1. Increase in CPF Ordinary Wage ceiling from 1 January 2025
(a) The CPF Ordinary Wage (OW) ceiling limits the amount of OW that attract CPF contributions in a calendar month for all employees. The OW ceiling will be raised to $8,000 by 2026. The increase took place in four steps since 1 September 2023 to allow employers and employees to adjust to the changes.
(b) There will be no change to the CPF annual salary ceiling of $102,000, which sets the maximum amount of CPF contributions payable for all salaries received in the year, inclusive of both Ordinary Wages and Additional Wages.
(c) There will be no changes to the Additional Wage ceiling and CPF Annual Limit, where they will remain at [$102,000 – Total Ordinary Wage subject to CPF for the year] and $37,740 respectively.
Please refer to the table below for the CPF OW and annual salary ceilings from 2023 to 2026.
2. Increase in CPF Contribution Rates from 1 January 2025
(a) From 1 January 2025, the CPF contribution rates for employees aged above 55 to 65 will be increased to strengthen their retirement adequacy. The changes apply to wages earned from 1 January 2025:
For employees earning monthly wages > $750
Note: Figures in brackets () denote increase in rates
(b) With the closure of Special Account, the increase in the CPF contributions for employees aged above 55 to 65 will be fully allocated to the Retirement Account (RA), up to the Full Retirement Sum (FRS), to help senior workers save more for retirement. If employees have set aside the FRS in their RA, these contributions will be channelled to their Ordinary Account.
(c) For those earning monthly wages of more than $500 to $750, the employee contribution rates continue to be phased in.
(d) There will be no changes to the graduated contribution rates for first and second year Singapore Permanent Residents (SPRs).
You may refer to the complete CPF contribution rate tables from 1 January 2025 (Tables 1 to 5) (PDF, 0.17 MB) for more details.