Employer of Record in Singapore: what one employee really costs

Questions people ask before booking a demo

How much does an employer of record cost in Singapore?

For one employee at US$70,000 gross a year (about SGD 89,000), CPF employer contributions of 17% up to the S$8,000 monthly wage ceiling plus the Skills Development Levy add about 17% on top of salary for a citizen or permanent resident. Published EOR fees then run from $199 to $699 per employee per month, so the all-in cost is roughly $7,030 to $7,530 a month depending on the provider. For an Employment Pass holder there is no CPF, so the statutory on-cost is close to zero apart from the levy, and the provider fee becomes the main add-on.

How many paid leave days does Singapore law require employers to budget for?

The Employment Act sets a statutory minimum of 7 paid annual leave days in an employee's first year, rising by one day per year of service up to 14 days from the 8th year onward. Most professional roles are contracted at 14 days or more from day one, which is the figure this calculator uses.

Do I still pay Singapore payroll levies if my employee is on an Employment Pass and not in CPF?

Yes. The Skills Development Levy (0.25% of monthly wages, min S$2, max S$11.25 per employee per month) is payable for every employee working in Singapore, including Employment Pass holders who are exempt from CPF. CPF employer contributions (17% for someone 55 or under) only apply to Singapore citizens and permanent residents.

Is a 13th-month salary (Annual Wage Supplement) mandatory in Singapore?

No. Singapore's Employment Act does not require an Annual Wage Supplement or 13th-month bonus; it is a contractual matter between employer and employee, not a statutory cost. Check whether the offer includes one; if it does, budget roughly one extra month of salary, even though it is not a legal obligation.