5 Amazing Things that you do not know about CPF (Part 2). A continuation from the earlier article posted “5 Amazing Things that you do not know about CPF (Part 1), 4 April 2019”.
The following are NOT subjected to CPF:
- Token gifts eg benefits-in-kind, gift vouchers given to employees during festive season.
- Any payments not related to employment eg retirement gratuity, retrenchment pay, ex-gratia payment, compensation in lieu of notice, severance pay, compensation for loss of employment. Or non-cash gift vouchers given to employees for good performance.
- Reimbursement (can be subjected to a capping limit) for holiday expenses incurred by employees based on actual expenditure given to employees as holiday incentives.
- Cash award given to employees with more than 5 years’ service and every subsequent period of NOT less than 5 years’ service and the amount given is < the ordinary wages of the employees.
- Cash tips collected from customers in hotel and restaurant and taken as miscellaneous income of the Company. Award in kind e.g. token gifts in the form of non-cash vouchers given to employees as good service award.
This article is a continuation from the earlier article “5 Amazing Things that you do not know about CPF (Part 1)” 4 April 2019 for the same payments but subject to CPF.