Monday, February 25, 2013

Budget 2013: Higher income cap, bigger payouts for WIS scheme

Budget 2013: Higher income cap, bigger payouts for WIS scheme
By Tan Qiuyi | Posted: 25 February 2013 1706 hrs
     
SINGAPORE: The Workfare Income Supplement (WIS) scheme will now cover workers earning up to S$1,900 a month. This is S$200 more than the previous cap.

About 480,000 Singaporean workers or about 30 per cent of the citizen workforce will benefit from the new cap.

Payouts will also be raised by between 25 and 50 per cent, depending on age.

The cash component will also be higher. Workers will now get 40 per cent of Workfare in cash, up from 29 per cent.

CPF contribution rates for low-income workers will also be raised to the same level as those for higher income workers.

Finance Minister Tharman Shanmugaratnam, who announced these changes in his Budget Statement on Monday, said with higher WIS payouts, even with more being paid in cash, workers will still receive more in WIS top-ups to their CPF accounts.

- CNA/fa

- wong chee tat :)

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