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Government Assistance - Grants

Home > Government > Government Assistance > Grants > Cash Rebates > SME Rebate Scheme
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SME Rebate Scheme
Get cash rebates to adjust to increased labour expenses due to higher CPF contribution rates.

For who?

  • All Singapore-registered companies, sole-proprietors and partnerships which are small and medium enterprises (SMEs).

  • Your business qualifies as a SME if:

    • your fixed assets are worth S$0 - S$15M*
    • you have 0 - 200 employees (for non-manufacturing companies)*

*Computed on a group basis. Where 20% - 100% of your shares are owned by companies, the total value of your fixed assets and employees is calculated three levels up. Where your company owns 51% - 100% of another company (subsidiary), your subsidiary's fixed assets and employees will also be added to the computation.

For what?

  • To help SMEs adjust to rising costs due to the increase in Central Provident Fund (CPF) employer contributions.

How much?

  • The rebates are pegged to the total employer and employee contributions made by the SME to CPF Board over two years between 1 July 2007 and 30 June 2009.

    First Year: 1 July 2007 - 30 June 2008
    Total CPF Contribution Made In The First Year Amount Of Cash Rebate
    First S$40,000 2% of the total CPF contribution, up to a maximum of S$800
    Next S$40,000 1% of the total CPF contribution, up to a maximum of S$400

    Second Year: 1 July 2008 - 30 June 2009
    Total CPF Contribution Made In The First Year Amount Of Cash Rebate
    First S$40,000 1% of the total CPF contribution, up to a maximum of S$400
    Next S$40,000 0.5% of the total CPF contribution, up to a maximum of S$200

Things to note

  • There are two periods for applications:

    1 July 2007 – 31 July 2008
    If you apply during this period, you will qualify for the rebates for both years. You do not need to re-apply for the second year.

    1 August 2008 – 31 July 2009
    If you apply during this period, you will qualify for the rebates for the second year only.

  • Any changes in your business’ fixed asset investment (FAI) or number of employees after the application has been submitted will not disqualify you from receiving rebates. The CPF Board evaluates your application based on the FAI and number of employees you have at the point of application.

  • The CPF Board reserves the right to audit declarations submitted. Businesses that make false or misleading declarations can be charged under the Penal Code. The Board may also withhold/recover rebates received by the business.

For more info

SME Rebate Scheme
Central Provident Fund (CPF) Board