1. Osome Blog Singapore
  2. A Quick Guide to Wage and Rental Support for SMEs in P3HA

A Quick Guide to Wage and Rental Support for SMEs in P3HA

Author Melissa YeoMelissa Yeo

3 min read
Government Grant

The Singapore Government has introduced measures to help businesses cushion the impact of the pandemic, including more salary support for affected firms to retain employees, one-off payments for rental relief and individuals for Phase 3 (Heightened Alert).

A Quick Guide to Wage and Rental Support for SMEs in P3HA

Although Singapore has adjusted its reopening plans as it gradually returns to Phase 3 (Heightened Alert) as of 21 June 2021, many companies registered in Singapore were affected by the COVID-19 restrictions that were in place under Phase 2 (Heightened Alert).

However, the Singapore Government has introduced measures to help businesses cushion the impact of the pandemic, including more salary support for affected firms to retain employees, one-off payments for rental relief and individuals.

This is what you need to know.

Updates in Wage Subsidies

Under the Jobs Support Scheme (JSS), wage subsidies will be enhanced. This scheme helps support employers in salary for each local employee's first $4,600 of their gross monthly wages.

To offset and cushion local workers’ wages for sectors that have been affected by Phase 2 (Heightened Alert) measures, enhanced JSS support will be extended to the following sectors  from 16 May to 25 Jul 2021:

Sectors with enhanced JSS support Support measures for Phase 2 and 3 (Heightened Alert) 14 Jun - 20 Jun Enhanced JSS support for 21 Jun - 11 Jul Enhanced JSS support for 12 Jul - 25 Jul
Sectors that were closed or sectors with further safe management measures implemented, including:
  • Gyms and sports facilities
  • Food & beverage (F&B industry)
  • Performing arts and arts education
  • Affected personal care services*
50% 50% 10%
Sectors that were significantly affected, including:
  • Eligible retail outlets, excluding online retailers, convenience stores and supermarkets
  • Cinema operators
  • Museums, art galleries, historical sites
  • Family entertainment centres
30% 30%

*Personal care services are allowed to resume their full operations from 14 Jun onwards, and are eligible for 30% enhanced JSS till 20 Jun and 10% from 21 to 31 Jun, before reverting to the original JSS scheme. In the event that there are no further changes, JSS support levels will resume with its original schedule from 26 July.

The payouts for these enhancements will be disbursed from September 2021. Since JSS payouts are meant to offset and safeguard local workers’ wages, employers who place local workers on compulsory no-pay leave or retrench them will not be eligible for the enhanced JSS payouts for those workers.

Updates in Rental Relief

Eligible Small and medium-sized enterprises (SMEs), as well as non-profit organisations (NPOs) will be granted one month of rental relief, applicable for those with an annual revenue of below $100 million which are tenant-occupiers of certain commercial properties.

Coffeeshop stall holders and hawkers who are tenants of government agencies will also receive  a one-month rental waiver.

Privately-owned commercial properties can benefit from a new scheme known as the Rental Support Scheme, where the Inland Revenue Authority of Singapore (IRAS) will disburse half a month of rental relief cash payout to eligible tenants.

Depending on the latest contractual gross rent between 14 May to 29 May, this payout will be handed out from mid August.

Property owners who operate an SME or NPO on their personal property can also qualify for the cash payout based on the property’s Annual Value (or part of) for Year 2021 as at 14 May 2021.

Most eligible owner-occupiers and tenants will get the cash payout automatically without having to submit an application. However, tenants who rent part of a property or a mixed-use property (i.e. shophouse for both residential and retail use) will not be handed the cash payout automatically. These businesses will have to apply through an application to IRAS with supporting documents, which can be done here.

Need Additional Support?

Focus your energy on growing your business, so your company can emerge stronger. Leave your accounting woes to us, because we know that preparing financial statements yourself is a pain in the neck. We do affordable online accounting for busy founders, with a human expert who has your back and work alongside you to ensure your business prospers while being compliant.

Share this post:
Subscribe

Tips to run your business smarter. Delivered to you monthly.

By clicking, you agree to our Terms & Conditions , Privacy and Data Protection Policy

Related Articles

Wage Support & Rental Relief for Businesses in Singapore’s Stabilisation Phase
Government Grant

Wage Support & Rental Relief for Businesses in Singapore’s Stabilisation Phase

Tighter COVID-19 restrictions will be implemented from 27 September to 21 November 2021. Find out what support SG companies can receive from this Stabilisation Phase.

·3 min read
Phase 2 Heightened Alert Support Package for SMEs (July to August 2021)
Government Grant

Phase 2 Heightened Alert Support Package for SMEs (July to August 2021)

From 22 July 2021, Singapore has reverted to Phase 2 (Heightened Alert). Fortunately, the Singapore Government will be cushioning the impacts of the harsher COVID-19 restrictions with a $1.1 billion support package.

·4 min read
SG Govt Will Extend Loans for SMEs by 6 Months as Part of Heightened Alert Support Measures
Government Grant

SG Govt Will Extend Loans for SMEs by 6 Months as Part of Heightened Alert Support Measures

Singapore's Phase 2 and 3 periods of heightened alert have undoubtedly affected many businesses, especially Small- and Medium-sized Enterprises (SMEs). As such, Finance Minister Lawrence Wong has announced additional support measures for these Singapore-registered companies on 5 Jul 2021.

·3 min read
SMEs Can Apply for Relief Measures and Delay Full Loan Repayments till 30 Sep
Government Grant

SMEs Can Apply for Relief Measures and Delay Full Loan Repayments till 30 Sep

As the pandemic gradually transitions to an endemic, the Monetary Authority of Singapore (MAS) has announced the 'final extension' of relief measures for small and medium-sized enterprises (SMEs) affected by the COVID-19 situation to resume full loan repayments.

·2 min read

Tips to run your business smarter. Delivered to you monthly.

We’re using cookies! What does it mean?