CPF Annual Limit

[o2atom]

Hi,
I am just curious, for those who hold positions in many companies and are paid more than $6k per month by each company, they will surely contribute more than CPF Annual Limit ($37,740) after few months. In this case, who will CPF Board return the excess contributions to? Employee or Employer?

Anyone knows?

 

[terence2112]

The annual limit depends on each company. So if I hold 6 positions in different companies, the annual limit can go above the limit.

 

[o2atom]

The annual limit depends on each company. So if I hold 6 positions in different companies, the annual limit can go above the limit.

Is it? I only know the OW and AW ceiling are applied on per company basis based on what is stated on CPF website. I didn't know the annual limit also follows the same.

 

[reddevil0728]

Is it? I only know the OW and AW ceiling are applied on per company basis based on what is stated on CPF website. I didn't know the annual limit also follows the same.

Someone confirmed the experience that is separate limit by company.

 

[Dividends]

Is it? I only know the OW and AW ceiling are applied on per company basis based on what is stated on CPF website. I didn't know the annual limit also follows the same.

Yes it is, I have gone over the limit of $37,740 drawing salary from 2 different companies.

 

[wira]

max contribution from employee and employee is only $2200 per mth correct ? so total in a year only $26,400.

how to hit limit ?

you mean bonus ?

 

[hwmook]

max contribution from employee and employee is only $2200 per mth correct ? so total in a year only $26,400.

how to hit limit ?

you mean bonus ?

5 months bonus.

 

[karakorum1999]

max contribution from employee and employee is only $2200 per mth correct ? so total in a year only $26,400.

how to hit limit ?

you mean bonus ?

For so-called Ordinary Wages, the monthly cap is indeed $2.220 ($6k salary cap x 0.37), leading to an annual cap of $26,640.

There is also Additional Wages (bonus, AWS etc..) which has a cap of $30k (effectively $6k x 5 but can be 3 months if your pay is $10k/mth etc.). This gives another $11,100.

 

[Tp101s]

Don’t quite understand how the 11,100 is arrive at in para2.

 

[gold_eagle36]

Don’t quite understand how the 11,100 is arrive at in para2.

30000* contribution employee / employer of 37%

 

[BernardWYF]

Someone confirmed the experience that is separate limit by company.

SSSshhhhh, this is a real loophole.

 

[karakorum1999]

SSSshhhhh, this is a real loophole.

As explained on CPF website, the employee concerned can actually apply to CPF to limit their own (employee)‘s CPF contribution, in order to have more take home cash.
So perhaps CPF is not too concerned as this affects a very very small population.. well.. who knows?

 

[reddevil0728]

SSSshhhhh, this is a real loophole.

really? who said?