COVID-19: Payout for Jobs Support Scheme (JSS)

UPDATED: 18th August 2020

The Jobs Support Scheme payout will be extended for another seven months from September 2020 to March 2021.

Read also: COVID-19 Fortitude Budget: Enhancement to Jobs Support Scheme (JSS 2020)

Read also: COVID-19: 3 Key Things You Need To Know About Jobs Support Scheme JSS Payouts on 29th July and October 2020

 

 

The Jobs Support Scheme (JSS) was launched in Budget 2020 to provide wage support for employers to help them retain their local employees (Singapore Citizens and Permanent Residents) by relieving their cash flow. JSS was then further enhanced in the Resilience and Solidarity Budgets when the Covid-19 situation worsened and many businesses and jobs are faced with extreme challenges that threaten their survival

 

How Does JSS Work?

 

The Government will co-fund the first S$4,600 of gross monthly wages paid to each employee for 10 months, with the level of support varying for different sectors - 75% (Tier 1) for Aviation, Accommodation and Tourism sectors, 50% (Tier 2) for Food & Beverage sector, and 25% (Tier 3) for all other sectors. (**UPDATED: JSS now includes shareholders-directors with Assessable Income of S$100,000 or less for Year of Assessment 2019. They will be qualified for May 2020 and subsequent JSS payouts. The May 2020 payout will also include back-payment for these qualifying shareholders-directors whose wages were excluded from the first JSS payout in April. On 26th May during the Fortitude Budget Deputy Prime Minister Heng Swee Keat announced that JSS will be extended for another month for all firms. This will be computed based on the wages paid in August, and will be paid out together in the October JSS payout.)

 

 

*Post-circuit breaker, the 75% wage support will continue until firms are allowed to resume operations, or until August 2020, whichever is earlier. Following which, the level of wage support will revert to the base tier. Pro-ration will be applied if operations resume in the middle of the month, i.e. an employer that resumes operations on 5th July 2020 will continue to receive 75% wage support for the first 4 days of July, and its base tier of support thereafter.

 

 

Only for the month of April 2020 (**UPDATED: for the months of April and May 2020), all firms will receive a wage subsidy of 75% of gross monthly wages on the first S$4,600 of wages paid during the “Circuit Breaker” period for each local employee. 

 

All employers will qualify for the payout as long as CPF contributions for local employees are made.

 

To find out your eligibility on which tier of co-funding, please enquire via JSS Additional Tier eligibility, or call 1800-352-4728 (8am to 5pm from Monday to Friday).

 

When Will Employers Receive The JSS Payout?

 

Employers will start to receive the JSS payouts in four tranches - April, May, July and October 2020. The first payout in April will be computed based on the wages paid in October, November and December 2019, and CPF contributions must be made by 14 February 2020. The first payout will also include the top-up to 75% wage support for April 2020 wages, computed based on October 2019 wages.

 

The Special May 2020 payout will be computed based on November 2019 wages.

 

The third payout on July 2020 is based on wages paid from February to April 2020, with CPF contributions made by 14 May 2020. 

 

And the fourth payout on October 2020 will be based on wages paid from May to August 2020, with CPF contributions made by 14 September 2020. 

 

The July 2020 and October 2020 payouts will be adjusted to account for the difference between April 2020 and October 2019 wages, and May 2020 and November 2019 wages respectively. The table below shows examples of the JSS payouts under different scenarios:  

 

 Month of Payout   Payout Details    Tier 1
Aviation and Tourism 
Tier 2
Food services 
Tier 3
Others
 
Computation of Payout

Capped at first $4,600 of gross monthly wages
Based on:

Apr 2020   Payout 1 + 75% of Oct 2019 wages
+ 75% of Nov 2019 wages
+ 75% of Dec 2019 wages

+ 50% of Oct 2019 wages
+ 50% of Nov 2019 wages
+ 50% of Dec 2019 wages

+ 25% of Oct 2019 wages
+ 25% of Nov 2019 wages
+ 25% of Dec 2019 wages

Top-up as advance for Apr 2020 wages   + 25% of Oct 2019 wages + 50% of Oct 2019 wages
May 2020 Advance for May 2020 wages  + 75% of Nov 2019 wages + 75% of Nov 2019 wages + 75% of Nov 2019 wage
Jul 2020 Payout 2

+ 75% of Feb 2020 wages
+ 75% of Mar 2020 wages
+ 75% of Apr 2020 wages

+ 50% of Feb 2020 wages

+ 50% of Mar 2020 wages
+ 75% of Apr 2020 wages

+ 25% of Feb 2020 wages

+ 25% of Mar 2020 wages
+ 75% of Apr 2020 wages

Adjustment for Apr 2020 advance   – 25% of Oct 2019 wages1 – 50% of Oct 2019 wages1

 

Oct 2020 Payout 3

+ 75% of May 2020 wages
+ 75% of Jun 2020 wages
+ 75% of Jul 2020 wages 

+75% of Aug 2020 wages

+ 75% of May 2020 wages

+ 50% of Jun 2020 wages
+ 50% of Jul 2020 wages

+ 50% of Aug 2020 wages

+ 75% of May 2020 wages

+ 25% of Jun 2020 wages
+ 25% of Jul 2020 wages

+ 25% of Aug 2020 wages

Adjustment for May 2020 advance

– 75% of Nov 2019 wages2  

75% of Nov 2019 wages2 – 75% of Nov 2019 wages2

 

 

Source:https://www.iras.gov.sg/irashome/Schemes/Businesses/Jobs-Support-Scheme--JSS-/


However, do note that if you have reduced your worker’s wages, retrenched your worker or put your worker on no-pay leave during this period, this will affect the amount of wage subsidies you receive.

 

There is no need to apply for JSS. The Inland Revenue Authority of Singapore (IRAS) will notify eligible employers by post of the tier of support and the amount of JSS payout payable to you.

 

You can also check out the important Government forms that we have collated.

 


Read also:
5 Government Initiatives for SMEs Hiring Local Workers 2020

Read also: Productivity Solutions Grant (PSG): Singtel × MacBook Laptop Bundle
 

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