Who is a Self-Employed Person?
If you are a person who performs work for others under a contract for service and derives profit (or loss) from buying and selling goods, or from providing personal or professional services, you are a self-employed person.
Examples of self-employed persons include sole proprietors and partners in a partnership registered with ACRA, taxi drivers, private hire vehicle (PHV) drivers, food deliverers, property agents, private tuition teachers, insurance agents, hawkers, freelancers, independent contractors etc.
How do I submit my NSMen Make-Up Pay claims for self-employed?
Components of National Service pay (NS Pay)
The NS pay consists of 2 components:
- Service Pay: All National Service Men (NSMen aka reservists) are paid prevailing full-time NS allowance according to rank and vocation (i.e. NSF rank & vocation allowance). This pay is pro-rated according to the number of days you spend in the ICT.
- Make-Up Pay: This is the difference between the loss of civilian income for participating in the ICT and your Service Pay.
Where to submit a make up pay (MUP) claim?
There are 2 methods to submit a NSMen make-up pay claims for self-employed:
How to fill in the MUP claim form?
You can indicate your loss in civilian income as a self-employed person with one of the options below:
- Income Tax Option: Your loss in civilian income will be calculated based on the trade income in your Income Tax or Notice of Assessment (NOA) filed with IRAS for the year of ICT.
- Average Income Option: Your loss in civilian income will be based upon the net self-employment income earned in the 6 months before the ICT.
- Replacement Option: Your loss in civilian income will depend on the fees paid to stand-ins to cover your duties for the duration of your ICT (for example, locum doctor if you are a doctor, or temporary bus driver if you are a bus driver, etc.).
When can I submit the MUP claim? When is the deadline to submit the MUP claim?
It is recommended that you make the MUP claim 2 weeks before your ICT so that payment can be disbursed promptly.
You may also make the claim after the ICT. In this case, the Service Pay (i.e. NSF rank & vocation allowance) will be paid to you first, while the MUP will be paid after the claim is submitted and approved.
However, do note that claims must be submitted within 3 months from the payment of the Service Pay. MUP claim submitted more than 3 months after the payment date of Service Pay will not be accepted.