Why did I receive a refund of excess CPF contributions paid to my employee(s) without applying for a refund?
From February 2024, CPF contributions paid in excess of the CPF Annual Limit will be automatically refunded to the employer’s bank account under the Direct Debit arrangement maintained with CPF Board. For excess CPF contributions paid in 2023, they will be refunded in 2024.
The CPF Board will notify both the employer and the employee on the refund details after the transaction is processed. You are required to refund the employee’s share of excess contributions, if any, directly to your employee.
As employers, you are required to ensure accurate CPF contributions up to the CPF Annual Limit per year for each employee by applying the Ordinary Wage (OW) ceiling and Additional Wage (AW) ceiling.
