Levy Waiver in Singapore: Meaning, Eligibility, and MOM Application Guide (2026)
Updated on 02 January 2026 in Business | Suki Bajaj
When your foreign staff are temporarily unable to work, the levy waiver allows you to reduce the monthly levy you need to pay.
Let's dive into everything you need to know, from eligibility criteria to calculations and application processes, ensuring compliance and keeping your costs down.
Key Takeaways:
- The levy waiver allows Singaporean employers to reduce FWL costs when employees are unable to work due to valid reasons like hospitalization, maternity, or overseas leave.
- Employers must apply for the waiver through the MOM e-Service portal within one year of the levy bill month to remain eligible for the reduction.
- Approved waiver amounts are credited to the employer's levy account to offset future bills, and a refund can be requested if there are no upcoming levies to pay.
- Successful applications require accurate supporting documentation, such as medical certificates or travel records, to prevent rejection due to data mismatches or missing information.
- For smooth and accurate FWL processing, QuickHR tracks Work Permit expiry dates and real-time leave status, ensuring you never overpay a levy or miss any compliance updates.
In this guide, we’ll talk about:
What Is a Levy Waiver?
Who Can Apply for a Levy Waiver in Singapore?
When Can Employers Apply for a Levy Waiver? (Eligibility Conditions)
How Much Levy Can Be Waived? (Calculation Guide)
How to Apply for Levy Waiver (Step-by-Step MOM Guide)
Supporting Documents Required for Levy Waiver
When to Apply for Levy Waiver & Claim Deadline
Can I Get a Refund If I Paid Extra Levy?
How to Reduce Your Foreign Worker Levy in Singapore
Common Reasons Why Levy Waiver Applications Get Rejected
How QuickHR Helps Employers Manage Foreign Worker Levy, Quota and MOM Compliance
Frequently Asked Questions
What Is a Levy Waiver?
A levy waiver is a reduction of the monthly foreign worker levy that employers normally pay. You can get a waiver for your levy payments only when your worker is unavailable for work under valid MOM-approved reasons, such as pre-approved overseas leave, hospitalization, maternity, quarantine, or other special circumstances.
Essentially, it allows you to temporarily stop paying the levy on a pro-rated basis for specific days the worker was not available to work.