What is skills development levy Singapore?

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What is the Skills Development Levy? The Skills Development Levy (SDL) is a mandatory levy that all employers have to pay for their employees working in Singapore. The SDL funds will be collected by the Central Provident Fund (CPF) Board and channelled into a Skills Development Fund.

Is SDL compulsory in Singapore?

SDL is compulsory for all full-time, part-time, temporary or casual local and foreign workers in Singapore.

What is excluded in SDL calculation?

The following employers will be exempt from paying SDL: Employers whose annual salary bill for the coming 12 month period won’t exceed the prescribed amount of R500 000 – there is no need for these employers to register.

How is levy rate calculated?

Note: The daily levy rate applies only to S Pass holders who did not work for a full calendar month. The daily levy rate is calculated as follows: (Monthly levy rate x 12) / 365 = rounding up to the nearest cent.

How does skills development levy work?

Skills Development Levies ( SDL) is a levy paid by employers who registered with a SETA. These funds are used to pay for the development of the skills of employees by employers. This helps employees gain the scarce skills they need to thrive in their careers.

How is skill levy calculated?

How is SDL calculated and what can I claim? For example: 10 employees x R15 000 monthly income = R1 800 000 annual payroll. 1% of that is R18 000 which is paid annually to SARS as SDL.

On what amount is SDL calculated?

1% of the total amount paid in salaries to employees (including wages, overtime payments, leave pay, bonuses, fees, commissions and lump sum payments).

What is monthly levy in Singapore?

Levy rate

Tier	Quota %	Monthly levy rate
Basic / Tier 1	Up to 10% of the total workforce	$330
Tier 2	Above 10% to 18% of the total workforce	$650

How much is Singapore Work Permit levy?

Quota and levy

Quota	Basic-skilled – monthly	Higher-skilled – monthly
Basic Tier / Tier 1: Up to 10% of the total workforce	$450	$300
Tier 2: Above 10% to 25% of the total workforce	$600	$400
Tier 3: Above 25% to 35% of the total workforce	$800	$600

How do I calculate SDL?

You have to contribute Skills Development Levy (SDL) for all your employees*. The levy payable for each employee is at 0.25% of their monthly total wages. The minimum payable is $2 for an employee earning less than $800 a month and the maximum is $11.25 for an employee earning more than $4,500 a month.

What is the leviable amount for skills development?

The Leviable amount is calculated by adding up the SDL payments made as per the EMP 201s for the 12 months of the financial year in question. The total of these 12 months’ SDL payments is then multiplied by 100% to give the Leviable amount.

What is the SkillsFuture Singapore Levy (SDL)?

The levy is managed and controlled by the SkillsFuture Singapore Agency (SSG). All employers, whether private or a statutory board, are liable to paying the SDL on a monthly basis for each of their employees (both locals and foreign employees).

What is the Skill Development Levy?

The Skills Development Levy, SDL in short, is a fee imposed upon all employers under the Skill Development Levy Act. The levy is managed and controlled by the SkillsFuture Singapore Agency (SSG). All employers, whether private or a statutory board, are liable to paying the SDL on a monthly basis for each of their employees

What is the statutory contribution rate and Levy in Singapore?

Statutory Contribution Rate & Levy for Various Salary Bands. From October 2008, the statutory Singapore SDL contribution rate is 0.25% of a staff’s monthly remuneration, capped at $11.25 per month. There is a minimum levy of $2. For monthly salary bands below, the equivalent levy is: $1-800 SGD – $2 SDL levy.

What if I overpaid my Skills Development Levy (SDL)?

Note that even for employees that you do not have to pay a Skills Development Levy for, you may need to submit a declaration of non-liability of SDL to SkillsFuture. If you believe you have overpaid your Skills Development Levy or have further clarifications, you can call the SkillsFuture Singapore Agency at 6785 5785 or write in at: