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Phone and internet subscriptions and coworking fees are reimbursed as non-taxable expenses when properly documented. Claims must be supported by a tax invoice, receipt, or approved email invoice showing when and where you paid, the amount and currency, the service provider, and what service was purchased; for subscriptions, the employee’s name or matching email address should appear on the invoice.
Employment in Singapore
Minimum wage
SGD 0
Employer costs
17.25%
Employee contribution
20%
Employee tax
0–24%
Singapore does not set a general statutory minimum wage, so pay levels are agreed by contract. Employees typically contribute 20% of wages to the Central Provident Fund (CPF). On top of salary, employers bear additional costs for CPF, the Skills Development Levy (SDL), and any Foreign Worker Levy (FWL), but these do not form a single flat percentage. Personal income tax is progressive, with headline rates ranging from 0–24%.
Onboarding time
We can help you get a new employee started in Singapore fast. The minimum onboarding time we need is only 48 hours. Our team ensures fast, compliant employee onboarding and payroll processing. The onboarding timeline starts once the employee submits all required information via the NEO platform.
Payroll
Payroll in Singapore centers on CPF contributions from both employer and employee, alongside other employer-only levies. Employees generally contribute 20% of wages to CPF, while employers must budget for CPF plus the Skills Development Levy and any Foreign Worker Levy, which vary by situation rather than forming a single flat rate.
Employee payroll contributions
| Contribution | Rate |
|---|---|
| CPF contributions | 20% |
Employer payroll costs
| Contribution | Key features |
|---|---|
| Foreign Worker Levy (FWL) | Applies where foreign workers are employed |
| Skills Development Levy (SDL) | Monthly per-employee levy with minimum 2.0 and maximum 11.0 |
| CPF contributions | Employer CPF contributions in addition to employee CPF |
Minimum wages
Singapore does not operate a general statutory minimum wage regime. Instead, minimum pay levels are typically set by individual employment contracts or sector-specific arrangements.
Working hours
Standard working time in Singapore is typically structured around a five-day workweek. Employers should clearly define weekly hours and working days in the employment contract.
Standard working time
| Work pattern | Details |
|---|---|
| Weekly hours | 44 |
| Working days | Monday to Friday |
Leave
Singapore leave policies distinguish between general paid time off and sick leave, with specific rules around medical certification for sickness. The figures below reflect the default policy settings only and do not represent statutory minimums.
Sick leave medical certification
| Leave type | Medical certificate requirement |
|---|---|
| Paid time off | No medical certificate required |
| Sick leave | Medical certificate required after 2 days of absence |
Public holidays
Singapore observes a mix of secular and religious public holidays across the calendar year. Employers should plan for office closures and public holiday pay on the following dates in 2026.
Public holidays 2026
| Date | Holiday |
|---|---|
| 2026-01-01 | New Year's Day |
| 2026-02-17 | Chinese New Year |
| 2026-02-18 | Chinese New Year |
| 2026-03-21 | Eid al-Fitr |
| 2026-04-03 | Good Friday |
| 2026-05-01 | Labor Day |
| 2026-05-27 | Eid al-Adha |
| 2026-06-01 | Vesak Day |
| 2026-08-10 | National Day |
| 2026-11-09 | Deepavali |
| 2026-12-25 | Christmas Day |
Expenses
Singapore employers reimburse a wide range of business expenses, but employees must meet strict submission deadlines and documentation standards. All expenses must be reviewed and approved by the employee’s manager, and any claim submitted without the required documentation will be treated as taxable.
Submission deadlines
| Expense type | Action and deadline |
|---|---|
| Current year's expenses | Submit within 60 days of expense or 30 days after return (later date applies) |
| Prior year's expenses | Submit by February 1 of the following year |
Communication and workspace
| Expense | Taxation |
|---|---|
| Phone subscription | Non taxable |
| Internet subscription | Non taxable |
| Coworking | Non taxable |
Equipment and supplies
Laptops, office equipment and supplies, software subscriptions, and postal charges are reimbursed as non-taxable when supported by a tax invoice, receipt, or in some cases a bank statement. Documentation must show the date, amount, currency where specified, the merchant or service provider, and a clear description of the purchase; for software subscriptions, the employee’s name or matching email address should also appear.
| Expense | Taxation |
|---|---|
| Laptop | Non taxable |
| Office equipment | Non taxable |
| Office supplies | Non taxable |
| Software subscription | Non taxable |
| Postal charges | Non taxable |
Travel
Most business travel costs are reimbursed tax-free when backed by appropriate receipts. Tax invoices or receipts must show the date, amount, currency where applicable, the merchant or service provider, and a description of the service; for many items, the employee’s name or a matching email address is also required. Taxi, rideshare, and public transport claims can rely on app or email receipts, while mileage claims do not require receipts but must follow a reasonable employer-set rate.
| Expense | Taxation |
|---|---|
| Business travel insurance | Non taxable |
| Visa fee | Non taxable |
| Accommodation | Non taxable |
| Flight | Non taxable |
| Taxi or rideshare | Non taxable |
| Train | Non taxable |
| Public transport | Non taxable |
| Car rental | Non taxable |
| Fuel | Non taxable |
| Mileage | Non taxable: no fixed rate; employer sets a reasonable mileage rate |
| Parking or toll fees | Non taxable |
Meals and entertainment
Everyday meals, groceries, and business meals with clients or partners can be reimbursed as non-taxable expenses. Claims should be supported by a tax invoice, receipt, bank statement, or credit card payment record that shows the date, amount, and merchant or service provider.
| Expense | Taxation |
|---|---|
| Breakfast, lunch and dinner | Non taxable |
| Groceries | Non taxable |
| Meal with client or partner | Non taxable |
Other expenses
Training, courses, books, promotional items, gifts, and certain medical costs are also reimbursable, but their tax treatment depends on purpose and recipient. Mandatory job-related training is non-taxable, while personal development courses are treated as taxable allowances. Gifts to clients are non-taxable up to government-imposed limits, whereas gifts to employees are taxable as allowances. Medical costs can be non-taxable when supported by a medical prescription, even if no receipt is required.
| Expense | Taxation |
|---|---|
| Training, courses, and books | Mandatory job-related: Non taxable; personal development: Taxable as allowance |
| Promotional items | Non taxable |
| Gifts | Clients: Non taxable up to government limits; employees: Taxable as allowance |
| Medical cost | Medical prescription provided: Non taxable |
Per diem
Employers may offer per diems to cover subsistence costs during business travel, and tax treatment depends on the trip type and the IRAS acceptable rates for the destination. For domestic trips, approved claims are treated as expenses; for overseas trips, any amount above the IRAS acceptable rate is reclassified as an allowance. When a per diem is provided, it covers meals, local transportation, and incidentals, which cannot be claimed separately, while accommodation, air travel, inter-city travel, and business entertainment must still be claimed with receipts.
Per diem documentation and claim details
- Mandatory document 1: Expense report or claim form outlining the trip, submitted upon return
- Mandatory document 2: Proof of travel dates
- Mandatory document 3: Itinerary or approved request form confirming business purpose
- Mandatory document 4: Lodging receipts, where required
- Mandatory document 5: Receipts for expenses not covered by the per diem
- Required detail 1: Clear business purpose of the trip
- Required detail 2: City and country of travel
- Required detail 3: Exact departure and return dates and times
- Required detail 4: Total daily allowance based on days and approved rate
- Required detail 5: Signed certification by the employee confirming the trip was for business purposes
Bonuses
Contractual and discretionary bonuses, including incentive payments and commissions, are treated as part of regular income. They are taxed as ordinary earnings and are subject to any applicable social security contributions.
Allowances
In Singapore, allowances are one-time or recurring benefits on top of salary, and they cannot be grossed up under any circumstances. The items below are commonly offered at the employer’s discretion and are treated as taxable income when paid as allowances.
All of these allowances are discretionary, may be offered to one or more employees as the employer chooses, and are processed manually. None require supporting documentation for payment, but they are all taxable to the employee.
- Work From Home allowance
- Gym Membership
- Medical Insurance
- Life Insurance
- Wellness
- Medical Cost
- Relocation
- Utilities
Termination
Termination terms in Singapore are largely governed by the employment contract, but typical arrangements include a short minimum notice period and a defined probationary phase. Employers should ensure both probation and notice rules are clearly documented from the outset.
Notice and probation defaults
| Policy | Key parameters |
|---|---|
| Notice period | At least 1 day; at least 7 days during probation |
| Probation period | Up to 180 days |
