Document background
A Deferred Salary Agreement is commonly used in Singapore when companies wish to implement retention strategies or align employee compensation with long-term business objectives. This document type has gained prominence particularly following MAS guidelines on financial institution remuneration practices. The agreement must comply with Singapore's Employment Act, CPF regulations, and tax requirements while clearly outlining the deferral mechanism, vesting conditions, and payment terms. It's particularly relevant for senior positions and regulated industries where compensation structuring requires careful consideration of regulatory requirements and risk management.
