Incentives from the Government of Singapore
Incentives from the Government of Singapore
April 8, 2020
It’s been quite a challenging time for all. We just want to drop you a quick information on which of the Government support measures1 introduced to-date could benefit the Company:
- 75% Government co-funding of up to S$4,600 of each local employee’s (Singaporeans and PRs that contribute to CPF) salary for April 2020, and 25% for 8 months from Oct – Dec 2019, Feb – Mar 2020 and May – Jul 2020
| Hypothetical analysis for 5 local employees with monthly gross salary of S$4,000 | Apr 2020
S$ |
Other 8 months
S$ |
Total
S$ |
|
| Gross salary per employee | A | 4,000 | 4,000 | |
| Cash grant per employee | B = A x 75% or 25% | 3,000 | 1,000 | |
| Cash grant for a month’s salary x 5 employees | C = B x 5 | 15,000 | 5,000 | |
| Total cash grant, payable in Apr, Jul and Oct 2020 | C x no. of months | 15,000 | 40,000 | 55,000 |
- Waiver of monthly Foreign Worker Levy (FWL) due in Apr 2020 and FWL rebate of S$750 in Apr 2020 from levies paid this year, for each Work Permit or S Pass holder
- Cash financing support under the Enterprise Financing Scheme (e.g. Trade Loan, SME Working Capital Loan), available to companies with a minimum of 30% shareholding held by Singaporeans/PRs
- Up to 80% of Government funding for SMEs adopting pre-approved IT solutions and equipment to enhance business processes under the Productivity Solutions Grant, for companies with a minimum of 30% local shareholding (for selected solutions only)
- Property tax rebates to be passed down from landlords under an upcoming law
For any information, please contact our team at info@opkofinance.com or by phone +852 2654 8800.
