Skip Ribbon Commands
Skip to main content

 

 

CPF Overview<table border="0" cellspacing="2" cellpadding="1" style="width:100%;height:auto;"><tbody><tr><td width="80%"><p> <span class="SubTopicHeader ">What is CPF?<br><font size="3"><br></font></span>The Central Provident Fund (CPF) is a comprehensive social security system that enables working Singapore Citizens and Permanent Residents to set aside funds for retirement. It also addresses healthcare, home ownership, family protection and asset enhancement.<br></p></td><td width="20%">            <img class="img-responsive" alt="CPF Logo" src="/Assets/members/PublishingImages/About%20Us%20-%20Overview/CPFLogo.jpg" /></td></tr></tbody></table><p> <span class="SubjectHeader"><br>How does the CPF system work?<br></span><font size="3"><br></font>Both employees and employers make monthly CPF contributions. These contributions go into three accounts:</p> ​​ <table class="ms-rteTable-default" border="1" cellspacing="0" style="width:100%;"><tbody><tr class="ms-rteTableEvenRow-default" bgcolor="#f1f1f1"><td class="ms-rteTableEvenCol-default" colspan="2" style="border-style:solid;width:50%;"><div style="text-align:center;"> <strong>​Uses of CPF Savings</strong></div></td></tr><tr class="ms-rteTableOddRow-default"><td class="ms-rteTableEvenCol-default" bgcolor="#d2d2d2" rowspan="1" style="width:30%;"> <strong>​Ordinary Account (OA)</strong><br></td><td class="ms-rteTableOddCol-default" bgcolor="#f1f1f1" rowspan="1" style="width:70%;"> <span style="color:#444444;"><span>​For housing, insurance, investment and education.</span><br></span></td></tr><tr class="ms-rteTableEvenRow-default"><td class="ms-rteTableEvenCol-default" bgcolor="#d2d2d2" rowspan="1" style="width:30%;"> <span style="color:#444444;"><span>​</span><strong>Special Account (SA)​</strong><br></span></td><td class="ms-rteTableOddCol-default" bgcolor="#f1f1f1" rowspan="1" style="width:70%;"> <span style="color:#444444;">​​​For old age and investment in retirement-related financial products.</span><br></td></tr><tr class="ms-rteTableOddRow-default"><td class="ms-rteTableEvenCol-default" bgcolor="#d2d2d2" rowspan="1" style="width:30%;"> <span style="color:#444444;">​</span><strong style="color:#444444;">Medisave Account (MA)​</strong><br></td><td class="ms-rteTableOddCol-default" bgcolor="#f1f1f1" rowspan="1" style="width:70%;"> <span style="color:#444444;">​​For hospitalisation expenses and approved medical insurance.</span><br></td></tr><tr class="ms-rteTableFooterRow-default"><td class="ms-rteTableFooterEvenCol-default" bgcolor="#d2d2d2" rowspan="1" style="width:30%;"> <span style="color:#444444;">​<span><strong>Retirement Account (RA)</strong></span><br></span></td><td class="ms-rteTableFooterOddCol-default" bgcolor="#f1f1f1" rowspan="1" style="width:70%;"> <span style="color:#444444;">​On your 55th birthday, a fourth account, the Retirement Account (RA), is automatically created</span><br></td></tr></tbody></table> <br> <br> <table class="ms-rteTable-default" cellspacing="0" style="width:70%;"><tbody><tr class="ms-rteTableEvenRow-default"><td class="ms-rteTableEvenCol-default" bgcolor="#f1f1f1" colspan="2" style="width:50%;"><div style="text-align:center;"> <strong>​Interest Rates*</strong><br></div></td></tr><tr class="ms-rteTableOddRow-default"><td class="ms-rteTableEvenCol-default" bgcolor="#d2d2d2" rowspan="1" style="width:30%;"> <strong>​Ordinary Account (OA)</strong></td><td class="ms-rteTableOddCol-default" bgcolor="#f1f1f1" rowspan="1" style="width:40%;text-align:center;">Currently up to 3.5% p.a.</td></tr><tr class="ms-rteTableEvenRow-default"><td class="ms-rteTableEvenCol-default" bgcolor="#d2d2d2" rowspan="1" style="width:30%;"> <strong>​Special Account (SA)</strong></td><td class="ms-rteTableOddCol-default" bgcolor="#f1f1f1" rowspan="2" style="width:40%;text-align:center;">Currently up to 5% p.a.   </td></tr><tr class="ms-rteTableOddRow-default"><td class="ms-rteTableEvenCol-default" bgcolor="#d2d2d2" rowspan="1" style="width:30%;"> <strong>​Medisave Account (OA)</strong></td></tr><tr class="ms-rteTableEvenRow-default"><td class="ms-rteTableEvenCol-default" bgcolor="#d2d2d2" rowspan="1" style="width:30%;"> <strong>​Retirement Account (RA)</strong></td><td class="ms-rteTableOddCol-default" bgcolor="#f1f1f1" rowspan="1" style="width:40%;text-align:center;">Currently up to 5% p.a.</td></tr></tbody></table><div>* The above interest rates include 1% p.a. extra interest on the first $60,000 of combined CPF balances, with up to $20,000 from the OA. From January 2016, those aged 55 and above also earn 1% p.a. additional extra interest on the first $30,000 of combined balances, with up to $20,000 from the OA, thus earning up to 6% p.a. on their retirement balances.<br><a href="/Members/AboutUs/about-us-info/cpf-interest-rates" target="_blank">More information on how the interest rates are set </a> <br> <a href="https://www.cpf.gov.sg/Members/faq/schemes/Other-Matters/Others#faq2192131" target="_blank">How the interest is computed and credited into the CPF accounts</a></div><div> <br> <p> <span class="SubjectHeader"> <font size="3"> <br></font>Building your CPF savings for a secure retirement<br></span><font size="3"><br></font><span class="SubjectHeader"></span>As Singaporeans live longer, we will need a steady stream of income to meet our living expenses.  Statistics have shown that today, 1 in 2 Singaporeans aged 65 is going to live to age 85 and 1 in 3 is going to live to age 90 and beyond.​</p><p>   <img alt="Singaporeans are living longer" src="/Assets/members/PublishingImages/About%20Us%20-%20Overview/AboutUs_BuildingCPFsavingsforasecureretirement.jpg" style="width:61.1%;height:auto;" /> <br></p><p>It is important that you build up your CPF savings to have peace of mind in your retirement years. Plan the use of your CPF savings wisely to ensure you have: <br></p> <font face="Times New Roman"> </font><font face="Times New Roman"> </font> <table width="100%" class="MsoTableGrid" border="1" cellspacing="0" cellpadding="0" style="border:currentcolor;border-collapse:collapse;"><tbody><tr><td width="auto" valign="top" style="padding:0cm 5.4pt;border:1pt solid windowtext;width:426.25pt;background-color:transparent;"><ul><li><p> <strong>Retirement savings to meet your basic living expenses in old age</strong><br style="text-decoration:underline;"><br style="text-decoration:underline;">Your CPF savings will provide you with a monthly income to meet your basic living expenses in old age. You are encouraged to supplement your retirement savings with your personal savings.<br>​<br></p></li></ul><ul><li><p> <strong>A property that is fully paid-up when you retire</strong><br style="text-decoration:underline;"><br style="text-decoration:underline;">Map out your finances carefully when you buy a home. Buy a home that you can afford, so that your home will be fully paid-up when you retire. <br>              <font color="#000000" face="Times New Roman"> </font></p></li></ul><ul><li><p> <strong>Sufficient savings for future medical expenses as you grow older</strong><br style="text-decoration:underline;"><br style="text-decoration:underline;">Savings for future medical expenses is important as the need for medical care increases significantly as you grow older. Use your Medisave wisely by staying in affordable wards when hospitalised and consider buying a suitable medical insurance plan such as MediShield to help mitigate large medical expenses.</p></li></ul> <br> </td></tr></tbody></table><p> </p><p>For more information, you may also refer to our <a href="/Assets/members/Documents/RetirementPlanningBooklet.pdf" target="_blank">Retirement booklet</a> (PDF, 1.9MB).</p></div>CPF OverviewTrueTrueTrue

Your session will be terminated soon. Click 'OK' to continue or 'Cancel' to Logout.

 

Your screen width is too small to display

Please adjust the width of your browser or use a desktop machine for a better web experience.

Thank you.