In accordance to the Employment Act, your employer must pay your salary at least once a month and within 7 days after the end of the salary period. There are exceptions for overtime, resignation without notice and other situations.
What is salary
Salary refers to remuneration, including allowances, paid for work done under a contract of service.
It does not include:
- The value of accommodation, utilities or other amenities.
- Pension or provident fund contribution paid by the employer.
- Travelling allowance.
- Payments for expenses incurred during work.
- Gratuity payable on discharge or retirement.
- Retrenchment benefits.
Singapore does not have a minimum wage. Your salary is subject to negotiation and agreement between your employer and you or your trade union.
How often salary must be paid
If you are covered by the Employment Act, your employer must pay your salary at least once a month.
They can also pay it at shorter intervals if they choose.
Salary must be paid:
- Within 7 days after the end of the salary period
- For overtime work, within 14 days after the end of the salary period
Your final salary payment could vary depending on the following situations:
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In this situation
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Your final salary must be paid
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Employee resigns and serves the required notice period
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On the last day of employment.
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Employee resigns and does not serve the notice period
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Within 7 days of the last day of employment.
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Dismissal on grounds of misconduct
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On the last day of employment.
If this is not possible, then within 3 working days from date of dismissal.
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Employer terminates the contract
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On the last day of employment.
If this is not possible, then within 3 working days from date of termination.
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- If your contract involves commission, how and when the commission is paid depends on what is in your employment contract or existing policies or practices.
- If you’re a foreign employee who is leaving your employment, your employer is required to withhold all your monies due to you for tax clearance for up to 30 days upon giving notice of the cessation of your employment to the Comptroller of Income Tax. The monies include your salary, leave pay, etc.
How salary should be paid
Salary should be paid:
- On a working day, during working hours.
- At your place of work, or any other place you and your employer have agreed on.
Payment can be made:
- Directly into your bank account.
- By cheque. The cheque needs to be cleared by your bank before you’re considered paid.
Itemised pay slips
From 1 April 2016, all employers must issue itemised pay slips to employees covered by the Employment Act.
Salary records
From 1 April 2016, employers must keep detailed employment records, including salary records, of employees covered by the Employment Act.
If you are paid late or not paid salary
Non-payment of salary is an offence.
Your employer must pay your salary on time.
If you are not paid on time, approach your employer to understand if there are reasons for the late payment, and whether the regular payment schedule can be resumed.
If you do not receive your salary, you can file an employment-related claim at the Tripartite Alliance for Dispute Management (TADM), or approach your union for assistance.
File your claim early – don’t wait for the amount to accumulate. There are limits to the claim amount and timeline for filing.