Employing a migrant domestic worker involves recurring costs beyond salary, insurance and day-to-day household expenses. One of these obligations is paying the maid levy, which employers must factor into their monthly budget throughout the helper’s employment.
The Ministry of Manpower currently sets the normal monthly levy at $300 for a household’s first helper and $450for subsequent helpers. Eligible households may qualify for the concessionary rate of S$60 per month. Before calculating long-term employment costs, employers should check these seven details.
1. Which Levy Rate Applies to Your Helper?
Start by confirming whether the normal or concessionary rate applies. The normal monthly rate is currently S450 for each subsequent helper.
This distinction matters when households employ more than one helper because the recurring levy can increase considerably. Employers should therefore calculate costs according to their actual number of helpers rather than using one standard figure.
2. Does Your Household Qualify for a Levy Concession?
What employers sometimes call a maid levy subsidy is generally the levy concession. Eligible employers pay the concessionary rate of S$60 per month instead of the normal rate.
Qualifying households may include those with an eligible young Singapore citizen child, elderly household member or person with disabilities. The specific eligibility conditions differ according to the qualifying person, so employers should check the current MOM criteria rather than assume caregiving responsibilities automatically qualify them.
Quick Checklist Before Budgeting
Confirm these points before finalising your monthly helper expenses:
- check whether the helper is your first or a subsequent migrant domestic worker;
- verify whether anyone in the household meets current levy concession criteria;
- confirm that eligible household members appear correctly in the relevant records;
- check when the levy starts for a newly arrived helper;
- note the monthly payment deadline and preferred payment method;
- review whether upcoming household changes could affect concession eligibility;
- distinguish levy concessions from separate caregiving grants or levy waivers.
These checks can prevent employers from budgeting around a rate that does not apply to their circumstances.
3. When Does the Levy Start and End?
The levy does not always begin on the exact same day for every helper. For a first-time helper, MOM states that the levy starts on the fifth day after arrival, including the arrival date. For other helpers, it starts the day after arrival.
The levy ends when the Work Permit expires or is cancelled. Understanding these dates can help employers estimate costs during arrival, transfer or termination periods more accurately.
4. How Are Partial Months Calculated?
Employers should not automatically apply a full monthly rate when the helper does not complete an entire calendar month.
MOM uses daily levy rates for partial months. The current daily rates are S9.87 for a first helper at the normal rate, S14.80 for subsequent helpers and S$1.98 under the concessionary rate.
This can affect calculations when employment starts or ends partway through a month or when an approved waiver covers part of the period.
5. When Must Employers Pay the Levy?
MOM requires employers to pay each month’s levy by the 17th of the following month. If that date falls on a weekend or public holiday, payment is due on the next working day.
Employers can use GIRO for regular deductions, while MOM also provides PayNow QR as a payment option when there is no existing GIRO arrangement.
Including this payment date in the household budget can make recurring costs easier to manage alongside salary and other helper-related expenses.
6. Can Your Concessionary Rate Change?
Eligibility does not necessarily remain fixed throughout the entire employment period. Household circumstances can change, and MOM states that the levy rate may adjust immediately if an employer no longer qualifies for the concession or the number of helpers changes.
Employers should therefore review their levy whenever an eligible child ages out of the qualifying criteria, household composition changes or another helper joins or leaves the household.
Where qualifying conditions and required steps have been completed, MOM states that approved concession adjustments should appear within the next two levy bills and can be backdated to the relevant eligibility date.
7. Is a Levy Waiver or Caregiving Grant Relevant Instead?
A concession is not the same as a waiver. MOM allows employers to apply for levy waivers in certain situations, with approved amounts credited to the levy account.
Families with significant caregiving responsibilities should also distinguish the levy concession from separate financial assistance. For example, eligible households caring for someone who needs permanent assistance with multiple activities of daily living may qualify for the Home Caregiving Grant, which operates separately from the maid levy.
Calculate the Levy From Your Actual Household Situation
A reliable monthly budget should use the levy rate that applies to the household today while allowing for changes in eligibility, helper numbers and partial-month calculations.
Employers should verify current MOM rules whenever circumstances change rather than relying indefinitely on the levy amount shown in an earlier bill.
Contact Eden Grace Maid Agency to discuss the expected costs of hiring a domestic helper and clarify the levy considerations that may apply to your household before employment begins.
