling & CPF Board Rounding Rules
This calculator applies the CPF Board’s exact mathematical rules, not approximations. Most online tools round incorrectly or ignore the Annual Wage ceiling for bonuses. Here is the precise methodology this tool follows:
Step 1 — Cap Ordinary Wages at S$8,000 (Singapore OW Ceiling Jan 2026)
CPF contributions on Ordinary Wages (your regular monthly salary, overtime, allowances paid within the month) are calculated only on the first S$8,000, effective 1 January 2026. If you earn S$9,500, CPF is computed on S$8,000 — your additional S$1,500 is CPF-exempt on the ordinary wage component.
Step 2 — Apply Employee & Employer CPF Contribution Rate by Age Band
The total rate (employee % + employer %) is multiplied by your capped salary. For a 32-year-old earning S$5,000: total = 5,000 × 37% = S$1,850.
Step 3 — Apply CPF Board Rounding Rules for Accurate Payslip Deduction
Official Rounding: Total CPF is rounded to the nearest dollar (amounts below 50 cents are dropped; amounts of 50 cents and above become an extra dollar). The employee share is always rounded down (floor). The employer share is the difference: Total − Employee.
The CPF Board’s prescribed order is: (1) MediSave = Total × MA ratio; (2) Special/Retirement = Total × SA/RA ratio; (3) Ordinary = Total − MA − SA/RA. Dollar amounts are computed in cents and the remainder goes to OA — ensuring no rounding loss.
Step 5 — Annual Wage (AWS/Bonus) CPF Using the AW Ceiling Formula
Bonuses, AWS (Annual Wage Supplement), and commissions are “Additional Wages.” The Annual Wage ceiling = S$102,000 − (your monthly ordinary wage × 12). Only the portion of your bonus within this ceiling attracts CPF. For example, if you earn S$5,000/month, your OW for the year = S$60,000, so AW ceiling = S$42,000. A S$20,000 bonus is fully CPF-liable. A S$50,000 bonus would be capped at S$42,000.
3 Real Singapore CPF Payslip Examples — Fresh Grad, PMET Manager & Senior Worker 2026
These worked examples use the exact CPF Board rates and rounding rules for 2026. All figures are in Singapore dollars.
Example 1 — Fresh Graduate
28-year-old SC, S$4,200/month
Capped OWS$4,200
Employee (20%)S$840
Employer (17%)S$714
Total CPFS$1,554
OA (×0.6217)S$966.32
SA (×0.1621)S$251.90
MA (×0.2162)S$335.78
Net Take-HomeS$3,360
Example 2 — PMET Manager (Above OW Ceiling)
42-year-old SC, S$8,500/month (above ceiling)
Capped OWS$8,000 ⚡
Employee (20%)S$1,600
Employer (17%)S$760
Total CPFS$2,360
OA (×0.5677)S$1,339.77
SA (×0.1891)S$446.28
MA (×0.2432)S$573.95
Net Take-HomeS$6,900
Example 3 — Senior Worker Age 57 + AWS Bonus
57-year-old SC, S$6,000/month + S$12,000 AWS
Capped OWS$6,000
Employee (15%)S$900
Employer (15.5%)S$930
Monthly CPFS$1,830
OA (×0.3530)S$646.00
RA (×0.3382)S$618.91
MA (×0.3088)S$565.10
AWS CPF (capped)S$3,690
Net Take-HomeS$5,100
Note on Example 2 (S$8,500 salary): Although this employee earns S$8,500, CPF contributions are computed on S$8,000 only. The employer still contributes 17% × S$8,000 = S$1,360 (not S$1,445). The S$500 above the ceiling is completely exempt from CPF on the OW component. This is why many Singaporeans earning just above S$8,000 may choose not to optimise — the effective total cost to their employer drops sharply at the ceiling.
3 Expert Tips to Maximise CPF Savings, Tax Relief & OA/SA Interest in Singapore 2026
01
Tip 1 — SA/RA Top-Up for Tax Relief & 4% Interest
The CPF Cash Top-Up Relief scheme allows you to top up your own SA/RA or your family members’ SA/RA by cash and claim up to S$8,000 in personal tax relief and a further S$8,000 for family members. For a person in the 11.5% tax bracket, a S$8,000 top-up yields a S$920 tax saving — on top of the 4% p.a. SA/RA interest. This is one of the most efficient, risk-free financial moves in Singapore. Use our CPF Top-Up Tax Relief Calculator to size the benefit for your income.
02
Tip 2 — Plan Your AWS Bonus Against the AW Ceiling
The AW ceiling = S$102,000 − (OW × months employed in the year). If you join a new company mid-year, your OW for the year is fewer months, leaving more room for AW contributions. Conversely, if you earn S$7,000/month and your total OW already hits S$84,000, only S$18,000 of your year-end bonus is CPF-liable. Knowing your AW ceiling lets you plan cash flow accurately — especially if you are close to the S$37,740 employee annual limit, beyond which your employer must still contribute but you may not be deducted further.
03
Tip 3 — Track the S$37,740 Annual CPF Limit
The CPF Annual Limit of S$37,740 caps the total employee contributions for a year. Once you hit this ceiling (likely if you earn above S$8,000/month and receive significant AW), no further employee deductions occur — even if additional wages are paid. Your employer, however, must continue contributing their share. Higher earners often discover this when their December payslip shows a lower CPF deduction than expected. Use the Annual Limit tracker in this calculator to project your ceiling-hit month.
What is the CPF contribution rate for employees aged 35 and below in 2026?+
For Singapore Citizens and third-year-onwards PRs aged 35 and below, the CPF contribution rate in 2026 is 20% (employee) plus 17% (employer), totalling 37% of ordinary wages. This 37% applies to wages up to the S$8,000 ordinary wage ceiling. An employee earning S$5,000 would have S$1,000 deducted and their employer would contribute an additional S$850, for a combined S$1,850 flowing into CPF accounts monthly.
What changed in CPF in January 2026?+
Two significant changes took effect on 1 January 2026: (1) The Ordinary Wage ceiling increased from S$7,400 to S$8,000/month — the final step in a multi-year adjustment. (2) CPF contribution rates for employees aged 56–60 and 61–65 were increased further to strengthen retirement adequacy for senior workers. The additional contributions for these age groups are fully allocated to the Retirement Account (RA) until the Full Retirement Sum is met.
What is the CPF Ordinary Wage Ceiling in 2026 and what does it mean?+
The Ordinary Wage (OW) ceiling in 2026 is S$8,000 per month. CPF contributions are computed only on the first S$8,000 of your monthly ordinary wages, even if your salary is higher. For example, an employee earning S$10,000/month pays CPF contributions based on S$8,000 — their effective employee deduction is S$1,600 (20%), not S$2,000. The ceiling does not affect wages classified as Additional Wages (bonuses, commissions), which have their own separate annual ceiling.
What is the Annual Wage Ceiling and how is it calculated?+
The Additional Wage (AW) ceiling sets the maximum amount of bonuses and variable pay subject to CPF in a calendar year. It is calculated as: S$102,000 minus the total ordinary wages subject to CPF paid in that year. For an employee earning S$6,000/month for the full year, ordinary wages = S$72,000, so the AW ceiling = S$102,000 − S$72,000 = S$30,000. Only the first S$30,000 of bonuses/commissions/AWS will attract CPF that year. Any amount above is CPF-exempt.
What are the CPF contribution rates for Singapore Permanent Residents (PRs) in 2026?+
First-year PRs contribute at graduated rates — typically around 5% (employee) and 4% (employer) for most age bands under 55. Second-year PRs contribute at higher graduated rates, approximately 15% employee and 8% employer for the main working age band. From the third year of PR status onwards, the full Singapore Citizen rates apply (20% employee, 17% employer for the under-55 band). These reduced rates for new PRs allow time for adjustment while still building CPF savings.
Do Employment Pass (EP) or S Pass holders need to pay CPF?+
No. Employment Pass and S Pass holders are foreigners and do not participate in CPF. CPF is mandatory only for Singapore Citizens and Permanent Residents employed in Singapore. Foreign workers on work passes pay the Foreign Worker Levy (FWL) for their employers, but this is different from CPF and is an employer-borne cost. If an EP holder later becomes a Singapore PR, CPF contributions begin from the start of their first month of PR status.
How does CPF allocation work? How much goes to OA versus SA versus MediSave?+
CPF allocations are based on official ratios published by the CPF Board. For a 32-year-old, the total contribution of 37% splits roughly as: Ordinary Account (OA) 62.17%, Special Account (SA) 16.21%, MediSave Account (MA) 21.62% — all calculated as ratios of the total contribution. The CPF Board computes MA first, then SA/RA, and the remainder goes to OA. As you age, more flows to MA (healthcare) and SA/RA (retirement) and less to OA (housing). After age 55, the SA closes and contributions go to the Retirement Account (RA) instead.
What is the CPF Annual Limit and what happens when I hit it?+
The CPF Annual Limit in 2026 is S$37,740 — this caps the total employee CPF contributions in a calendar year. Once your employee contributions (from ordinary wages and bonuses combined) reach S$37,740, no further employee deductions are made for the rest of that year. However, your employer must continue contributing their share regardless of whether the annual limit has been hit. High earners — particularly those earning S$8,000/month with significant bonuses — may hit this ceiling before December.
How is the employer’s CPF contribution calculated differently from the employee’s?+
The CPF Board specifies that: (1) Total CPF (employee + employer) is rounded to the nearest dollar; (2) The employee share is rounded DOWN to the nearest dollar; (3) The employer share is the difference — Total minus Employee. This means the employer’s share may absorb the rounding difference. For example, if total CPF = S$925.50, it rounds to S$926. Employee at 20% of S$5,000 = S$1,000 exactly, so employee = S$1,000 and employer = S$926… actually that doesn’t apply here. The key point is that employer CPF is an additional cost to the company, not deducted from your salary.
What interest rates do CPF accounts earn in 2026?+
CPF interest rates in 2026 are: Ordinary Account (OA) — 2.5% per annum minimum; Special Account (SA) — 4.0% per annum; MediSave Account (MA) — 4.0% per annum; Retirement Account (RA) — 4.0% per annum. Members below 55 earn an extra 1% bonus on the first S$60,000 of combined CPF balances (with up to S$20,000 from OA). Members 55 and above earn up to an extra 2% on the first S$30,000 of RA savings. Interest is credited annually but computed monthly on the lowest balance of each month.
Are overtime pay and allowances included in CPF calculations?+
Yes. Overtime pay, regular allowances (such as housing or travel allowances paid as part of the employment contract), and shift allowances are classified as Ordinary Wages if they are payable within the same calendar month they are earned. These amounts count toward the S$8,000 OW ceiling. However, irregular allowances or ad-hoc payments that are not earned within the month (such as discretionary bonuses) may be classified as Additional Wages and fall under the AW ceiling framework instead.
Do self-employed persons (freelancers) need to pay CPF in Singapore?+
Self-employed persons (SEPs) are not required to make mandatory contributions to the Ordinary Account or Special Account. However, SEPs whose net trade income exceeds S$6,000 per year are required to make mandatory MediSave contributions. The amount depends on your age and net trade income, and is calculated by the CPF Board annually. Voluntary contributions to all three CPF accounts are permitted and may qualify for tax relief. Use our Self-Employed MediSave Contribution Calculator for your specific MediSave amount.
What happens to my SA when I turn 55 — the Special Account closure in 2025?+
From 2025 onwards, the Special Account is closed for CPF members aged 55 and above. Upon turning 55, a Retirement Account (RA) is created. Your SA balance is transferred to the RA up to the Full Retirement Sum (FRS — S$213,000 in 2026). If there is excess after meeting the FRS, it moves to the OA. New CPF contributions for members 56 and above that were previously allocated to SA now go directly to the RA (if FRS is not yet met) or the OA. The SA closure means there is no longer a “shielding” strategy using SA investments at age 55.
Can I withdraw my CPF savings before age 55?+
Generally, CPF savings cannot be withdrawn before age 55, except in specific circumstances such as leaving Singapore and West Malaysia permanently, becoming permanently incapacitated, or terminal illness. The OA balance can be used for housing, education, and approved CPF investment scheme (CPFIS) products before 55. From age 55, you can withdraw a lump sum (above the Basic Retirement Sum). CPF LIFE monthly payouts typically begin at age 65 (or deferred to age 70 for higher payouts).
How do I check my actual CPF contributions on my payslip?+
Your payslip should show your CPF deduction under “CPF Employee Contribution” (this reduces your take-home pay). Your employer’s share is not shown on your payslip as it is an additional employer cost. You can verify actual contributions credited to your accounts via the CPF website (cpf.gov.sg) → Login with Singpass → My Statement. Contributions are typically credited by the 14th of the following month. If your payslip shows CPF computed on a salary higher than S$8,000, your employer may be over-deducting — this should be flagged to HR.
Are CPF contributions tax-deductible in Singapore?+
Mandatory employee CPF contributions (the amount deducted from your salary) do not qualify for personal income tax relief on their own — they are simply excluded from your taxable income. However, voluntary cash top-ups to your SA/RA or family members’ accounts do qualify for the CPF Cash Top-Up Relief (up to S$8,000 per recipient per year). Additionally, employee CPF contributions made by the employer on your behalf are not included in your taxable income. Use our CPF Top-Up Tax Relief Calculator to estimate your tax savings from voluntary top-ups.
Related CPF Tools — Allocation, Accrued Interest, Retirement Sum & MediSave Calculators Singapore
Once you know your monthly contribution, these tools help you plan every dimension of your CPF journey.
Data Sources: Contribution rates are sourced from the CPF Board’s official “CPF Contribution Rate Tables from 1 January 2026” and “CPF Allocation Rates from 1 January 2026” (cpf.gov.sg). This calculator is updated as of June 2026.
Educational Purpose Only: This tool provides estimates for educational and informational purposes. Results may differ from your actual payslip due to individual circumstances, rounding at scale, phased-in rates (for wages S$500–S$750), employer-specific payroll systems, or mid-month age changes. This tool does not constitute financial, tax, employment, or legal advice.
Not MAS-Regulated: SGFinanceCalculators.com is not a licensed financial advisor, tax agent, or MAS-regulated entity. For personalised CPF advice, consult a licensed financial advisor or contact the CPF Board directly at 1800-227-1188 or cpf.gov.sg.
Accuracy: While every effort is made to maintain accuracy, CPF Board rates and policies are subject to change. Always verify with official CPF Board publications before making financial decisions. Last verified: June 2026.
