CDAC/ECF/MBMF/SINDA: How Much Employers Are Contributing To Self-Help Groups For Employees In Singapore

When employers make CPF contributions for their employees, you are required to make 3 types of payment: 1) pay both the employer and employee CPF contributions, 2) pay the Skills Development Levy (SDL), and 3) contribute to the employee’s respective Self-Help Group (SHG).

Of course, the employer and employee CPF contributions go into the employee’s CPF account, while CPF only acts as the collection agent for the Skills Development Levy (SDL) on behalf of SkillsFuture Singapore (SSG) and Self-Help Group (SHG) contributions on behalf of the respective SHGs.

Read Also: Complete Guide To Employer’s CPF Contributions In Singapore

How To Pay For Your Employees SHG Contributions?

Employers are expected to deduct the Self-Help Group (SHG) contributions from their employee’s wages, to make the payment when contributing to your employees’ CPF accounts.

Employers are required to request for their employee’s race/religion, so that the deductions are paid to the correct Self-Help Group (SHG).

You can treat such deductions in the same manner as employee CPF contributions that you deduct from their wages to contribute to their CPF account, before paying their salaries.

What Are The Self-Help Groups For?

There are four Self-Help Groups (SHGs), and employees of the four different races in Singapore contribute to their respective SHGs:

  • Chinese Development Assistance Council (CDAC) fund – for Chinese employees
  • Euroasian Community Fund (ECF) – for Eurasian employees
  • Mosque Building and Mendaki Fund (MBMF) – for Muslim employees
  • Singapore Indian Development Association (SINDA) – for Indian employees

Contributions to Self-Help Groups are used to uplift the less privileged and low income households in Singapore. The government has also mentioned in the past that SHGs “play a critical and irreplaceable role in complementing the government’s efforts to enhance social mobility”. 

While it may seem like the Self-Help Groups (SHGs) run in silos and only aid the individual races, this may not always be the case. For example, Vibrance@Yishun Self-Help Groups Centre is a collaboration between the four SHGs, and organises programmes to serve all ethnic groups. 

How Much Are The Contributions To The Self-Help Groups?

Interestingly, employees of different races have to contribute different amounts based on their salaries.

As you will see in the tables below, Chinese employees seem to contribute the least, while other races seem to contribute much more. Muslim employees seem to contribute the most, and Indian employees earning more than $15,000 contribute the most. 

Chinese Employees’ Monthly Total WagesMonthly Contributions
$2,000 or less$0.50
Above $2,000 to $3,500$1.00
Above $3,500 to $5,000$1.50
Above $5,000 to $7,500$2.00
Above $7,500$3.00

Source: CPF

Eurasian Employees’ Monthly Total WagesMonthly Contributions
$1,000 or less$2.00
Above $1,000 to $1,500$4.00
Above $1,500 to $2,500$6.00
Above $2,500 to $4,000$9.00
Above $4,000 to $7,000$12.00
Above $7,000 to $10,000$16.00
Above $10,000$20.00

Source: CPF

Muslim Employees’ Monthly Total WagesMonthly Contributions
$1,000 or less$3.00
Above $1,000 to $2,000$4.50
Above $2,000 to $3,000$6.50
Above $3,000 to $4,000$15.00
Above $4,000 to $6,000$19.50
Above $6,000 to $8,000$22.00
Above $8,000 to $10,000$24.00
Above $10,000$20.00

Source: CPF

Indian Employees’ Monthly Total WagesMonthly Contributions
$1,000 or less$1.00
Above $1,000 to $1,500$3.00
Above $1,500 to $2,500$5.00
Above $2,500 to $4,500$7.00
Above $4,500 to $7,500$9.00
Above $7,500 to $10,000$22.00
Above $8,000 to $10,000$12.00
Above $10,000 to $15,000$18.00
Above $15,000$30.00

Source: CPF

While these are the standard contribution amounts, your employees can contribute a different amount (more, less or nothing) to their respective Self-Help Groups (SHGs). They need to do so by obtaining the relevant forms from their SHG.

In multiracial Singapore, some of your employees may also have “double-barrelled” race, like Indian-Chinese. In such instances, employers are to take the first displayed race as their NRIC race to contributions to Self-Help Groups.

Such employees can choose to contribute to either or both funds by contacting the relevant Self-Help Groups.

Read Also: Skills Development Levy: What Is It And How Much Do Companies Need To Pay?

How To Stop Contributions To Self-Help Groups (SHGs)

If your employee wants to stop contributing to their Self-Help Group, they need to contact their respective SHG to do so.

What Is SHARE?

Apart from Self-Help Groups (SHGs), employees can also voluntarily donate to the Social Help and Assistance Raised by Employees (SHARE) through deductions from their wages. Similar to contributions for SHGs, the CPF Board also collects donations for SHARE on behalf of the Community Chest, a division of the National Council of Social Service.

Contributions to SHARE support children with special needs and youths-at-risk, people with disability, frail and lonely elderly and families facing difficulties.

How To Contact The Self Help Groups (SHGs)?

If you need to contact the Self-Help Groups (SHGs) or SHARE, here their contact details:

Chinese Development Assistance Council (CDAC)

CDAC Building

65 Tanjong Katong Road

Singapore 436957

Website: http://www.cdac.org.sg/

The Eurasian Association, Singapore (EA)

Eurasian Community House

139 Ceylon Road

Singapore 429744

Website: http://www.eurasians.org.sg/

Majlis Ugama Islam Singapura (Muis)

Singapore Islamic Hub

273 Braddell Road

Singapore 579702

Website: http://www.muis.gov.sg/

Singapore Indian Development Association (SINDA)

1 Beatty Road

Singapore 209943

Website: http://www.sinda.org.sg

SHARE Programme

Community Chest

National Council of Social Service (NCSS)

Ulu Pandan Community Building

170 Ghim Moh

#01-02

Singapore 279621

Website: www.comchest.sg

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