Bonus CPF calculator
Find out how much of your year-end bonus or AWS you keep after CPF is deducted, and how much it adds to next year’s tax bill.
| Bonus | $12,000.00 |
| AW ceiling left for the year | $30,000 |
| Part of bonus with CPF | $12,000 |
| Part of bonus without CPF | $0 |
| Employee CPF on bonus | $2,400 |
| Bonus after CPF | $9,600.00 |
| Extra income tax (estimate) | $672.00 |
| Bonus after CPF and tax | $8,928.00 |
| Employer CPF on bonus | $2,040 |
How CPF on a bonus works
Bonuses, the 13th month Annual Wage Supplement and leave encashment are additional wages. They attract CPF at your normal rate, but only up to the Additional Wage ceiling:
AW ceiling = $102,000 − total ordinary wages subject to CPF in the year.
Because ordinary wages count only up to $8,000 a month, the AW ceiling is never less than $6,000. Anything above it has no CPF at all.
AW ceiling and CPF on a two-month bonus
| Monthly salary | AW ceiling | Bonus | Your CPF on it | Bonus after CPF |
|---|---|---|---|---|
| $3,000 | $66,000 | $6,000 | $1,200 | $4,800 |
| $4,000 | $54,000 | $8,000 | $1,600 | $6,400 |
| $5,000 | $42,000 | $10,000 | $2,000 | $8,000 |
| $6,000 | $30,000 | $12,000 | $2,400 | $9,600 |
| $8,000 | $6,000 | $16,000 | $1,200 | $14,800 |
| $10,000 | $6,000 | $20,000 | $1,200 | $18,800 |
From $8,000 a month upwards the ceiling stays at $6,000, so a large bonus loses a smaller share to CPF.
Income tax on a bonus
A bonus is taxed with the rest of your income for the year, at your top rate. On a $6,000 salary a $12,000 bonus adds about $672 to the following year’s tax bill, after CPF relief on the bonus.
If you change jobs during the year, each employer works out the AW ceiling on the wages it paid, and you may be able to ask the CPF Board to refund excess contributions.
Questions and answers
How much CPF is deducted from a $10,000 bonus?
$2,000 if your salary is $5,000 and you are 55 or below, leaving $8,000. Your employer adds $1,700 on top.
What is the AW ceiling if I earn $8,000 or more?
$6,000. Twelve months at the $8,000 ordinary wage ceiling use up $96,000 of the $102,000 annual limit.
Does the 13th month bonus attract CPF?
Yes. The AWS is an additional wage, so it attracts CPF within the AW ceiling like any other bonus.
Why did I pay less CPF than expected on my bonus?
Probably because part of it was above your AW ceiling. On a $10,000 salary with a $20,000 bonus only $6,000 attracts CPF.
Sources
- CPF Board: Additional Wage ceiling
- CPF Board: How much CPF contributions to pay
- IRAS: Individual income tax rates
Checked 28 September 2026. OneCalcs is independent and not affiliated with IRAS, the CPF Board, MOM or any government agency.