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Declarations for Final Portion of Workfare Bonus Scheme to Begin on 1 February 2007
Tuesday, 30 January 2007 11:09

The WBS gives a cash bonus to older, low wage Singaporean workers to reward regular and productive work. The first portion was paid in 2006 to reward work done in 2005. More than 340,000 low wage workers have received a total of about $157 million. The second and final portion of the WBS (WBS 2007) will be paid in 2007 for work done in 2006.

Timelines

The Workfare Bonus 2007 will be paid on 1 May 2007 to

:a) employees with CPF contributions.

b)  self-employed persons who declare their net trade income in their Tax Returns by 1 April 2007. Late submissions will result in delayed payment of the bonus. The last day for declaring net trade income in order to qualify for WBS 2007 is 30 June 2007.

c) workers without CPF contributions and Income Tax Returns who declare their incomes at 31 designated community centres/clubs and 5 CPF service centres by 1 April 2007. Late submissions will result in delayed payment of the bonus. The last day for declaring income in order to qualify for WBS 2007 is 30 June 2007.

Additional requirements for workers without CPF and tax returns

3.   Workers who do not have CPF contributions and who have not received an Income Tax Return by 1 March 2007 will have to declare their income using the Revised Workfare Bonus Income Declaration Form by 30 June 2007. Applicants will now be required to furnish more details as proof of work done. Information required will include the type of work, the name of their employer, and the employer's address and telephone number.

More informationDetails on the eligibility criteria, sign-up procedures, amount and payment of the bonus may be found in Annex A as well as at the Progress Package website

Queries can also be addressed to CPF Board via any of the following channels:

  • Email at This e-mail address is being protected from spambots. You need JavaScript enabled to view it ;
  • Hotline at 1800-2222-888; and Service staff at any CPF Service Centre, or selected Community Centre/Club.  Annex AFACT SHEET ON WORKFARE BONUS SCHEME (WBS) 2007
  • Eligibility for WBS 2007
  • To qualify for WBS 2007, one must:
  • Be a Singapore Citizen;
  • Be aged 40 and above as at 31 December 2006;
  •  Live in a property with an Annual Value of $10,000 or less as at 31 December 20061;
  • Be employed or self-employed, and worked for at least six months in calendar year 2006; and
  • Have earned an average monthly income of $1,500 or less in calendar year 2006.
  •  Workers must also have signed up for the Progress Package in 2006 in order to receive their bonus, as WBS 2007 is part of the Progress Package.Amount of Bonus2.   The amount of Workfare Bonus is based on the worker's average monthly income for the period worked in the year.
Average Monthly IncomeBonus to be paid* 
$400 and below1.5 months salary, or $75, whichever is higher
Above $400 to $900$600
Above $900 to $1,200$400
Above $1,200 to $1,500$200

 90% of the bonus will be paid in cash. The remaining 10% of the bonus will go into the recipient's CPF Medisave Account to help build up savings for healthcare needs.

See Annex B for examples.

Assessment of Eligibility and Signup Procedures

For employees, income will be verified based on their CPF contribution records. Under the CPF Act, employers must make CPF contributions on behalf of their employees if they earn more than $50 monthly. No application or declaration of income is necessary for employees to get the Workfare Bonus. They will receive their Workfare Bonus on 1 May 2007.For the self-employed, they will be assessed based on their income tax declaration to IRAS. They should receive their Income Tax Return by 1 March 2007.

If they declare their net trade income by 1 April 2007, they will get their Workfare Bonus on 1 May 2007. Late submissions will result in delayed payment of the bonus. The closing date for declaring net trade income in order to qualify for WBS 2007 is 30 June 2007.

Those who work but do not have CPF contributions and have not received an Income Tax Return by 1 March 2007 can apply for the Bonus by declaring their income using the Workfare Bonus Income Declaration Form. They should submit the form by 1 April 2007 in order to receive their Workfare Bonus on 1 May 2007. Late submissions will result in delayed payment of the bonus.  The form will be available at 31 selected Community Centres/Clubs, and all 5 CPF Service Centres from 1 February 2007 to 1 April 2007. After 1 April, the forms will only be available at CPF Service Centres. (Please see Annex C for the selected Community Centres/Clubs and CPF Service Centres.) The last day for declaring income for WBS 2007 is 30 June 2007.

NotificationE

mployees with CPF contributions who are eligible for WBS 2007 will receive a letter before 1 May 2007 to inform them of the Workfare Bonus that they have been allotted.  The self-employed and those who work but who do not have CPF contributions and have not received an Income Tax Return will also be informed by post before 1 May 2007 of the Workfare Bonus they have been allotted, if they have declared their income by 1 April 2007.

Payment of the Workfare Bonus

Payment of the Workfare Bonus will be made through direct bank credit or cheque, in accordance with how the worker had selected in 2006 to receive his Progress Package monies.

 

 
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