The Republic of Singapore

Singapore boasts a dynamic economy, efficient infrastructure, and a transparent regulatory environment, making it a prime destination for businesses aiming to expand in Asia. Understanding the local payroll, taxation, and employment regulations is crucial for compliance and operational success.
Contractor Management
EOR
Payroll
Contractor of Record
Currency
Singapore Dollar (SGD)
Payroll Frequency
Monthly
Employer Taxes
7.75% to 17.25%

Overview

Population
~ 5.7 million
Language
English, Malay, Mandarin, Tamil
Capital
Singapore
Currency
Singapore Dollar (SGD)
Country code
+65
Min wage
Singapore does not have a national minimum wage
Working hours
Weekdays
Monday to Friday
Work hours per week
44 per week

Payroll

Salaried Employees
Time-Based Employees
13th Salary

Not mandatory; subject to employer discretion

Avg employer tax

7.75% to 17.25%

Tax Breakdown

Personal Income Tax (PIT):

Tax Rates
Progressive rates ranging from 0% to 22% based on annual income.

Corporate Income Tax (CIT):

Standard Rate
17% on chargeable income
Tax Exemptions
Various exemptions and incentives are available for qualifying companies.

Central Provident Fund (CPF):

Employee Contributions
Up to 20% for employees aged 55 and below
Employer Contributions
Up to 17% for employees aged 55 and below

Skills Development Levy (SDL):

Rate
0.25% of monthly gross wages, subject to a minimum of SGD 2 and a maximum of SGD 11.25.

VAT

VAT

7%

Tax Calculation for Singapore
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Employer cost
Total monthly cost of employment
GBP 9,633
Gross monthly salary costs
GBP 8,334
Estimated taxes and contributions
GBP 8,334
Employee cost
Net monthly salary
GBP 5,137
Gross monthly salary
GBP 8,334
Estimated taxes & social security
GBP 8,334
Employer cost
Total yearly cost of employment
GBP 9,633
Gross yearly salary costs
GBP 8,334
Estimated taxes and contributions
GBP 8,334
Employee cost
Net yearly salary
GBP 5,137
Gross yearly salary
GBP 8,334
Estimated taxes & social security
GBP 8,334
Request a detailed quotation
How it works

Onboarding Process

Onboarding in Singapore typically includes the following steps to ensure a smooth transition for new hires:

Employment Contract

Must be in writing and include job title, duties, salary, working hours, leave entitlements, and termination conditions.

Registration with Authorities

Register the employee with the Central Provident Fund (CPF) Board and the Inland Revenue Authority of Singapore (IRAS).

Payroll Setup

Ensure accurate calculation and withholding of taxes and CPF contributions.

Employee Documentation

Collect personal identification, bank account details, and tax information.

Workplace Policies

Provide access to company policies, health and safety guidelines, and any applicable collective agreements.

Pre-boarding

Pre-boarding

Pre-boarding

Key Elements of an Employment Contract in Singapore
When drafting an employment contract for employees in Singapore, the following key elements should be included:

Personal Details

Name, contact information, and role of the employee.

Employee Leave Policies

Sick days
  • 14 days per year for outpatient treatment; 60 days for hospitalization.
Maternity leave
  • 6 weeks for Singapore citizens; 12 weeks for non-citizens.
Paternity leave
  • 2 weeks for Singapore citizens.

Childcare Leave:

  • 6 days per year for each child under 7 years old.

Public Holidays:

  • As listed above.

Annual Leave
  • Minimum of 7 days per year, increasing with length of service.
12 Public holidays in Singapore

Note: If a public holiday falls on a Sunday, the following Monday is observed as a public holiday.

1st
New Year's Day
29th
Chinese New Year
30th
Chinese New Year Holiday
31st
Hari Raya Puasa
18th
Good Friday
1st
Labor Day
3rd
Polling Day
12th
Vesak Day
7th
Hari Raya Haji
9th
National Day
9th
Deepavali
25th
Christmas Day
  • 1 Jan: New Year's Day
  • 1 Feb: Chinese New Year
  • 2 Feb: Chinese New Year Holiday
  • 15 Apr: Good Friday
  • 1 May: Labor Day
  • 2 May: Hari Raya Puasa
  • 3 May: Labor Day Holiday
  • 15 May: Vesak Day
  • 16 May: Vesak Day Holiday
  • 9 Jul: Hari Raya Haji
  • 9 Aug: National Day
  • 24 Oct: Deepavali
  • 25 Dec: Christmas Day
  • 26 Dec: Christmas Holiday

Termination Process

Notice Period

Varies based on employment contract; generally 1 to 2 months.

Severance Pay

Not mandatory; subject to employment contract.

Termination During Probation

Either party can terminate with appropriate notice.

Probation Period

  • Maximum Duration: 3 months
  • Extension: Permitted if agreed upon by both parties.
  • Termination During Probation: Either party can terminate with appropriate notice.

Personal Details

Name, contact information, and role of the employee.

_'s Booming Remote Workforce

Challenges of Remote Hiring in _

Simplifying Remote Hiring in _ with RemotePass 

Grow Your Team in Singapore
with RemotePass

From onboarding and payroll to offboarding and visa support, RemotePass simplifies it all so you can focus on growing your team.

Building and expanding a global workforce is seamless with RemotePass. Our platform simplifies the complexities of hiring, payroll, and compliance across over 150 countries, including Singapore.

With RemotePass, you can quickly onboard international employees, manage payroll, ensure legal compliance, and provide competitive benefits—all from one place. Focus on growing your business while we handle the HR and legal intricacies.

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Hiring in Singapore | Payroll, Tax & Employment Guide

Singapore’s skilled, English-speaking talent pool and business friendly policies make it an exciting hiring hub. This guide walks you through the essentials, from CPF to work passes.

RemotePass makes hiring in Singapore simple. We handle compliance, contracts, and payroll. You focus on building your business.

Key Takeaways For Hiring In Singapore

  • Singapore requires a registered local entity to sponsor work passes (work visas). You can't use an EOR for foreign hires.
  • Employers must contribute to the Central Provident Fund (CPF), Singapore's social security system, for citizens and permanent residents, but not for foreign workers.
  • Payroll runs monthly, with salaries due by the seventh day of the following month.
  • Final payments are due within seven days of termination, after receiving tax clearance.

Quick Facts For Hiring In Singapore

Continent
Asia
Capital
Singapore
Currency
Singapore Dollar (SDG)
Language
English, Mandarin, Malay, Tamil
Payroll Cycle
Monthly
Pay Date
Employers must pay salaries by the seventh day of the next month.

Singapore Employment Contract Overview

A clear employment contract is essential in Singapore, where core terms like hours, benefits, and notice rules must be documented from day one. Below are the key details every compliant contract should include.

Contract Type
Fixed-term/Open-ended
Local Language Required?
No
Bilingual?
No
Probation Period
Probation is usually set in the contract, commonly between three and six months.
Minimum Paid Time Off

Employees earn paid annual leave after three months of service:

  • Seven days in the first year
  • Increases by one day per year
  • Capped at 14 days from year eight onward
Public Holidays
Singapore has 11 public holidays each year.
Notice Period
The employment contract typically specifies the notice period.

The employment contract typically specifies the notice period.

If the contract doesn’t specify a notice period, the Employment Act defines the notice period by length of service:

  • Less than 26 weeks: one day
  • 26 weeks to less than two years: one week
  • Two years to less than five years: two weeks
  • Five years or more: four weeks

What Do You Need To Include In A Singaporean Employment Contract?

Employment contracts in Singapore need to clearly spell out the key terms of the job: hours and leave to pay, benefits, and notice rules.

Employee Information

  • Full name
  • ID/Passport number
  • Address
  • Role / Job title
  • Duties (Job Description)
  • Start date
  • End date (if applicable)
  • Leave entitlements
  • Contract duration
  • Working hours
  • Probation and notice conditions
  • Termination provisions
  • Compensation details

How Does Payroll and Taxation Work in Singapore?

As an employer in Singapore, you’re expected to spell out all core terms of employment in a written contract. The details below show exactly what you need to include to stay compliant

Singapore Payroll Basics

Salary currency

Singapore Dollar (SDG)

Minimum Wage

Singapore doesn’t set a universal minimum wage, but the Progressive Wage Model (PWM) requires sector-specific minimum pay for certain roles. Employers who hire foreign workers must also pay local employees at least S$1,600 per month if they fall outside PWM coverage.

Hours per Week

44 hours per week for non-managers

Payroll Frequency

Monthly

Weekdays

Monday through Friday

Mandatory Bonuses

Not required

Gross Salary Structure In Singapore

Singapore doesn’t prescribe a fixed gross salary structure. Employers typically decide how to split base salary, allowances, and bonuses based on internal policies and market practice.

What Payroll Taxes do Employers Pay in Singapore?

Employer cost % (estimate):


Singapore Citizens & Permanent Residents


Expats

Contributions Breakdown

CPF (Central Provident Fund):

Is mandatory for Singapore Citizens and permanent residents

What Payroll Taxes Do Employees Pay In Singapore?

Individual Income Tax

IRAS applies a progressive tax rate system for tax residents, ranging from 0% to 24%.

Non-resident Tax Rates

IRAS taxes non-resident employment income at a flat 15% or at resident progressive rates, whichever is higher. It taxes other non-resident income, such as directors’ fees, at 24%.

Social Contributions


Singapore Citizens & Permanent Residents:

12.5% - 37%


Expats:

Foreign employees (on work passes) are exempt from CPF, but may be covered under foreign-worker levy provisions

Hiring cost calculator 

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SG
*
Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
Employer cost
Total monthly cost of employment
GBP 9,633
Gross monthly salary costs
GBP 8,334
Estimated taxes and contributions
GBP 8,334
Employee cost
Net monthly salary
GBP 5,137
Gross monthly salary
GBP 8,334
Estimated taxes & social security
GBP 8,334
Employer cost
Total yearly cost of employment
GBP 9,633
Gross yearly salary costs
GBP 8,334
Estimated taxes and contributions
GBP 8,334
Employee cost
Net yearly salary
GBP 5,137
Gross yearly salary
GBP 8,334
Estimated taxes & social security
GBP 8,334
Request a detailed quotation

Mandatory Employee Benefits In Singapore

Singapore only allows locally registered companies to sponsor work passes, so EORs can’t employ expats. If you need to hire foreign talent, you’ll have to do it through your own Singapore entity.

Benefits Provider Funded Through Notes
Health Insurance Government Payroll Contributions CPF contributions fund MediSave, which employees use for hospitalization and outpatient care. MediShield Life is the basic mandatory health insurance plan administered by the CPF Board.
Pension/Social Security Government Payroll Contributions The Central Provident Fund (CPF) is Singapore’s statutory retirement and social security system for citizens and permanent residents. It includes the Ordinary Account, Special Account, Retirement Accounts, and Medisave Accounts. CPF LIFE provides lifelong monthly payouts from retirement age.
Other Statutory Benefits Government Payroll Contributions Employers must insure employees under the Work Injury Compensation Act (WICA) and maintain a safe workplace under Ministry of Manpower rules.

Leave And Holiday Entitlement In Singapore

Annual leave

Employees in Singapore earn paid annual leave after three months of service. Entitlement starts at 7 days in the first year and increases by 1 day each year, up to a maximum of 14 days from the eighth year onward.

Public holidays

Singapore has 11 gazetted public holidays each year, including New Year’s Day, Chinese New Year, Hari Raya Puasa, Good Friday, Labour Day, Vesak Day, Hari Raya Haji, National Day, Deepavali, and Christmas Day.

Sick Leave

Eligible employees can take up to 14 days of paid outpatient sick leave per year once they complete three months of service.

They may also take up to 60 days of hospitalization leave annually, which includes the 14 days of outpatient leave. Sick leave is prorated if the employee has worked less than six months.

Maternity Leave

Eligible mothers of Singapore Citizen children receive 16 weeks of maternity leave: the first 8 weeks are employer-paid and the next 8 weeks are reimbursed by the government.

Mothers of non-citizen children receive 12 weeks, with 8 paid weeks followed by 4 unpaid weeks.

Paternity Leave

Eligible fathers of Singapore Citizen children receive 2 weeks of Government-Paid Paternity Leave (GPPL) and must take the leave within 12 months of the child’s birth.

From 1 April 2025, this increases to 4 weeks, with shared parental leave expanding to 6 weeks by 2026. Fathers may also share up to 4 weeks of the mother’s 16-week leave with mutual agreement.

Other Types of Leave

  • Childcare Leave: Parents of Singapore Citizen children under seven receive 6 days of childcare leave yearly (3 employer-paid, 3 government-paid). Parents of children aged 7–12 receive 2 days.

  • Compassionate Leave / Marriage Leave / Bereavement Leave: Not mandated by law, but commonly offered as part of company policy, typically 1–5 days depending on the practice.

Termination and Offboarding in Singapore

When employment ends in Singapore, timing and communication matter just as much as paperwork. This section highlights what employers should pay attention to so every exit is handled compliantly and professionally.

Type Possible?
Termination for Cause (poor performance, misconduct, etc.) Yes
Termination without Cause Yes
Mutual Termination Agreement (MTA) Yes
Redundancy Not possible under the EOR setup

Employee Resignations

Employee
Resignations

 Termination with Cause

Termination
with Cause

Termination without Cause

Termination
without Cause

Mutual Termination Agreement

Mutual Termination
Agreement

 Fixed Term Contract

Fixed Term
Contract

Singapore employee resignation

Notice

Form

The employee must provide written notice of resignation. The day the notice is given counts toward the notice period.

Notice period

As agreed in the employment contract. If not stated, Singapore’s Employment Act requires: less than 26 weeks of employment: 1 day, 26 weeks to less than 2 years: 1 week, 2 to less than 5 years: 2 weeks, more than 5 years: 4 weeks

Payment in lieu of notice or notice waiver

Allowed

End-of-Service Benefits

Severance/Gratuity

Not applicable under Singapore’s Employment Act.

Other Benefits

  • Prorated salary for days worked until the termination date.
  • Payment for accrued but unused annual leave.
  • Payment of bonuses, commissions, or expenses due under the contract.
  • Repatriation flight where the employer is sponsoring the employee’s work permit.

Termination Documentation

  • Written resignation notice.
  • Final dues letter confirming the employee has received all payments owed.

Employer Termination With Cause in Singapore

Acceptable grounds

Termination for cause in Singapore applies when either party willfully breaches a condition of the contract of service.

This includes situations where:

  • The employer fails to pay the salary according to the contract.
  • The employee is absent for more than two consecutive days without approved leave, has no reasonable excuse, or does not inform (or attempt to inform) the employer of the reason.
  • The employee commits misconduct that is inconsistent with the terms of employment, following a due inquiry.
  • The employee or the employee’s dependent faces immediate danger from violence or disease.

Notice

Form

Written notice.

Notice period:

Termination takes effect immediately and does not require a notice period.

Payment in lieu of notice or notice waiver:

Not applicable.

End-of-Service Benefits

Severance

Not applicable.

Other Benefits

  • Prorated salary for days worked up to the termination date.
  • Payment for accrued but unused annual leave.
  • Payment of bonuses, commissions, or expenses that are due under the employment contract.
  • Repatriation flight if the employer sponsors the employee’s work permit

Termination Documentation

  • Written termination notice
  • Final dues letter (document signed by the employee confirming that they have been paid all their final dues).

Employer Termination Without Cause in Singapore

Notice

Form

The employer must issue a written notice of termination. The day the notice is given counts toward the notice period

Notice period:

As stated in the employment contract. If the contract does not specify a notice period, the Employment Act requires:

  • Less than 26 weeks of employment: 1 day's notice
  • 26 weeks to less than 2 years: 1 week
  • 2 to less than 5 years: 2 weeks
  • More than 5 years: 4 weeks' notice

Payment in lieu of notice or notice waiver:

Allowed

End-of-Service Benefits

Severance/Gratuity

Not applicable.

Other Benefits

  • Prorated salary for days worked up to the termination date.
  • Payment for unused annual leave.
  • Bonus, commission, or expense payments due under the contract.
  • Repatriation flight if the employer sponsors the employee’s work permit.

Termination Documentation

  • Written termination notice
  • Final dues letter (document signed by the employee confirming that they have been paid all their final dues).

Mutual Termination Agreements in Singapore

MTA is a voluntary agreement signed by both parties (employer and employee) to terminate an employment contract by mutual consent.

Notice

Form

The agreed terms of the mutual termination must be documented in writing, through a mutual termination agreement (MTA) signed by both parties.

Notice period:

Not required when both parties agree to end the contract. They may choose a termination date that takes effect immediately or in the future.

Payment in lieu of notice or notice waiver:

Since termination is consensual, both parties can waive any notice period in the agreement.

End-of-Service Benefits

Severance/Gratuity

Not applicable.

Other Benefits

  • Repatriation Flight: Where the employee is sponsored by the client, one-way flight to employee’s home country or agreed destination
  • Prorated Salary and Leave: Included in MTA:
    • Final salary up to termination date
    • Accrued but unused leave pay
    • Prorated bonus/commission/expenses (if applicable and agreed)
  • Ex-Gratia Payment (if any): Not legally required but may be included to facilitate an amicable separation. It should be clearly stated in the agreement.

Termination Documentation:

  • Mutual Termination Agreement, signed by both parties, outlining:
    • Termination date
    • Final entitlements
    • Waivers and releases (if applicable)
    • Return of company property
    • Non-disparagement / confidentiality clauses (optional)

Offboarding Process for the End of Fixed-term Contracts in Singapore

If the Fixed-Term Contract Ends Normally

Notice

A fixed‑term contract ends automatically upon reaching its specified term or date. Neither party needs to give notice unless the contract explicitly states otherwise.

End-of-Service Benefits

Severance/Gratuity

Singapore’s law does not require severance pay upon the normal expiration of a fixed‑term contract. The ending is considered part of the agreed employment terms.

Other Benefits

If the employee has provided at least 3 months of continuous service under term contracts (with no more than 1‑month gap between renewals), then they are entitled to statutory leave benefits such as annual, medical, paternity, adoption, and childcare leave.

If the Employer Terminates Early

Acceptable Grounds

The employer is not legally required to provide a reason for termination if proper notice is given, unless dismissal is due to misconduct, in which case due process must be followed.

Notice

  • The employer must provide written notice per the contract or compensation in lieu if terminating early.
  • If the contract doesn’t specify a notice period, the Employment Act’s defaults apply.
  • Employers may dismiss without notice only for grave misconduct, but must conduct a proper inquiry and document proceedings. Failure to follow due process can lead to claims of wrongful dismissal.

Termination Documentation

A written termination letter is required to formalize the end of employment, even if it’s through early termination.

Final Payment Timing, Immigration and Visa Compliance in Singapore

Final Payment Deadline: 7 days from termination date. Employers must notify the Comptroller of Income Tax of the termination, and they cannot make final payments until the Comptroller grants permission.

Visa and Immigration Compliance

If the employer sponsors the work permit, they must cancel it within seven days of the termination date.

Key Elements of an Employment Contract in Singapore
When drafting an employment contract for employees in Singapore, the following key elements should be included:

Personal Details

Name, contact information, and role of the employee.

_'s Booming Remote Workforce

Challenges of Remote Hiring in _

Simplifying Remote Hiring in _ with RemotePass 

Expand in Singapore Compliantly

From onboarding and payroll to offboarding and visa support, RemotePass simplifies it all so you can focus on growing your team.

Building and expanding a global workforce is seamless with RemotePass. Our platform simplifies the complexities of hiring, payroll, and compliance across over 150 countries, including Singapore.

With RemotePass, you can quickly onboard international employees, manage payroll, ensure legal compliance, and provide competitive benefits—all from one place. Focus on growing your business while we handle the HR and legal intricacies.

FAQs About Hiring in Singapore

Got Questions? Find Answers Here

Can I hire foreign workers in Singapore without a local entity?

No. Singapore requires a registered local entity to sponsor work passes. EORs can't employ expats in Singapore—you'll need your own entity to hire foreign talent.

What's the difference between an Employment Pass and S Pass?

An Employment Pass is for professionals earning at least S$5,000/month (higher for older or more experienced candidates). An S Pass is for mid-skilled workers earning at least S$3,150/month. Both require employer sponsorship and quota limitations may apply.

Do I need to contribute to CPF for foreign employees?

No. Foreign employees on work passes are exempt from CPF contributions. However, you may need to pay a foreign worker levy depending on the pass type and your company's quota.

How quickly must I pay employees after termination?

Within seven days of the termination date. You must also notify the Comptroller of Income Tax and wait for clearance before making the final payment.

What happens if an employee doesn't serve their notice period?

The employer may deduct up to one month's salary in lieu of notice, but only if this is clearly stated in the employment contract.

Can I include a non-compete clause in Singapore employment contracts?

Yes, but it must be reasonable in scope, duration, and geography to be enforceable. Singapore courts won't uphold overly broad restraints that go beyond protecting legitimate business interests.

Let’s Chat

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The Republic of Singapore

Singapore boasts a dynamic economy, efficient infrastructure, and a transparent regulatory environment, making it a prime destination for businesses aiming to expand in Asia. Understanding the local payroll, taxation, and employment regulations is crucial for compliance and operational success.
Contractor Management
EOR
Payroll
Contractor of Record
العملة
Singapore Dollar (SGD)
تردد الرواتب
Monthly
ضرائب أصحاب العمل
7.75% to 17.25%

نظرة عامة

التركيبة السكانية
~ 5.7 million
اللغة
English, Malay, Mandarin, Tamil
العاصمة
Singapore
العملة
Singapore Dollar (SGD)
رمز الاتصال الدولي
+65
الحد الأدنى للأجور
Singapore does not have a national minimum wage
ساعات العمل
أيام الأسبوع
Monday to Friday
ساعات العمل اسبوعيا
44 per week

الرواتب

الموظفون برواتب ثابتة
الموظفون بنظام الأجر الزمني
13th Salary

Not mandatory; subject to employer discretion

متوسط ​​ضريبة صاحب العمل

7.75% to 17.25%

تحصيل الضرائب

Personal Income Tax (PIT):

Tax Rates
Progressive rates ranging from 0% to 22% based on annual income.

Corporate Income Tax (CIT):

Standard Rate
17% on chargeable income
Tax Exemptions
Various exemptions and incentives are available for qualifying companies.

Central Provident Fund (CPF):

Employee Contributions
Up to 20% for employees aged 55 and below
Employer Contributions
Up to 17% for employees aged 55 and below

Skills Development Levy (SDL):

Rate
0.25% of monthly gross wages, subject to a minimum of SGD 2 and a maximum of SGD 11.25.

ضريبة القيمة المضافة

ضريبة القيمة المضافة

7%

حساب الضريبة في The Republic of Singapore
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تكلفة صاحب العمل
إجمالي تكلفة التوظيف الشهرية
GBP 9,633
إجمالي تكاليف الراتب الشهري
GBP 8,334
الضرائب والمساهمات المقدرة
GBP 8,334
تكلفة الموظف
صافي الراتب الشهري

GBP 5,137
الراتب الشهري الإجمالي
GBP 8,334
الضرائب المقدرة والضمان الاجتماعي
GBP 8,334
تكلفة صاحب العمل
إجمالي تكلفة التوظيف السنوية
GBP 9,633
إجمالي تكاليف الرواتب السنوية
GBP 8,334
الضرائب والمساهمات المقدرة
GBP 8,334
تكلفة الموظف
صافي الراتب السنوي

GBP 5,137
الراتب السنوي الإجمالي
GBP 8,334
الضرائب المقدرة والضمان الاجتماعي
GBP 8,334
اطلب عرض أسعار تفصيلي
كيف تعمل الخدمة

عملية الانضمام

تشمل عملية التوظيف في The Republic of Singapore عادة الخطوات التالية لضمان انتقال سلس للموظفين الجدد:

Employment Contract

Must be in writing and include job title, duties, salary, working hours, leave entitlements, and termination conditions.

Registration with Authorities

Register the employee with the Central Provident Fund (CPF) Board and the Inland Revenue Authority of Singapore (IRAS).

Payroll Setup

Ensure accurate calculation and withholding of taxes and CPF contributions.

Employee Documentation

Collect personal identification, bank account details, and tax information.

Workplace Policies

Provide access to company policies, health and safety guidelines, and any applicable collective agreements.

Pre-boarding

Pre-boarding

Pre-boarding

العناصر الأساسية في عقد العمل في The Republic of Singapore
عند إعداد عقد عمل للموظفين في The Republic of Singapore يجب تضمين العناصر الأساسية التالية:

Personal Details

Name, contact information, and role of the employee.

سياسات إجازات الموظفين

الإجازات المرضية
  • 14 days per year for outpatient treatment; 60 days for hospitalization.
إجازة الأمومة
  • 6 weeks for Singapore citizens; 12 weeks for non-citizens.
إجازة الأبوة
  • 2 weeks for Singapore citizens.

Childcare Leave:

  • 6 days per year for each child under 7 years old.

Public Holidays:

  • As listed above.

الإجازة السنوية
  • Minimum of 7 days per year, increasing with length of service.
12 عطلات رسمية في The Republic of Singapore

Note: If a public holiday falls on a Sunday, the following Monday is observed as a public holiday.

1st
New Year's Day
29th
Chinese New Year
30th
Chinese New Year Holiday
31st
Hari Raya Puasa
18th
Good Friday
1st
Labor Day
3rd
Polling Day
12th
Vesak Day
7th
Hari Raya Haji
9th
National Day
9th
Deepavali
25th
Christmas Day
  • 1 Jan: New Year's Day
  • 1 Feb: Chinese New Year
  • 2 Feb: Chinese New Year Holiday
  • 15 Apr: Good Friday
  • 1 May: Labor Day
  • 2 May: Hari Raya Puasa
  • 3 May: Labor Day Holiday
  • 15 May: Vesak Day
  • 16 May: Vesak Day Holiday
  • 9 Jul: Hari Raya Haji
  • 9 Aug: National Day
  • 24 Oct: Deepavali
  • 25 Dec: Christmas Day
  • 26 Dec: Christmas Holiday

عملية إنهاء العقود

Notice Period

Varies based on employment contract; generally 1 to 2 months.

Severance Pay

Not mandatory; subject to employment contract.

Termination During Probation

Either party can terminate with appropriate notice.

Probation Period

  • Maximum Duration: 3 months
  • Extension: Permitted if agreed upon by both parties.
  • Termination During Probation: Either party can terminate with appropriate notice.

Personal Details

Name, contact information, and role of the employee.

نمو سوق العمل عن بُعد _  

تحديات التوظيف عن بُعد في  _

تبسيط التوظيف عن بُعد في _ مع ريموت باس

نمِّ فريقك في The Republic of Singapore
مع ريموت باس

From onboarding and payroll to offboarding and visa support, RemotePass simplifies it all so you can focus on growing your team.

يصبح بناء فريق عالمي وتوسيعه مهمة سهلة مع ريموت باس. منصتنا تبسّط تعقيدات التوظيف والرواتب والامتثال القانوني في أكثر من 150 دولة، بما في ذلك The Republic of Singapore.

مع ريموت باس، يمكنك ضم الموظفين الدوليين بسرعة، وإدارة الرواتب، وضمان الامتثال القانوني، وتقديم مزايا تنافسية — كل ذلك من مكان واحد. ركّز على تنمية أعمالك، ودع المهام الإدارية والقانونية علينا.

تجربة مجانية لمدة 7 أيام

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Hiring in Singapore | Payroll, Tax & Employment Guide

Singapore’s skilled, English-speaking talent pool and business friendly policies make it an exciting hiring hub. This guide walks you through the essentials, from CPF to work passes.

RemotePass makes hiring in Singapore simple. We handle compliance, contracts, and payroll. You focus on building your business.

Key Takeaways For Hiring In Singapore

  • Singapore requires a registered local entity to sponsor work passes (work visas). You can't use an EOR for foreign hires.
  • Employers must contribute to the Central Provident Fund (CPF), Singapore's social security system, for citizens and permanent residents, but not for foreign workers.
  • Payroll runs monthly, with salaries due by the seventh day of the following month.
  • Final payments are due within seven days of termination, after receiving tax clearance.

Quick Facts For Hiring In Singapore

Continent
Asia
Capital
Singapore
Currency
Singapore Dollar (SDG)
Language
English, Mandarin, Malay, Tamil
Payroll Cycle
Monthly
Pay Date
Employers must pay salaries by the seventh day of the next month.

Singapore Employment Contract Overview

A clear employment contract is essential in Singapore, where core terms like hours, benefits, and notice rules must be documented from day one. Below are the key details every compliant contract should include.

Contract Type
Fixed-term/Open-ended
Local Language Required?
No
Bilingual?
No
Probation Period
Probation is usually set in the contract, commonly between three and six months.
Minimum Paid Time Off

Employees earn paid annual leave after three months of service:

  • Seven days in the first year
  • Increases by one day per year
  • Capped at 14 days from year eight onward
Public Holidays
Singapore has 11 public holidays each year.
Notice Period
The employment contract typically specifies the notice period.

The employment contract typically specifies the notice period.

If the contract doesn’t specify a notice period, the Employment Act defines the notice period by length of service:

  • Less than 26 weeks: one day
  • 26 weeks to less than two years: one week
  • Two years to less than five years: two weeks
  • Five years or more: four weeks

What Do You Need To Include In A Singaporean Employment Contract?

Employment contracts in Singapore need to clearly spell out the key terms of the job: hours and leave to pay, benefits, and notice rules.

Employee Information

  • Full name
  • ID/Passport number
  • Address
  • Role / Job title
  • Duties (Job Description)
  • Start date
  • End date (if applicable)
  • Leave entitlements
  • Contract duration
  • Working hours
  • Probation and notice conditions
  • Termination provisions
  • Compensation details

How Does Payroll and Taxation Work in Singapore?

As an employer in Singapore, you’re expected to spell out all core terms of employment in a written contract. The details below show exactly what you need to include to stay compliant

Singapore Payroll Basics

Salary currency

Singapore Dollar (SDG)

Minimum Wage

Singapore doesn’t set a universal minimum wage, but the Progressive Wage Model (PWM) requires sector-specific minimum pay for certain roles. Employers who hire foreign workers must also pay local employees at least S$1,600 per month if they fall outside PWM coverage.

Hours per Week

44 hours per week for non-managers

Payroll Frequency

Monthly

Weekdays

Monday through Friday

Mandatory Bonuses

Not required

Gross Salary Structure In Singapore

Singapore doesn’t prescribe a fixed gross salary structure. Employers typically decide how to split base salary, allowances, and bonuses based on internal policies and market practice.

What Payroll Taxes do Employers Pay in Singapore?

Employer cost % (estimate):


Singapore Citizens & Permanent Residents


Expats

Contributions Breakdown

CPF (Central Provident Fund):

Is mandatory for Singapore Citizens and permanent residents

What Payroll Taxes Do Employees Pay In Singapore?

Individual Income Tax

IRAS applies a progressive tax rate system for tax residents, ranging from 0% to 24%.

Non-resident Tax Rates

IRAS taxes non-resident employment income at a flat 15% or at resident progressive rates, whichever is higher. It taxes other non-resident income, such as directors’ fees, at 24%.

Social Contributions


Singapore Citizens & Permanent Residents:

12.5% - 37%


Expats:

Foreign employees (on work passes) are exempt from CPF, but may be covered under foreign-worker levy provisions

حاسبة تكلفة التوظيف

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تكلفة صاحب العمل
إجمالي تكلفة التوظيف الشهرية
GBP 9,633
إجمالي تكاليف الراتب الشهري
GBP 8,334
الضرائب والمساهمات المقدرة
GBP 8,334
تكلفة الموظف
صافي الراتب الشهري

GBP 5,137
الراتب الشهري الإجمالي
GBP 8,334
الضرائب المقدرة والضمان الاجتماعي
GBP 8,334
تكلفة صاحب العمل
إجمالي تكلفة التوظيف السنوية
GBP 9,633
إجمالي تكاليف الرواتب السنوية
GBP 8,334
الضرائب والمساهمات المقدرة
GBP 8,334
تكلفة الموظف
صافي الراتب السنوي

GBP 5,137
الراتب السنوي الإجمالي
GBP 8,334
الضرائب المقدرة والضمان الاجتماعي
GBP 8,334
اطلب عرض أسعار تفصيلي

Mandatory Employee Benefits In Singapore

Singapore only allows locally registered companies to sponsor work passes, so EORs can’t employ expats. If you need to hire foreign talent, you’ll have to do it through your own Singapore entity.

Benefits Provider Funded Through Notes
Health Insurance Government Payroll Contributions CPF contributions fund MediSave, which employees use for hospitalization and outpatient care. MediShield Life is the basic mandatory health insurance plan administered by the CPF Board.
Pension/Social Security Government Payroll Contributions The Central Provident Fund (CPF) is Singapore’s statutory retirement and social security system for citizens and permanent residents. It includes the Ordinary Account, Special Account, Retirement Accounts, and Medisave Accounts. CPF LIFE provides lifelong monthly payouts from retirement age.
Other Statutory Benefits Government Payroll Contributions Employers must insure employees under the Work Injury Compensation Act (WICA) and maintain a safe workplace under Ministry of Manpower rules.

Leave And Holiday Entitlement In Singapore

Annual leave

Employees in Singapore earn paid annual leave after three months of service. Entitlement starts at 7 days in the first year and increases by 1 day each year, up to a maximum of 14 days from the eighth year onward.

Public holidays

Singapore has 11 gazetted public holidays each year, including New Year’s Day, Chinese New Year, Hari Raya Puasa, Good Friday, Labour Day, Vesak Day, Hari Raya Haji, National Day, Deepavali, and Christmas Day.

Sick Leave

Eligible employees can take up to 14 days of paid outpatient sick leave per year once they complete three months of service.

They may also take up to 60 days of hospitalization leave annually, which includes the 14 days of outpatient leave. Sick leave is prorated if the employee has worked less than six months.

Maternity Leave

Eligible mothers of Singapore Citizen children receive 16 weeks of maternity leave: the first 8 weeks are employer-paid and the next 8 weeks are reimbursed by the government.

Mothers of non-citizen children receive 12 weeks, with 8 paid weeks followed by 4 unpaid weeks.

Paternity Leave

Eligible fathers of Singapore Citizen children receive 2 weeks of Government-Paid Paternity Leave (GPPL) and must take the leave within 12 months of the child’s birth.

From 1 April 2025, this increases to 4 weeks, with shared parental leave expanding to 6 weeks by 2026. Fathers may also share up to 4 weeks of the mother’s 16-week leave with mutual agreement.

Other Types of Leave

  • Childcare Leave: Parents of Singapore Citizen children under seven receive 6 days of childcare leave yearly (3 employer-paid, 3 government-paid). Parents of children aged 7–12 receive 2 days.

  • Compassionate Leave / Marriage Leave / Bereavement Leave: Not mandated by law, but commonly offered as part of company policy, typically 1–5 days depending on the practice.

Termination and Offboarding in Singapore

When employment ends in Singapore, timing and communication matter just as much as paperwork. This section highlights what employers should pay attention to so every exit is handled compliantly and professionally.

Type Possible?
Termination for Cause (poor performance, misconduct, etc.) Yes
Termination without Cause Yes
Mutual Termination Agreement (MTA) Yes
Redundancy Not possible under the EOR setup

Employee Resignations

Employee
Resignations

 Termination with Cause

Termination
with Cause

Termination without Cause

Termination
without Cause

Mutual Termination Agreement

Mutual Termination
Agreement

 Fixed Term Contract

Fixed Term
Contract

Singapore employee resignation

Notice

Form

The employee must provide written notice of resignation. The day the notice is given counts toward the notice period.

Notice period

As agreed in the employment contract. If not stated, Singapore’s Employment Act requires: less than 26 weeks of employment: 1 day, 26 weeks to less than 2 years: 1 week, 2 to less than 5 years: 2 weeks, more than 5 years: 4 weeks

Payment in lieu of notice or notice waiver

Allowed

End-of-Service Benefits

Severance/Gratuity

Not applicable under Singapore’s Employment Act.

Other Benefits

  • Prorated salary for days worked until the termination date.
  • Payment for accrued but unused annual leave.
  • Payment of bonuses, commissions, or expenses due under the contract.
  • Repatriation flight where the employer is sponsoring the employee’s work permit.

Termination Documentation

  • Written resignation notice.
  • Final dues letter confirming the employee has received all payments owed.

Employer Termination With Cause in Singapore

Acceptable grounds

Termination for cause in Singapore applies when either party willfully breaches a condition of the contract of service.

This includes situations where:

  • The employer fails to pay the salary according to the contract.
  • The employee is absent for more than two consecutive days without approved leave, has no reasonable excuse, or does not inform (or attempt to inform) the employer of the reason.
  • The employee commits misconduct that is inconsistent with the terms of employment, following a due inquiry.
  • The employee or the employee’s dependent faces immediate danger from violence or disease.

Notice

Form

Written notice.

Notice period:

Termination takes effect immediately and does not require a notice period.

Payment in lieu of notice or notice waiver:

Not applicable.

End-of-Service Benefits

Severance

Not applicable.

Other Benefits

  • Prorated salary for days worked up to the termination date.
  • Payment for accrued but unused annual leave.
  • Payment of bonuses, commissions, or expenses that are due under the employment contract.
  • Repatriation flight if the employer sponsors the employee’s work permit

Termination Documentation

  • Written termination notice
  • Final dues letter (document signed by the employee confirming that they have been paid all their final dues).

Employer Termination Without Cause in Singapore

Notice

Form

The employer must issue a written notice of termination. The day the notice is given counts toward the notice period

Notice period:

As stated in the employment contract. If the contract does not specify a notice period, the Employment Act requires:

  • Less than 26 weeks of employment: 1 day's notice
  • 26 weeks to less than 2 years: 1 week
  • 2 to less than 5 years: 2 weeks
  • More than 5 years: 4 weeks' notice

Payment in lieu of notice or notice waiver:

Allowed

End-of-Service Benefits

Severance/Gratuity

Not applicable.

Other Benefits

  • Prorated salary for days worked up to the termination date.
  • Payment for unused annual leave.
  • Bonus, commission, or expense payments due under the contract.
  • Repatriation flight if the employer sponsors the employee’s work permit.

Termination Documentation

  • Written termination notice
  • Final dues letter (document signed by the employee confirming that they have been paid all their final dues).

Mutual Termination Agreements in Singapore

MTA is a voluntary agreement signed by both parties (employer and employee) to terminate an employment contract by mutual consent.

Notice

Form

The agreed terms of the mutual termination must be documented in writing, through a mutual termination agreement (MTA) signed by both parties.

Notice period:

Not required when both parties agree to end the contract. They may choose a termination date that takes effect immediately or in the future.

Payment in lieu of notice or notice waiver:

Since termination is consensual, both parties can waive any notice period in the agreement.

End-of-Service Benefits

Severance/Gratuity

Not applicable.

Other Benefits

  • Repatriation Flight: Where the employee is sponsored by the client, one-way flight to employee’s home country or agreed destination
  • Prorated Salary and Leave: Included in MTA:
    • Final salary up to termination date
    • Accrued but unused leave pay
    • Prorated bonus/commission/expenses (if applicable and agreed)
  • Ex-Gratia Payment (if any): Not legally required but may be included to facilitate an amicable separation. It should be clearly stated in the agreement.

Termination Documentation:

  • Mutual Termination Agreement, signed by both parties, outlining:
    • Termination date
    • Final entitlements
    • Waivers and releases (if applicable)
    • Return of company property
    • Non-disparagement / confidentiality clauses (optional)

Offboarding Process for the End of Fixed-term Contracts in Singapore

If the Fixed-Term Contract Ends Normally

Notice

A fixed‑term contract ends automatically upon reaching its specified term or date. Neither party needs to give notice unless the contract explicitly states otherwise.

End-of-Service Benefits

Severance/Gratuity

Singapore’s law does not require severance pay upon the normal expiration of a fixed‑term contract. The ending is considered part of the agreed employment terms.

Other Benefits

If the employee has provided at least 3 months of continuous service under term contracts (with no more than 1‑month gap between renewals), then they are entitled to statutory leave benefits such as annual, medical, paternity, adoption, and childcare leave.

If the Employer Terminates Early

Acceptable Grounds

The employer is not legally required to provide a reason for termination if proper notice is given, unless dismissal is due to misconduct, in which case due process must be followed.

Notice

  • The employer must provide written notice per the contract or compensation in lieu if terminating early.
  • If the contract doesn’t specify a notice period, the Employment Act’s defaults apply.
  • Employers may dismiss without notice only for grave misconduct, but must conduct a proper inquiry and document proceedings. Failure to follow due process can lead to claims of wrongful dismissal.

Termination Documentation

A written termination letter is required to formalize the end of employment, even if it’s through early termination.

Final Payment Timing, Immigration and Visa Compliance in Singapore

Final Payment Deadline: 7 days from termination date. Employers must notify the Comptroller of Income Tax of the termination, and they cannot make final payments until the Comptroller grants permission.

Visa and Immigration Compliance

If the employer sponsors the work permit, they must cancel it within seven days of the termination date.

Key Elements of an Employment Contract in Singapore
When drafting an employment contract for employees in Singapore, the following key elements should be included:

Personal Details

Name, contact information, and role of the employee.

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Expand in Singapore Compliantly

From onboarding and payroll to offboarding and visa support, RemotePass simplifies it all so you can focus on growing your team.

Building and expanding a global workforce is seamless with RemotePass. Our platform simplifies the complexities of hiring, payroll, and compliance across over 150 countries, including Singapore.

With RemotePass, you can quickly onboard international employees, manage payroll, ensure legal compliance, and provide competitive benefits—all from one place. Focus on growing your business while we handle the HR and legal intricacies.

FAQs About Hiring in Singapore

Got Questions? Find Answers Here

Can I hire foreign workers in Singapore without a local entity?

No. Singapore requires a registered local entity to sponsor work passes. EORs can't employ expats in Singapore—you'll need your own entity to hire foreign talent.

What's the difference between an Employment Pass and S Pass?

An Employment Pass is for professionals earning at least S$5,000/month (higher for older or more experienced candidates). An S Pass is for mid-skilled workers earning at least S$3,150/month. Both require employer sponsorship and quota limitations may apply.

Do I need to contribute to CPF for foreign employees?

No. Foreign employees on work passes are exempt from CPF contributions. However, you may need to pay a foreign worker levy depending on the pass type and your company's quota.

How quickly must I pay employees after termination?

Within seven days of the termination date. You must also notify the Comptroller of Income Tax and wait for clearance before making the final payment.

What happens if an employee doesn't serve their notice period?

The employer may deduct up to one month's salary in lieu of notice, but only if this is clearly stated in the employment contract.

Can I include a non-compete clause in Singapore employment contracts?

Yes, but it must be reasonable in scope, duration, and geography to be enforceable. Singapore courts won't uphold overly broad restraints that go beyond protecting legitimate business interests.

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