Skim Persaraan Kebangsaan (SPK)
A. Update
The National Retirement Scheme Skim Persaraan Kebangsaan (SPK) is a new scheme initiated through the Ministry of Finance and Economy (MoFE) and the Employees Trust Fund (TAP). The new scheme will replace TAP and Supplemental Contribution Pension (SCP) schemes. Under SPK, the contribution from employee’s salary will be deposited to member’s account while contributions from employers will be collected under Retirement Account. The Contribution rates will be as follows:
Present rates:
| Present | Age Limit | Employer Contribution | Employee Contribution | Minimum Contribution | Maximum Contribution |
|---|---|---|---|---|---|
| TAP | 55 | 5.00% | 5.00% | - | - |
| SCP | 60 | 3.50% | 3.50% | $17.50* | $98.00 |
* Minimum contribution only for Employer
Proposed rates:
| Proposed | Salary Range | Age Limit | Employer Contribution | Employee Contribution | Minimum Contribution | Maximum Contribution |
|---|---|---|---|---|---|---|
| SPK | $500 and below | 60 | $57.50 | 8.50% | $57.50* | - |
| $500.01 - $1500 | 10.50% | 8.50% | - | - | ||
| $1500.01 - $2800 | 9.50% | 8.50% | - | - | ||
| $2800.01 and above | 8.50% | 8.50% | - | - |
* Minimum contribution only for Employer
There is no change in the contribution rates of 8.5% of employee’s mandatory contribution. However, the cap for maximum contribution of $98.00 will be removed. The details regarding withdrawals are part the attachment in the source.
There are various other changes introduced in the benefits of the scheme and option to move from current has been made optional for a class of employees depending on their age. Further clarity will be available post official notification is announced.
Deferment of TAP and SCP contribution for 6 monthsCovid-19
A. Update
The Ministry of Finance and Economy (MoFE) Brunei has announced the approval of interim measures to support certain private sectors in addressing the challenges arising from the spread of COVID-19 in the country.
A six-month deferment on Tabung Amanah Pekeraj (TAP) and Supplemental Contributory Pension (SCP) contributions is provided to private sector employees earning BND 1,500 and below in all sectors of the Micro, Small and Medium Enterprises (MSMEs) category with employees fewer than 100.
The interim measures will commence from April 01, 2020 and continue for six months. The date for this update shall be communicated later.
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