Contents of this article are applicable to the following users
Tier: NA
Product: PayrollAny
Platform: Web
Access Level: Owner
You are expected to deduct the SHG contributions from your employee's wages, and pay it together with CPF contributions to the CPF Board.
There are 4 SHG funds
Chinese Development Assistance Council (CDAC) Fund
Eurasian Community Fund (ECF)
Mosque Building and Mendaki Fund (MBMF)
Singapore Indian Development Association (SINDA) Fund
This guide will cover the following:
How is SHG calculated
SHG applicability and calculations differ for each of the 4 fund types
Chinese Development Assistance Council (CDAC) Fund
Who should contribute:
Citizenship: Singapore Citizens or Permanent Residents
Race: Chinese
Monthly Total Wages | Monthly contribution |
$2,000 or less | $0.50 |
> $2,000 to $3,500 | $1 |
> $3,500 to $5,000 | $1.50 |
> $5,000 to $7,500 | $2 |
> $7,500 | $3 |
Eurasian Community Fund (ECF)
Who should contribute:
Citizenship: Singapore Citizens or Permanent Residents
Race: Eurasian
“Eurasian” means a person defined as such in his/her identity card or a person of both European and Asian ancestry.
Monthly Total Wages | Monthly contribution |
$1,000 or less | $2.00 |
> $1,000 to $1,500 | $4.00 |
> $1,500 to $2,500 | $6.00 |
> $2,500 to $4,000 | $9.00 |
> $4,000 to $7,000 | $12.00 |
> $7,000 to $10,000 | $16.00 |
> $10,000 | $20.00 |
Mosque Building and Mendaki Fund (MBMF)
Who should contribute:
Citizenship: Singapore Citizens, Permanent Residents or Foreigners
Religion: Muslim
Monthly Total Wages | Monthly contribution |
$1,000 or less | $3.00 |
> $1,000 to $2,000 | $4.50 |
> $2,000 to $3,000 | $6.50 |
> $3,000 to $4,000 | $15.00 |
> $4,000 to $6,000 | $19.50 |
> $6,000 to $8,000 | $22.00 |
> $8,000 to $10,000 | $24.00 |
> $10,000 | $26.00 |
Singapore Indian Development Association (SINDA) Fund
Who should contribute:
Citizenship: Singapore Citizens, Permanent Residents or Employment Pass holders
Race: Indian
This includes Bangladeshis, Bengalis, Parsees, Sikhs, Sinhalese, Telegus, Pakistanis, Sri Lankans, Goanese, Malayalees, Punjabis, Tamils, Gujaratis, Sindhis and all people originating from the Indian sub-continent.
Monthly Total Wages | Monthly Contribution |
$1,000 or less | $1.00 |
> $1,000 to $1,500 | $3.00 |
> $1,500 to $2,500 | $5.00 |
> $2,500 to $4,500 | $7.00 |
> $4,500 to $7,500 | $9.00 |
> $7,500 to $10,000 | $12.00 |
> $10,000 to $15,000 | $18.00 |
> $15,000 | $30.00 |
Opting out of SHG
An employee may opt-out by completing the relevant forms by obtaining the form from the respective SHG fund's website. In the event your employee has opted out of their SHG, he/she will need to present the respective SHG fund's approval letter for HR's reference.
Thereafter, in PayrollAny, you should indicate Contribution Amount as “No Contribution” for all SHGs they have opted out for
Setting a fixed amount for SHG
An employee may contribute a different amount to SHG by completing the relevant forms by obtaining the form from the respective SHG fund's website. In the event your employee has set a fixed amount for their SHG, he/she will need to present the respective SHG fund's approval letter for HR's reference.
Thereafter, in PayrollAny, you should indicate Contribution Amount as “Custom Contribution”, and set the amount respectively
SHG contributions for interns
For Chinese Development Assistance Council (CDAC) Fund, Eurasian Community Fund (ECF) and Singapore Indian Development Association (SINDA) Fund: Contributions to the Self-Help Groups (SHGs) funds are payable for interns on internship programme if CPF contributions are payable. (CPF Reference)
For Mosque Building and Mendaki Fund (MBMF): Please refer to the section on "Student Pay" at the MUIS website to find out whether MBMF is payable for an intern.
If SHG is not payable for this employee, exclude them from SHG as per the “Opting out” steps above
How to set up staff so SHG is counted properly
Tagging of each staff’s SHG is automated in our system based on Race, Religion, Citizenship Status, and Work Pass Type. Refer to this guide on how to fill these information up
Note: if you are unsure of your staff’s religion, you can put it as “Others” for now
How do we calculate SHG for multiple payruns
SHG is ultimately calculated and paid by the month. However, within a month, you might run multiple payruns for a single staff. SHG for each payrun will be an estimate, and follows a similar formula as CPF contributions. Refer to the CPF contributions to learn more about this.
How to use PayrollAny to pay SHG
SHG is usually paid together with your employees' monthly CPF contributions. Learn more about how PayrollAny can support this here.