Keep Your Payroll in Tiptop Condition with Mezzanine Enterprise
Given the complexities of payroll and the mistakes you could potentially commit, you should outsource your payroll management to a professional service provider.
Mezzanine Enterprise stands ready to manage your payroll on your behalf, ensuring accuracy, timeliness, and full compliance with all statutory requirements. You need only focus on your core operations with peace of mind, knowing that your payroll is in good hands. Payroll aside, we also support you with a complete gamut of back-office functions, including corporate secretarial, bookkeeping, and grant advisory.
Talk to us today to find out how we can support your payroll needs.
Understanding the Employment Act
The Employment Act is Singapore's main labour law. It outlines the basic terms and conditions of employment, such as:
Salary payment: Salaries must be paid on time. For most employees, this means at least once a month and within seven days after the end of the salary period.
Itemised payslips: Employers are required to issue itemised payslips to all employees. The payslip must include details such as the employee's basic salary, allowances, deductions, overtime pay, and net salary for the period.
Working hours and overtime: The Act specifies standard working hours and mandates overtime pay for employees who work beyond those hours.
Central Provident Fund (CPF) Contributions
CPF is a mandatory social security savings scheme for Singapore Citizens and Permanent Residents (PRs). As an employer, you are legally required to make monthly CPF contributions for all eligible employees.
Who is eligible? All employees who are Singapore Citizens or PRs and earn more than SGD 50 per month are entitled to CPF contributions.
Contribution rates: Both the employer and the employee contribute a percentage of the employee's wages to their CPF accounts. These rates vary depending on the employee's age and are subject to a monthly wage ceiling. It is your responsibility to stay updated on the current contribution rates.
Making contributions: You must deduct the employee's share of the contribution from their salary and pay it, along with the employer's share, to the CPF Board.
Deadline: CPF contributions must be paid by the 14th of the following month. Late payments will incur interest and penalties.
Common Payroll Mistakes to Avoid
Miscalculating CPF: Using incorrect wage figures or outdated contribution rates can lead to under- or over-payment.
Late CPF payments: Failing to meet the 14th of the month deadline results in penalties.
Non-compliance with the Employment Act: Errors such as failing to provide itemised payslips or late salary payments can lead to disputes and legal action.
Poor record-keeping: Inadequate records of payroll and CPF contributions can cause significant problems during audits.
A Primer on Payroll Compliance and CPF Contributions
27 Oct 2025
Think payroll is just about disbursing your employees’ salaries on time? Think again.
In Singapore, payroll management is subject to the Employment Act and regulations concerning Central Provident Fund (CPF) contributions. For many SMEs, it’s all too easy to overlook these obligations, resulting in high costs. This guide provides you with a basic overview to ensure you stay compliant with your payroll management.