What is the Fixed Expense Deduction Amount?
Your CPF contributions will be computed based on your net earnings, derived from your gross earnings less a Fixed Expense Deduction Amount (FEDA).
The FEDA depends on the mode of transportation you use for platform work.
|
Mode of Transport |
FEDA |
|
Cars, Vans, Lorries, Trucks |
60% |
|
Motorcycles, Power-assisted Bicycles, Motorised Personal Mobility Devices |
35% |
|
Bicycles, Walkers (Including use of public transport) |
20% |
Your net earnings is given by gross earnings less FEDA. For example:
-
Gross earnings: $3,000
-
FEDA: 60% for cars
-
Net earnings: $3,000 x (1-60%) = $1,200
This information is sourced from CPF
Related questions
What is the Fixed Expense Deduction Amount?
How will the Fixed Expense Deduction Amount be applied if I use different modes of transport?
How do I calculate my CPF contributions based on net earnings as a platform worker?
Can I declare actual expenses different from Fixed Expense Deduction Amount? Will my CPF contributions be adjusted?
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