Did you know, Absentee Payroll Funding can help employers manage the manpower costs associated with employee training?
Employee training helps businesses stay competitive, adapt to industry changes, and build new capabilities. Yet many employers face the same challenge: building workforce capabilities often requires employees to spend time away from their daily work responsibilities.
To support workforce development, SkillsFuture Singapore (SSG) offers Absentee Payroll (AP) Funding. This funding helps employers offset part of the manpower costs incurred when sponsoring employees for eligible SSG-funded training courses.
Whether you are an SME owner, HR professional, team leader, or learning and development manager, understanding how AP funding works can help you make better training decisions while managing costs more effectively.
This guide explains what Absentee Payroll Funding is, who qualifies, how much employers can receive, which courses are eligible, and how to submit a successful claim.
Quick Takeaways
- Absentee Payroll Funding helps employers offset manpower costs when employees attend eligible SSG-funded training.
- Eligible organisations can claim funding while building workforce capabilities across teams and departments.
- Standard AP funding provides $4.50 per training hour, with enhanced support available under WSS.
- AP funding supports a wide range of business, digital, leadership, and workplace training programmes.
- Understanding eligibility and claim requirements helps organisations maximise available workforce development support.
Table of contents
- Quick Takeaways
- What Is Absentee Payroll Funding?
- Who Is Eligible for Absentee Payroll Funding?
- How Much Absentee Payroll Funding Can Employers Receive?
- Which Courses Are Eligible for Absentee Payroll Funding?
- How to Claim Absentee Payroll Funding
- How AP Funding Works With Other Government Support Schemes
- FAQs About Absentee Payroll Funding
- Making the Most of Absentee Payroll Funding for Corporate Training
What Is Absentee Payroll Funding?
Absentee Payroll (AP) Funding is a grant provided by SkillsFuture Singapore (SSG) to help employers offset part of the manpower costs incurred when employees attend eligible SSG-funded training courses.
When employees attend training during working hours, they are temporarily away from their usual responsibilities. AP funding helps reduce the financial impact of corporate training, making workforce development more accessible and sustainable for organisations.
At a Glance:
- Helps employers offset manpower costs during employee training
- Applies to eligible SSG-funded courses
- Employees must complete the course before a claim can be processed
- Funding is paid directly to the employer upon approval
- Separate from course fee subsidies
Why Was Absentee Payroll Funding Introduced?
As industries change, employers need workers to build new skills and respond to evolving business requirements. Yet training often comes with an indirect cost when employees spend time away from their usual duties.
Absentee Payroll Funding was introduced to encourage workforce development by helping organisations invest in capability building while managing manpower costs. By reducing the financial impact of training time, the scheme makes it easier for organisations to invest in employee learning and capability building.
How Does Absentee Payroll Funding Work?
Employers do not need to submit an AP funding application before training begins. Instead, the claim process starts after an employee successfully completes an eligible SSG-funded course.
The process is straightforward:
- An employer sponsors an employee for an eligible SSG-funded course.
- The employee completes the training programme.
- The training provider initiates the AP funding process.
- The employer submits salary information and the required declarations.
- Approved funding is disbursed to the company’s registered corporate PayNow account.
AP Funding vs Course Fee Subsidies
Although both schemes support workforce training, they serve different purposes:
| Support Type | Purpose |
| Course Fee Subsidies | Reduce the cost of the training course itself |
| Absentee Payroll Funding | Helps employers offset manpower costs while employees attend training |
Understanding this distinction is important, as employers may be eligible for both forms of support when sponsoring employees for approved training programmes.
Who Is Eligible for Absentee Payroll Funding?
To qualify for Absentee Payroll Funding, both the employer and employee must meet SkillsFuture Singapore’s eligibility requirements. Employers should verify these requirements before enrolling employees in training to avoid delays or unsuccessful claims.
Employer Eligibility
Your organisation needs to meet all of the following criteria:
- Be registered or incorporated in Singapore
- Enrol employees in an eligible SSG-funded course.
- Make CPF contributions for the sponsored employees
- Ensure the course is listed in the SkillsFuture Course Directory for Business
AP funding is intended to support employer-sponsored workforce development. As such, employees attending training independently are not eligible under their employer’s AP funding claim.
Employee Eligibility
The employee being sponsored for training must be one of the following:
- A Singapore Citizen
- A Singapore Permanent Resident (PR)
- A Long-Term Visit Pass Plus (LTVP+) holder
The employee must also be fully sponsored by the employer for the training programme. In addition, the employee must successfully complete the course before an AP funding claim can be processed.
Before enrolling employees up for training, employers should confirm eligibility for all relevant SSG criteria. Confirming these details early can help avoid delays during the funding claim process.
Related Article: Training Grants for Employers in Singapore: Funding & Support Guide for SMEs
How Much Absentee Payroll Funding Can Employers Receive?
The amount of Absentee Payroll Funding available depends on the employee’s eligibility category and salary level.
For most eligible employees, employers receive funding based on the prevailing AP funding rate set by SkillsFuture Singapore. Higher support may be available for employees who qualify under the Workfare Skills Support (WSS) scheme.
Current AP Funding Rates
As of 1 July 2023, the following funding rates apply:
| Employee Category | AP Funding Amount |
| Singapore Citizens, Permanent Residents, and LTVP+ Holders | $4.50 per training hour, capped at $100,000 per enterprise per calendar year |
| Eligible employees under the Workfare Skills Support (WSS) scheme | 95% of hourly basic salary, capped at $13 per hour |
Refer to the official WSG website for the latest eligibility criteria and requirements for the Workfare Skills Support (WSS) scheme.
AP Funding Calculation Example
To illustrate how AP funding works, let’s look at two common training scenarios using the standard AP funding rate of $4.50 per training hour for 25 employees
Example 1: 17-Hour Course
- AP funding per employee: 17 × $4.50 = $76.50
- AP funding for 25 employees: 25 × $76.50 = $1,912.50
Example 2: 22-Hour Course
- AP funding per employee: 22 × $4.50 = $99.00
- AP funding for 25 employees: 25 × $99.00 = $2,475.00
Even for shorter courses, AP funding can help offset a portion of manpower costs when training is rolled out across multiple employees or teams. Many organisations use AP funding alongside course fee subsidies when rolling out structured workforce development and capability-building initiatives across teams.
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Which Courses Are Eligible for Absentee Payroll Funding?
Absentee Payroll Funding applies to eligible SSG-funded courses listed in the SkillsFuture Course Directory. These courses span a wide range of business functions and workforce development areas, allowing organisations to build capabilities while offsetting part of the manpower costs associated with training.
Rather than focusing on a specific subject area, organisations can use AP funding to support workforce development initiatives aligned with business priorities, digital transformation goals, and future capability requirements.
| Business Need | Examples of Eligible Training Areas |
| Digital Transformation | Generative AI, Generative AI Workflow Automation, Data Analytics, Data Science, UI/UX Design |
| Marketing & Business Growth | Digital Marketing, SEO, Google Analytics, Google & YouTube Marketing, Generative AI |
| Leadership & Management | Team Leadership, People Management, Conflict Management |
| Workplace Effectiveness | Critical Thinking, Presentation Skills, Productivity & Personal Development |
| Customer Experience | Customer Relationship Management, Communication Skills, Generative AI Workflow Automation |
| Sustainability & ESG | Carbon Reporting & Greenhouse Gas Measurement |
For example, a company introducing AI tools to improve productivity and automate workflows may train employees in Generative AI, AI Workflow Automation, and Data Analytics. A growing customer service team may focus on communication, relationship management, and conflict resolution. Meanwhile, managers and team leaders may benefit from leadership and people management training.
Many organisations combine AP funding with broader corporate training initiatives to develop technical, leadership, and workplace skills across different teams. This allows businesses to support workforce development while making training investments more cost-effective.
Before enrolling employees, employers should confirm that the course is eligible for SSG funding and qualifies for AP funding under prevailing SkillsFuture Singapore guidelines.
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How to Claim Absentee Payroll Funding
Employers do not need to submit an AP funding application before training begins. Instead, the claim process starts after the employee has completed an eligible SSG-funded course.
While the training provider will initiate part of the process, employers are still required to submit salary information before funding can be disbursed.
Step 1: Inform Your Training Provider
When registering employees for corporate training, inform the training provider that you intend to claim Absentee Payroll Funding.
The training provider will collect the necessary information and initiate the AP funding process after the course has been completed.
Step 2: Ensure Employees Complete the Training
Employees need to fulfil the course attendance and completion requirements before an AP funding claim can be processed.
Incomplete courses or failure to meet attendance requirements may affect funding eligibility.
Step 3: Receive the AP Funding Notification
Once the training provider has submitted the relevant training records, the employer will receive an email notification to complete the AP funding application.
This notification is not sent immediately after the course ends and may take some time depending on the overall claim processing timeline.
Step 4: Submit Salary Information
After receiving the notification:
- Log in to the Enterprise Portal for Jobs and Skills (EPJS).
- Navigate to the AP Funding section.
- Declare the employee’s hourly salary information before CPF deductions.
- Review and submit the application.
Ensure that the submitted salary information is accurate to avoid delays in processing.
Step 5: Receive Funding via Corporate PayNow
If the claim is approved, the funding will be disbursed to your organisation’s registered corporate PayNow account.
According to SkillsFuture Singapore, approved claims are typically paid within approximately two and a half weeks after submission.
Understanding AP Funding Statuses
During the claim process, employers may see different statuses in the AP Funding portal. These statuses indicate the progress of the claim and whether any action is required.
| Status | What It Means |
| Pending Eligibility Check | The employee’s enrolment has been created and eligibility checks are being completed before AP declaration can begin. |
| Pending Declaration | The employer’s AP declaration is pending submission. |
| Processing | The AP declaration has been submitted and the claim is being processed. |
| Paid | The AP funding has been approved and disbursed. |
| Not Applicable | The employee is not eligible for AP funding. |
| Cancelled | The enrolment or AP declaration was cancelled before payment was made. |
| Pending Recovery | Recovery of previously disbursed AP funding has been initiated. |
| Recovered | The AP funding recovery process has been completed. |
Common Reasons Claims May Be Delayed
Some of the most common issues that may delay AP funding claims include:
- Employees do not complete the training programme
- Salary information is submitted incorrectly
- CPF contribution requirements are not met
- Required declarations are incomplete
- Corporate PayNow details have not been properly set up
Employers can minimise delays by confirming eligibility requirements and ensuring all information submitted during the claim process is accurate.
How AP Funding Works With Other Government Support Schemes
Many employers use Absentee Payroll Funding alongside other government support schemes to reduce the overall cost of workforce development and corporate training.
Because each scheme serves a different purpose, organisations may be able to benefit from multiple forms of support for the same training programme, subject to eligibility requirements.
Example: Generative AI Corporate Training
The example below uses Vertical Institute’s Generative AI course to illustrate how different government support schemes may work together to reduce the overall cost of corporate training.
Employers may potentially benefit from:
- SSG course fee subsidies
- Absentee Payroll (AP) Funding
- SkillsFuture Enterprise Credit (SFEC)
- Enterprise Innovation Scheme (EIS)
- GST claims, where applicable
The actual amount claimable will vary depending on factors such as company type, employee eligibility, and the support schemes available to the organisation. Employers should refer to the relevant government agencies for the latest funding policies, eligibility criteria, and claim requirements.
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FAQs About Absentee Payroll Funding
What is Absentee Payroll Funding?
Absentee Payroll (AP) Funding is a grant from SkillsFuture Singapore (SSG) that helps employers offset part of the manpower costs incurred when employees attend eligible SSG-funded training courses.
Who can claim Absentee Payroll Funding in Singapore?
Employers registered or incorporated in Singapore may claim AP funding when sponsoring eligible employees for approved SSG-funded courses and meeting CPF contribution requirements.
Can SMEs claim Absentee Payroll Funding?
Yes. SMEs can claim AP funding if they meet SSG’s eligibility requirements and sponsor eligible employees for approved training programmes.
Can employers claim AP funding for multiple employees?
Yes. Employers can claim AP funding for multiple employees attending eligible SSG-funded courses. For employees receiving the standard AP funding rate, claims are capped at $100,000 per enterprise per calendar year. This can be particularly useful when rolling out corporate training initiatives across teams, departments, or business units.
How much Absentee Payroll Funding can employers receive?
Most eligible employers can receive $4.50 per training hour for Singapore Citizens, Permanent Residents, and LTVP+ holders, capped at $100,000 per enterprise per year. Employees who qualify under the Workfare Skills Support (WSS) scheme may receive enhanced support.
How does Absentee Payroll Funding differ from course fee subsidies?
Course fee subsidies reduce the cost of the training programme itself. Absentee Payroll (AP) Funding, on the other hand, helps employers offset part of the manpower costs incurred when employees attend training during working hours.
Do employees need to complete the course before AP funding can be claimed?
Yes. Employees must successfully complete the training programme before the AP funding claim process can proceed.
Which courses qualify for AP funding?
AP funding applies to eligible SSG-funded courses listed in the SkillsFuture Course Directory. This includes training across areas such as AI, data analytics, digital marketing, leadership, customer service, sustainability, and workplace skills.
Can AP funding be combined with course fee subsidies?
Yes. AP funding and course fee subsidies serve different purposes and may both apply to eligible training programmes. For example, employers may receive up to 70% course fee subsidies for eligible SSG-funded courses while also claiming AP funding to offset manpower costs. Depending on eligibility, organisations may also qualify for additional support schemes such as the SkillsFuture Enterprise Credit (SFEC) and Enterprise Innovation Scheme (EIS).
How long does it take to receive AP funding?
Once approved, AP funding is typically disbursed to the organisation’s registered corporate PayNow account within approximately two and a half weeks after submission.
Does Vertical Institute offer courses eligible for AP funding?
Many of Vertical Institute’s SSG-funded courses may qualify for AP funding, subject to prevailing SkillsFuture Singapore funding policies and eligibility requirements.
Making the Most of Absentee Payroll Funding for Corporate Training
Absentee Payroll Funding helps employers reduce the manpower costs associated with sending employees for training and courses, making corporate training initiatives more cost-effective.
Whether your organisation is building AI capabilities, supporting digital transformation, strengthening leadership pipelines, or improving customer experience, AP funding can help offset part of the manpower costs associated with workforce development initiatives.
By understanding the eligibility requirements, funding rates, and claim process, employers can make more informed decisions when planning workforce development initiatives. When used alongside support schemes such as course fee subsidies, SFEC, and EIS, AP funding can help organisations maximise their training budgets while supporting long-term workforce development.
