{"id":27174,"date":"2024-04-19T16:13:49","date_gmt":"2024-04-19T08:13:49","guid":{"rendered":"https:\/\/recruitment.grabjobs.co\/?p=27174"},"modified":"2024-04-24T17:37:51","modified_gmt":"2024-04-24T09:37:51","slug":"skills-development-levy-singapore","status":"publish","type":"post","link":"https:\/\/recruitment.grabjobs.co\/skills-development-levy-singapore\/","title":{"rendered":"What is the Skills Development Levy in Singapore?"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-post\" data-elementor-id=\"27174\" class=\"elementor elementor-27174\" data-elementor-post-type=\"post\">\n\t\t\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-3b4afa9 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"3b4afa9\" data-element_type=\"section\" data-e-type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-e574120\" data-id=\"e574120\" data-element_type=\"column\" data-e-type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-8a2f671 elementor-widget elementor-widget-heading\" data-id=\"8a2f671\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">What Is the Skills Development Levy?<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-0edeb5a elementor-widget elementor-widget-text-editor\" data-id=\"0edeb5a\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p><span style=\"font-weight: 400;\">The Skills Development Levy is a mandatory fee for companies to facilitate workforce training and skill development. If you work in Singapore, you automatically qualify for the SDL, regardless of your employment status.<\/span><\/p><p><span style=\"font-weight: 400;\">The Skills Development Levy collection money is put into the Skills Development Fund, enabling the Singaporean government to create workforce upgrade programs and provide grants to employees.<\/span><\/p><p><span style=\"font-weight: 400;\">Both the SDL and SDF are managed by the <\/span><a href=\"https:\/\/www.skillsfuture.gov.sg\/\"><span style=\"font-weight: 400;\">SkillsFuture Singapore Agency<\/span><\/a><span style=\"font-weight: 400;\">.<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-689ca78 elementor-widget-divider--view-line elementor-widget elementor-widget-divider\" data-id=\"689ca78\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"divider.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"elementor-divider\">\n\t\t\t<span class=\"elementor-divider-separator\">\n\t\t\t\t\t\t<\/span>\n\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-1a0bc88 elementor-widget elementor-widget-heading\" data-id=\"1a0bc88\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">How Is the Skills Development Levy Calculated?\n<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-aa2a60c elementor-widget elementor-widget-text-editor\" data-id=\"aa2a60c\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p><span style=\"font-weight: 400;\">The Skills Development Levy payable should amount to 0.25% of your monthly wages. Once a company calculates the levy for all its employees, the total will be rounded to the next dollar.<\/span><\/p><p><span style=\"font-weight: 400;\">However, you need to know a few things about calculating the Skills Development Levy.<\/span><\/p><ul><li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The lowest amount of SDL a company can pay for an employee is $2. That\u2019s if you earn less than $800 a month.<\/span><\/li><li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The highest SDL amount a company can pay for an employee is $11.25. This applies to employees earning above $4,500 a month.<\/span><\/li><\/ul><p><span style=\"font-weight: 400;\">You can also use the <\/span><a href=\"https:\/\/go.gov.sg\/sdl-calculator\"><span style=\"font-weight: 400;\">SDL Calculator<\/span><\/a><span style=\"font-weight: 400;\"> to compute the total Skills Development Levy payable.<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-57aa0d0 elementor-widget elementor-widget-heading\" data-id=\"57aa0d0\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">Who Must Pay the Skills Development Levy?\n<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-b8d5a74 elementor-widget elementor-widget-text-editor\" data-id=\"b8d5a74\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p><span style=\"font-weight: 400;\">You\u2019ll need to pay SDL for the following employees working in Singapore;<\/span><\/p><ul><li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">All permanent, part-time, or casual employees.<\/span><\/li><li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Employment pass holders or foreign employees working under a permit.<\/span><\/li><\/ul>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-c46e546 elementor-widget elementor-widget-heading\" data-id=\"c46e546\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">Who is Exempted from the Skills Development Levy?\n<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-597423d elementor-widget elementor-widget-text-editor\" data-id=\"597423d\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p><span style=\"font-weight: 400;\">Here are the notable exemptions from SDL payment;<\/span><\/p><ul><li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Chauffeurs, domestic employees, and gardeners are employed on personal terms.<\/span><\/li><li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Employees who were overseas and didn\u2019t render any services in Singapore within the payment month\/bracket.<\/span><\/li><li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Students.<\/span><\/li><\/ul><p><span style=\"font-weight: 400;\">If you fall under this category, you must submit a declaration of non-liability of SDL. Log in to the SDL website, indicate the reason for the declaration, and upload documents to support the claim.<\/span><\/p><p><span style=\"font-weight: 400;\">Check out the most important documents to provide below.<\/span><\/p><ul><li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Work passes<\/span><\/li><li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Employee contracts<\/span><\/li><li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Salary slips<\/span><\/li><li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Proof of overseas activity within the stated period<\/span><\/li><li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Other documents that support the non-liability of SDL<\/span><\/li><\/ul>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-fa44111 elementor-widget elementor-widget-heading\" data-id=\"fa44111\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">How Can the Skills Development Levy Be Paid?\n<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-166ed23 elementor-widget elementor-widget-text-editor\" data-id=\"166ed23\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p><span style=\"font-weight: 400;\">Here&#8217;s how to ensure you pay the SDL correctly and on time.<\/span><\/p><h3><span style=\"font-weight: 400;\">Create a CPF AXS Request<\/span><\/h3><p><span style=\"font-weight: 400;\">If your company operates with less than ten employees, creating a CPF AXS request will be most convenient.<\/span><\/p><p><span style=\"font-weight: 400;\">Ensure to submit the SDL payment alongside the employees\u2019 CPF at any AXS station.<\/span><\/p><h3><span style=\"font-weight: 400;\">Send an e-submission through CPF.<\/span><\/h3><p><span style=\"font-weight: 400;\">You can also use your <\/span><a href=\"https:\/\/www.singpass.gov.sg\/home\/ui\/login\"><span style=\"font-weight: 400;\">Singpass login<\/span><\/a><span style=\"font-weight: 400;\"> to make your company&#8217;s SDL payment and submit your employees&#8217; CPF contributions.<\/span><\/p><p><span style=\"font-weight: 400;\">Remember to input SDL payables for foreign employees, as the system automatically calculates the SDL for Singapore Citizens.<\/span><\/p><h3><span style=\"font-weight: 400;\">E-payment on the SDL Website<\/span><\/h3><p><span style=\"font-weight: 400;\">If your company only hires foreign employees, paying their SDL through the official website will be easy. That&#8217;s because they don&#8217;t need CPF contributions.<\/span><\/p><p><span style=\"font-weight: 400;\">Use the e-payment option on SDL, which ensures the funds are directly transferred to the SkillsFuture Singapore Agency.<\/span><\/p><h3><span style=\"font-weight: 400;\">Cheque Payment to SDP<\/span><\/h3><p><span style=\"font-weight: 400;\">Cheque payment also applies to companies that only employ foreign workforce. When setting up the cheque transaction, don\u2019t forget to include the following information;<\/span><\/p><ul><li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Company name<\/span><\/li><li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">SDL payment period<\/span><\/li><li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Contact person and address<\/span><\/li><\/ul>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-29915c8 elementor-widget elementor-widget-heading\" data-id=\"29915c8\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">When to Pay the Skills Development Levy\n<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-ab3a692 elementor-widget elementor-widget-text-editor\" data-id=\"ab3a692\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p><span style=\"font-weight: 400;\">You&#8217;re required to make the Skills Development Levy payment before the 14th day of the following month.<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-85d2220 elementor-widget elementor-widget-heading\" data-id=\"85d2220\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">What Are the Penalties for Late Payment of the Skills Development Levy?<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-83baa11 elementor-widget elementor-widget-text-editor\" data-id=\"83baa11\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p><span style=\"font-weight: 400;\">You\u2019ll be faced with a 10%-per-year penalty on any outstanding SDL balances.<\/span><\/p><p><span style=\"font-weight: 400;\">However, if you face challenges paying the total amount of SDL, you can negotiate an installment plan. Get in touch with SkillsFuture agents through their feedback portal.<\/span><\/p><p><span style=\"font-weight: 400;\">You&#8217;ll need to give the total amount of SDL due, reasons for the outstanding SDL, and proposed instalment terms.<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-3f7866a elementor-widget elementor-widget-heading\" data-id=\"3f7866a\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">How to Always Ensure Skills Development Levy Compliance\n<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-cb41a2f elementor-widget elementor-widget-text-editor\" data-id=\"cb41a2f\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p><span style=\"font-weight: 400;\">The SkillsFuture Singapore Agency may send officials to conduct SDL-compliance audits on companies. It would be best if you were prepared with the following employee details within reach.<\/span><\/p><ul><li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Full name and Gender<\/span><\/li><li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Age<\/span><\/li><li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Physical Address<\/span><\/li><li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Identity Card Number<\/span><\/li><li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Rate and total SDL remuneration<\/span><\/li><li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Employment commencement and cessation dates<\/span><\/li><\/ul>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-6f3fc45 elementor-widget elementor-widget-heading\" data-id=\"6f3fc45\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">How to get a Refund for the Excess Skills Development Levy Paid<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-543bcd1 elementor-widget elementor-widget-text-editor\" data-id=\"543bcd1\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p><span style=\"font-weight: 400;\">The excess SDL paid will be refunded once your <\/span><a href=\"https:\/\/dashboard.gobusiness.gov.sg\/sdl\/request-refund\"><span style=\"font-weight: 400;\">refund form<\/span><\/a><span style=\"font-weight: 400;\"> is checked and approved! The\u00a0<\/span><\/p><p><span style=\"font-weight: 400;\">form asks you to fill in the refund amount, PayNow ID, and the period the excess payment was made.<\/span><\/p><p><span style=\"font-weight: 400;\">The conditions for a refund are as follows;<\/span><\/p><ul><li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">There must be solid proof of overpaid SDL within the request period.<\/span><\/li><li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Refund requests can only be allowed if the Outstanding SDL Payable section reads a negative (-) value.<\/span><\/li><li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Your records must reflect the refund period in the request. You&#8217;ll need to check the Outstanding DSL Payable section.<\/span><\/li><\/ul>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"<p>Dive into Singapore&#8217;s Skills Development Levy: Empowering workforce growth, fostering skill development. Navigate policies effectively.<\/p>\n","protected":false},"author":6,"featured_media":27175,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[97,98],"tags":[],"class_list":["post-27174","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-glossary","category-singapore-hr-terms"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v28.0 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>What is the Skills Development Levy in Singapore? for 2026<\/title>\n<meta name=\"description\" content=\"Dive into Singapore&#039;s Skills Development Levy: Empowering workforce growth, fostering skill development. 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