Minimize your total tax burden as a Singapore company founder. This calculator works out the combined impact of corporate tax, personal income tax, and CPF for any salary/dividend combination — then suggests the optimal split.
Singapore companies pay a flat 17% corporate tax on chargeable income. New companies (first 3 years, SUTE) get 75% exempt on the first S$100K and 50% on the next S$100K. All companies get PTE: 75% exempt on first S$10K and 50% on next S$190K.
Singapore residents pay 0% on the first S$20,000, scaling to 22% above S$320,000 (YA 2025). Non-residents pay a flat 15% or resident rates — whichever is higher. Dividends from Singapore companies are fully tax-exempt in the hands of the recipient.
CPF applies only to salary — not to dividends. Employee CPF is 20% and employer CPF is 17%, both capped at the ordinary wage ceiling (S$7,400/month = S$88,800/year). Employer CPF is a company cost that reduces chargeable income. Employee CPF goes to your retirement account.
Higher salary increases CPF contributions (which reduce company tax slightly) but attracts personal income tax. Dividends are tax-free personally but first taxed at the company level at 17%. The sweet spot depends on your total income and tax residency status.