Pillar 4
Personal Income Tax Reliefs & Planning
Personal income tax reliefs, CPF/SRS benefits, and annual planning strategies. Tax reliefs are capital reallocation tools, not one-off savings. Learn how to maximize your reliefs and optimize your tax position.
Up to S$8,000 for SA/RA top-up
Additional S$8,000 for spouse/parents/siblings
Up to S$15,300 (Singaporeans/PRs)
S$9,000 (staying), S$5,500 (not staying) per parent
S$14,000 (staying), S$10,000 (not staying)
S$2,000 if spouse income <S$4,000/year
S$4,000 per child (unmarried, <S$4,000 income)
Auto-applied based on age (up to S$8,000 for 60+)
Approved courses for self-improvement
For active/key appointment holders
Tax deduction of 250% of donation amount
Only if CPF contributions <S$5,000
For married women with children/parents
| Chargeable Income | Tax Rate | Gross Tax Payable | Tax Saving @ Max Rate |
|---|---|---|---|
| First S$20,000 | 0% | S$0 | - |
| Next S$10,000 | 2% | S$200 | S$200/S$10K relief |
| Next S$10,000 | 3.5% | S$550 | S$350/S$10K relief |
| Next S$40,000 | 7% | S$3,350 | S$700/S$10K relief |
| Next S$40,000 | 11.5% | S$7,950 | S$1,150/S$10K relief |
| Next S$40,000 | 15% | S$13,950 | S$1,500/S$10K relief |
| Next S$40,000 | 18% | S$21,150 | S$1,800/S$10K relief |
| Next S$40,000 | 19% | S$28,750 | S$1,900/S$10K relief |
| Next S$40,000 | 19.5% | S$36,550 | S$1,950/S$10K relief |
| Next S$40,000 | 20% | S$44,550 | S$2,000/S$10K relief |
| Next S$180,000 | 22% | S$84,150 | S$2,200/S$10K relief |
| Above S$500,000 | 23% | - | S$2,300/S$10K relief |
| Above S$1,000,000 | 24% | - | S$2,400/S$10K relief |
Tax reliefs reduce your chargeable income. The higher your bracket, the more valuable each dollar of relief. At S$150,000 income (15% bracket), a S$10,000 relief saves S$1,500 in taxes. At S$300,000 income (22% bracket), the same relief saves S$2,200.
If you cannot max out all reliefs, prioritize in this order:
Tax relief now, tax-advantaged withdrawal later. Best bang for buck.
Tax relief + 4% guaranteed. Builds retirement.
Tax relief for you, retirement benefit for loved ones.
250% deduction. Give S$1,000, reduce taxable by S$2,500.
If both spouses work, allocate parent relief to the higher-income spouse for maximum tax savings. Similarly, coordinate who claims the family CPF top-up relief based on marginal tax rates.
We will analyze your income, reliefs, and help you minimize taxes while maximizing retirement savings.
Common Belief
"Tax relief is the same as tax savings"
Planning Reality
Tax reliefs reduce your chargeable income, which saves taxes at your marginal rate. A S$10,000 relief saves S$1,500 at the 15% bracket but S$2,200 at the 22% bracket. Reliefs are capital reallocation tools—you're moving money from taxable accounts to tax-advantaged ones (CPF, SRS), not creating free money.
Common Belief
"I should maximize all available reliefs"
Planning Reality
Not all reliefs are equal. Prioritize SRS (S$15,300) and CPF top-ups (S$8,000) first—they provide tax relief now plus retirement benefits. The S$80,000 personal relief cap means you need to strategically stack reliefs. Some reliefs (like course fees) may not be worth the upfront cost just for tax savings.
Retirement Savings
Learn how CPF top-ups and SRS contributions build your retirement nest egg while reducing taxes.
CPF LIFE
Understand how CPF top-up reliefs contribute to your CPF LIFE monthly payouts in retirement.
Financial Planning
See how tax optimization fits into your overall financial plan and retirement strategy.