CPF Interest Rate Floor on Special, MediSave and Retirement Account Monies from 1 January 2021 to 31 December 2021
- One-year extension of minimum 4% interest rate floor on Special, MediSave and Retirement Accounts
CPF member below 55 years
- Members earn up to 5% interest on the first $60,000 of their combined CPF balances
CPF members aged 55 and above
- Members aged 55 and above earn up to 6% interest on the first $30,000 of their combined CPF balances, and up to 5% on the next $30,000
HDB mortgage rate from 1 October 2020 to 31 December 2020
- Remains unchanged at 2.6%
Note: All interest rates are quoted on a per annum basis.
To help CPF members grow their savings, the Government has further extended the 4% rate floor for interest earned on all Special, MediSave and Retirement Account (SMRA) monies for another year until 31 December 2021.
Since 1 January 2008, CPF interest rates have been pegged to market instruments of comparable risk and duration to ensure that members receive fair and reasonable interest rates. The Government had committed to providing a 4% floor rate for SMRA interest for two years since 2008 and had subsequently extended the rate floor in light of the global economic conditions and the fact that interest rates had been exceptionally low. The current 4% rate floor is due to expire on 31 December 2020.
CPF interest rates for Ordinary, Special and MediSave Accounts from 1 October 2020 to 31 December 2020
CPF members below 55 years old will be paid an extra 1% interest on the first $60,000 of their combined balances (with up to $20,000 from the OA). They will continue to earn interest rates of up to 3.5% per annum on their Ordinary Account (OA) monies, and up to 5% per annum on their Special and MediSave accounts (SMA) monies in the last quarter of 2020.
For members aged 55 and above, the Government pays an extra 2% interest on the first $30,000 of their combined balances (with up to $20,000 from the OA), and an extra 1% on the next $30,000. As a result, members aged 55 and above will earn up to 6% interest per year on their retirement balances.
The extra interest paid to CPF members is part of the Government’s efforts to enhance the retirement savings for CPF members.
The extra interest received on the OA will go into the member’s Special Account (SA) or Retirement Account (RA) to enhance his or her retirement savings. If a member is above 55 years old and participates in the CPF LIFE scheme, the extra interest will still be earned on his or her combined balances, which includes the savings used for CPF LIFE.
Interest rate for CPF Ordinary Account and HDB mortgage rate
The OA interest rate will be maintained at 2.5% per annum from 1 October 2020 to 31 December 2020.
Correspondingly, the concessionary interest rate for HDB mortgage loans, which is pegged at 0.1% above the OA interest rate, will remain unchanged at 2.6% per annum from 1 October 2020 to 31 December 2020.
Interest rate for Special and MediSave Accounts
The SMA interest rate will be maintained at 4% per annum from 1 October 2020 to 31 December 2020.
Interest rate for Retirement Account
The RA interest rate will be maintained at 4% per annum from 1 January 2020 to 31 December 2020, as announced on 20 September 2019.
For more information on CPF interest rates and their computation, please visit CPF Interest Rates.
Public enquiries
CPF members can visit cpf.gov.sg or call the CPF Call Centre at 1800-227-1188 for enquiries.