Just End of Financial Year Things

Its only March tho

As the financial year draws to a close for some and we start filing our income taxes, many employees may wonder what implications it has for them. The end of the financial year marks the end of a 12-month financial cycle and is typically on March or June 30th. Here are some things employees should know about the end of the financial year.

Income Tax

The end of the financial year is an important time for income tax in Singapore. Employees should ensure that their income tax returns are filed accurately and on time to avoid any penalties or issues with the Inland Revenue Authority of Singapore (IRAS). It's also a good time to review any tax deductions or reliefs that may be applicable to you.

Central Provident Fund (CPF)

The end of the financial year also means that employers are required to make CPF contributions on behalf of their employees. These contributions are based on a percentage of the employee's monthly salary and are paid into their CPF account. Employees should check their CPF statements to ensure that all contributions have been made correctly.

Performance Appraisals and Bonuses

Many companies in Singapore conduct performance appraisals and offer bonuses at the end of the financial year. These appraisals may determine promotions, salary increments, and bonuses. Employees should review their performance objectives and ensure that they have met or exceeded them to maximize their chances of receiving a bonus.

Annual Leave Entitlements

Employees in Singapore are entitled to a certain number of annual leave days per year. Any unused leave days at the end of the financial year may be carried over to the following year, subject to the company's policy. It's important to review your company's leave policy and plan your leave days accordingly.

Employee Benefits

The end of the financial year is also a good time to review your employee benefits, such as medical insurance and retirement plans. Employees should ensure that their benefits are up-to-date and that they are taking advantage of any tax relief or deductions that may be applicable.

Financial Planning

The end of the financial year is an excellent time to review your personal finances and plan for the upcoming year. This includes reviewing your budget, setting financial goals, and investing in a tax-efficient manner. Consider meeting with a financial advisor to help you create a comprehensive plan and make informed decisions about your finances.

In conclusion, the end of the financial year can have significant implications for employees in Singapore. Income tax, CPF contributions, performance appraisals and bonuses, annual leave entitlements, employee benefits, and financial planning are all important considerations. Employees should take the time to review their financial situation, organize their documents, and seek advice if needed. By doing so, they can ensure they are making informed decisions and maximizing their financial potential.

VICTORIA NG | Contributing Writer

Victoria, a.k.a Vicky is a creative freelancer who hails from Singapore, she loves to ‘vibe’ on the internet and pretty much prefers cats over humans. She has a fondness for things that carry an air of nostalgia and enjoys cafe hopping on weekends. Her current struggle is trying to spend less time on Tiktok, she can hear the “ting ting ting dang ting” song in her ears. She hopes to own a corgi someday.