How do I calculate Skills Development Levy (SDL)?
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.
After you have computed the SDL for each employee, add up the SDL calculated and round the total amount down to the nearest dollar.
Here’s an example of an SDL computation:
|
Employee
|
Total wages for the calendar month
|
SDL Payable
|
|
A
|
$609.50
|
$2.00
(Minimum of $2.00 is payable because the total wages are less than $800)
|
|
B
|
$2,000.00
|
$5.00
|
|
C
|
$4,500.00
|
$11.25
|
|
D
|
$4,502.03
|
$11.25
(Maximum of $11.25 is payable because the total wages are more than $4,500)
|
|
E
|
$10,000.00
|
$11.25
(Maximum of $11.25 is payable because the total wages are more than $4,500)
|
|
Total SDL
|
$40.75
| |
|
Total SDL payable
|
$40.00
(Rounded down to the nearest dollar)
| |
You can visit this webpage for more information on the payment procedure and computation of SDL.
* Include full-time, casual, part-time, temporary and foreign employees.
This information is sourced from CPF
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