Overtime is not liable for EPF

Stupidalice

Refer to the list from EPF website.

• Overtime Pay
  
  Any monies payable by the employer to the employee for work done over the regular working hours of the employee and include any payment due to the employee for work done on holidays and off days
• Wages
  All remuneration in money due to an employee under his contract of service or apprenticeship whether it was agreed to be paid monthly, weekly, daily or otherwise.
  Among the payments that are liable for EPF contribution:
  • Salary
  • Payment for unutilised annual or medical leave
  • Bonus
  • Allowance
  • Commission
  • Incentive
  • Arrears of wages
  • Wages for maternity leave
  • Wages for study leave
  • Wages for half day leave
  • Other payments under services contract or otherwise
    
  View: Section 2: Interpretation
  Among the payments not liable for EPF contribution:
  • Service charges
  • Overtime payment
  • Gratuity
  • Retirement benefits
  • Retrenchment, temporary and lay-off termination benefits
  • Any travelling allowance or the value of any travelling concession
  • Payment in lieu of notice of termination of employment
  • Director's fee
    
  
  

The overtime is not liable for EPF???
I  just want to confirm that if the worker is entitle to pay the overtime every month and it is not consider a "wages" , so no need to contribute EPF right?

Carrie_LMY_84

Yes, overtime is no need pay EPF regardless is payable to staff that receive salary or wages.

Stupidalice

Thank you very much Carrie_LMY_84