Understanding the Workfare Income Supplement (WIS) in Singapore
The Workfare Income Supplement (WIS) is a crucial government initiative in Singapore designed to provide financial support to lower-income working citizens. This article comprehensively answers frequently asked questions regarding WIS payouts, eligibility, and other important details.
When and How Much Will I Receive My WIS Payout?
The WIS payout schedule and amount depend on your age, income, and employment status (employee or self-employed).
Payment Schedule
- WIS payouts for employees are made monthly, with a two-month delay. For instance, the payout for January's work will be received at the end of March.
- Self-employed individuals receive their WIS payout annually, typically after their income declaration and MediSave contributions are processed.
Payment Amounts
Updated rates effective from 1 November 2024:
- Full-Time Worker Hourly Rates: Increased to S$1,600 per month.
- Maximum Hourly Wage: Increased to S$10 per hour.
- Age-Dependent Payouts:
- Workers aged 35–44: Increased payouts starting from 1 November 2024.
- Workers aged 45-59: Up to S$3,600 annually.
- Workers aged 60 and above, or persons with disabilities: Up to S$4,200 annually.
- Workers aged 35-44: Up to S$3,000 annually.
Use the benefit calculator on the Singapore Government Portal to estimate your payout.
Eligibility and Calculation
- For employees, eligibility is automatically assessed by the CPF Board based on your employer’s CPF contributions.
- For self-employed individuals, you must declare your income and make necessary MediSave contributions to receive your annual WIS payout.
What is the Workfare Income Supplement (WIS) Scheme?
The WIS scheme aims to support lower-income workers by supplementing their income and boosting their Central Provident Fund (CPF) savings. This helps improve their financial security now and for retirement.
Purpose and Benefits
- Encourages continued work among lower-income earners.
- Builds up CPF savings for retirement, housing, and healthcare.
- Provides cash payouts and CPF contributions.
Eligibility Criteria
Employees
- Singapore Citizen
- Average monthly income not exceeding $2,300
- Eligibility automatically assessed by the CPF Board
Self-Employed Persons (SEPs)
- Singapore Citizen
- 35 years old or above on 31 December of the work year (all persons with disabilities are eligible regardless of age)
- Declared net trade income and made MediSave contributions
- Average monthly income not exceeding $2,300
- Does not live in a property with an annual value exceeding $13,000, or own two or more properties (including joint ownership with a spouse), or have a spouse with an assessable income exceeding $70,000 in the preceding Year of Assessment
Platform Workers
Platform workers are eligible; they receive 10% of their WIS in cash and 90% in their MediSave account.
Exclusions
- Individuals living in properties with an annual value exceeding $13,000.
- Individuals owning two or more properties.
- Individuals with a spouse whose assessable income exceeds $70,000.
Payment Schedule
Employees receive monthly payouts; self-employed persons receive annual payouts.
How Can I Check My Eligibility for WIS?
To determine your eligibility, you must meet specific criteria based on your employment status.
General Eligibility Criteria
- Citizenship: You must be a Singapore Citizen.
- Age: You must be at least 30 years old as of 31 December of the work year, or be a person with disabilities.
Income Criteria
- Employees and Self-Employed: Earn an average monthly income of at least $500 but not more than $2,500 (this cap will increase to $3,000 from Work Year 2025 for platform workers).
Property and Spouse Income Criteria
- Property Ownership: Live in a property with an annual value of $21,000 or below, and own not more than one property. If married, you and your spouse together must not own more than one property.
- Spouse's Income: If married, your spouse's assessable income must not exceed $70,000 for the preceding Year of Assessment.
How to Check Eligibility
- Employees: Eligibility is automatically assessed based on your employer's CPF contributions.
- Self-Employed and Platform Workers: Ensure you've declared your income and made necessary MediSave contributions. Check the CPF Board's website or use the WIS calculator.
What Are the Income Criteria for Receiving Workfare Payments?
Income Criteria
- Employees: Gross monthly income of at least $500 but not more than $2,500 (increasing to $3,000 from January 1, 2025).
- Self-Employed Individuals: Average monthly income of at least $500 but not more than $2,500 from net trade income (increasing to $3,000 from January 1, 2025).
Additional Requirements
- Singapore Citizen and at least 30 years old (or any age if a person with a disability).
- Live in a property with an annual value of $21,000 or below, and own not more than one property. If married, the same applies to your spouse, and their assessable income must not exceed $70,000.
Special Considerations
- Persons with disabilities are eligible for the highest WIS payout regardless of age.
- Platform workers have similar eligibility criteria, with the income cap increasing to $3,000 from January 1, 2025.
How Do I Update My Bank Account Details for Workfare Payouts?
Update your bank account details using your Singpass to access and update your registered bank account details. Alternatively, link your NRIC to PayNow for seamless payments.
Ensure your bank account is linked to your NRIC number and is a personal or joint account with one of the three local banking groups (DBS/POSB, OCBC, UOB).
Can I Receive Workfare If I Work Part-Time or Have Multiple Jobs?
Yes, you can still be eligible if you meet the criteria. Your total gross monthly income from all jobs will be considered. If it exceeds the eligibility cap (currently $2,500, increasing to $3,000 in 2025), you will not be eligible.
What Should I Do If I Haven't Received My Workfare Payout?
First, check your account details and payment dates. Then, contact the relevant government authorities through official portals or contact numbers if needed. Use official portals like workfare.gov.sg or govpayouts.gov.sg to check your payment status.
Can Self-Employed Persons Receive the Workfare Income Supplement?
Yes, provided they meet the specific eligibility criteria outlined previously.
How Often Are Workfare Payments Made?
Payments are monthly for employees and annually for self-employed individuals. Special payments may have different schedules.
Do I Need to Apply for Workfare?
No, eligibility is automatically assessed for employees based on CPF contributions. Self-employed individuals need to declare their income and make MediSave contributions, but no separate application is needed.
Conclusion
The Workfare Income Supplement plays a vital role in supporting lower-income workers in Singapore. By understanding the eligibility criteria and payment schedules, you can effectively utilize this government initiative to improve your financial well-being.
