Wage Credit Scheme Payouts for 2019

26 Dec 2018

Employers are reminded to make CPF contributions for employees by 14 January 2019 to receive Wage Credit Scheme payouts


Employers of eligible Singaporean employees are reminded to make the full CPF contributions for these employees by 14 January 2019 in order to receive the sixth tranche of Wage Credit Scheme (WCS) payouts in March 2019.

To qualify for the sixth tranche of the WCS payouts, employers must fulfil the following conditions:

  1. Have given Singaporean employees a gross monthly wage1 increase of at least $50 in 2018 and/or have sustained the gross monthly wage increase (at least $50) previously given to employees in 2017; and
  2. Have paid the employees’ mandatory CPF contributions on 2018 wages to the CPF Board by 14 January 20192.

Employers do not need to apply to receive the WCS payouts. Eligible employers will receive letters from the Inland Revenue Authority of Singapore (IRAS) by March 2019 informing them of the amount of WCS payouts to be received. The payouts will be credited directly into their company’s GIRO bank account used for Income Tax and GST, or their bank account that is registered with PayNow Corporate3. Employers who are not on these direct crediting modes are encouraged to sign up for PayNow Corporate by 14 January 2019.

Since the WCS was introduced to support wage increases made over 2013 to 2015, it has been extended for two years (2016 to 2017), and in Budget 2018 further extended for three more years, i.e. 2018, 2019 and 2020. The WCS supports businesses embarking on transformation efforts and encourage sharing of productivity gains with workers. The Government will continue to fund 20% of wage increases in 2018. This co-funding ratio will be stepped down to 15% in 2019 and 10% in 2020.

Please refer to the Annex for details on the WCS. For more information, visit IRAS’ website (www.iras.gov.sg/irasHome/wcs.aspx), contact IRAS at 1800-352-4727 or email wcs@iras.gov.sg.

The Government takes a serious view of attempts to abuse the WCS. Offenders can be charged under Section 420 of the Penal Code for abusing the scheme, where they may face up to 10 years of imprisonment and a fine.


Ministry of Finance
Inland Revenue Authority of Singapore


1. Gross monthly wage is defined as total wage of the employee paid by the employer in the calendar year (including basic salary, overtime pay and bonuses), divided by the number of months of CPF contribution.
2. Employers are required to make CPF contributions within 14 days from the end of each month for which CPF contributions are due. If the 14th day falls on a Saturday, Sunday or public holiday, CPF contributions must be paid immediately on the next working day. Late payment interest will otherwise apply.
3. Companies can sign up for PayNow Corporate by linking their company’s UEN (without suffix) to their bank account via internet banking. For assistance, please approach the banks.