Example:
Employee’s name: John Tan
Monthly Salary: $1,055.00
Transport allowance: $400.00
CPF Employee: 20%
CPF Employer’s contribution: 14.5%
From the employee’s profile, change the tab to ‘Payroll and Compensation Info’.
Under the Earnings:
Item name: select Basic Salary
Hourly / Annual Rate: Enter 12,660 (i.e.: 1055 x 12 = 12,660.00)
Under the Additions, Deductions and Company Contributions:
1st row:
Item name: Transport Allowance
Amount: 400.00
2nd row:
Item name: CPF Employee
Amount: -291.00 ((1055 + 400) * 20%)
3rd row:
Item name: CPF Employer
Amount: 211.00 ((1055 + 400) * 14.5% = 210.975, round to 211.00)
Additional information:
- Add a new monthly pay schedule.
- You can select Cheque for Pay Method if your pay out is via cheuqe payment.
- Click the Taxes button, under the Tax Code, select ‘8-No TaxC’ from the drop down list for the non tax code.
Leave the rest of the information blank.
Once default is being set up, you can proceed to pay your employees.