Bonuses, annual commissions and some non-monthly payments are generally Additional Wages (AW). They have an annual ceiling and should not simply be added to one month of OW.
How the rule works
The AW ceiling is generally SGD 102,000 less OW already subject to CPF for the year. Only the part of a bonus within the remaining ceiling attracts CPF.
Calculation method
AW ceiling = SGD 102,000 − annual CPF-applicable OW. CPF-applicable bonus is the lower of the bonus and remaining ceiling.
Three practical examples
- OW SGD 60,000 and bonus SGD 10,000: all of the bonus is within the SGD 42,000 ceiling.
- OW SGD 80,000 and bonus SGD 50,000: at most SGD 22,000 is CPF-applicable.
- OW already at SGD 102,000: the remaining AW ceiling is zero.
Special cases and limits
- Use CPF-applicable OW, not a casual annual-salary figure.
- A bonus paid across a year boundary needs the correct payment period.
- Termination awards, corrections and multiple-employer cases require employer confirmation.
Frequently asked questions
Does every bonus attract CPF in full?
No. The remaining AW ceiling may restrict it.
Why is bonus CPF unexpectedly low?
Part of the bonus may sit above the AW ceiling.
Sources and review
Written and reviewed by the QuickCalc editorial team. Last reviewed: 4 Sep 2026. To report a rule or calculation error, email contact@zevlis.com.