Here’s what’s typically covered, and what to expect if you’re considering it.
What’s Included
- Salary calculation: computing gross pay, deductions, and net pay for every employee each cycle
- CPF contributions: calculating and submitting employer and employee CPF contributions correctly and on time
- Statutory filings: IR8A submissions, SDL contributions, and other mandatory reporting to relevant authorities
- Payslip generation: issuing accurate, compliant payslips to employees each pay cycle
- Leave and claims tracking: reconciling annual leave, medical leave, and expense claims against payroll where needed
Many companies bundle this with related checks during onboarding, such as reference checks, so new hires are verified and set up on payroll at the same time.
Who Handles CPF Contributions
When payroll is outsourced, the provider calculates and processes CPF contributions on the company’s behalf, but the employer remains legally responsible for ensuring contributions are accurate and submitted on time. A good payroll partner keeps this compliant automatically, adjusting for rate changes and contribution caps without the company needing to track them manually.
Why Companies Outsource This
Payroll errors are costly, both financially and in employee trust. A late or incorrect payslip is one of the fastest ways to damage morale, and CPF or tax filing mistakes can trigger penalties. For a company without a dedicated payroll specialist, outsourcing removes that risk while freeing up time that would otherwise go into manual calculations and compliance tracking every month.
To find out how Celecti’s payroll and HR administration services work, get in touch with our team.