What is the foreign worker levy
The foreign worker levy, commonly known as “levy”, is a pricing mechanism to regulate the number of foreign workers in Singapore.
As an employer, you don’t have to pay Central Provident Fund (CPF) contributions for your helper. However, you must pay a monthly levy for her.
If your helper is a first-time FDW, the levy will begin on the
5th day of her arrival (including the arrival date). Otherwise, the levy will begin the next day after she arrives.
The levy ends when the Work Permit is cancelled or expires.
The levy rate for FDWs is as follows:
Type of levy
- Daily levy rate applies only to workers who did not complete a full calendar month. The daily levy rate is calculated as follows: (Monthly levy rate x 12) / 365 = rounding up to the nearest cent.
- The concessionary rate applies to families with a young child, elderly member or person with disability. Find out if you qualify for levy concession.
When and how to pay the levy
You must pay the levy via General Interbank Recurring Order (GIRO).
If you don’t have a GIRO account, apply for one using the GIRO application form.
You can check your application status and start date of your GIRO deduction one month after your GIRO application.
|After GIRO is approved
- The levy for each month will be deducted from your bank account on the 17th of the following month (or the next working day if it falls on a weekend or public holiday).
- You should maintain enough funds in your account before the deduction date.
The levy for January 2017 will be deducted on 17 February 2017.
|If you need to pay levy using other methods
You must pay the levy for each month by the 14th of the following month.
Note: It takes longer for us to process your payment when you pay using other methods.
View levy bills online
You can view your latest levy bill on the 6th of every month using Check and pay levy. You can log in using your SingPass.
Penalties for not paying levy
If you don’t pay the full levy on time, you may face the following penalties:
- You will be charged a late payment penalty of 2% per month or $20, whichever is higher, for late payment.
- Your helper’s Work Permit will be revoked.
- You won’t be allowed to apply for or issue a new Work Permit, or renew an existing Work Permit.
- You may face legal action to recover the unpaid levy.