Your Central Provident Fund is more than just savings. We help you maximize every dollar across retirement, healthcare, housing, and tax optimization through strategic planning and government scheme utilization. Visit CPF Board | MoneySense
Understanding CPF
The CPF is Singapore's comprehensive social security system that helps citizens and permanent residents save for retirement, healthcare, and housing. Both employees and employers contribute monthly to build your CPF savings.
Account Structure
Your CPF contributions are allocated into three accounts, each designed for specific life needs
What it's for:
What it's for:
What it's for:
Milestone
Special Account used first
Transferred to form your Retirement Account
Ordinary Account tops up if needed
To meet the Full Retirement Sum
2026 Full Retirement Sum
$220,400
Amount above FRS
Can be withdrawn in cash
Milestone
Monthly payouts for life
Never run out of retirement income
Defer up to age 70 for higher payouts
The longer you wait, the more you receive
Est. Monthly Payout (FRS)
$1,570 to $1,750
3 Plan Options
Standard, Basic, Escalating
Contribution Breakdown
Both you and your employer contribute to your CPF every month. Rates below apply from 1 January 2026 for Singapore Citizens and SPR (3rd year onwards) earning more than $750/month.
| Age Group | Contribution Rates | Allocation (% of monthly wages) | ||||
|---|---|---|---|---|---|---|
| Employee | Employer | Total | Ordinary (OA) | Special / Retirement (SA / RA) | MediSave (MA) | |
| 55 and below | 20% | 17% | 37% | 23% | 6% | 8% |
| Above 55 to 60 | 18% | 16% | 34% | 12% | 11.5% | 10.5% |
| Above 60 to 65 | 12.5% | 12.5% | 25% | 3.5% | 11% | 10.5% |
| Above 65 to 70 | 7.5% | 9% | 16.5% | 1% | 5% | 10.5% |
| Above 70 | 5% | 7.5% | 12.5% | 1% | 1% | 10.5% |
Note: Allocation for members aged 55 and below varies by age band (35, 45, 50, and 55). The row above shows the allocation for age 35 and below. From age 55, Special Account contributions are allocated to the Retirement Account (RA) instead. Self-employed persons contribute to MediSave only.
Source: CPF contribution rates from 1 January 2026 (CPF Board) · CPF allocation rates from 1 January 2026 (CPF Board)
You earn an extra 1% interest on the first $60,000 of your combined CPF balances (with up to $20,000 from Ordinary Account). This means your effective interest rate on Special Account and MediSave Account can reach up to 5% p.a.! (CPF Board)
Members aged 55 and above earn an additional 1% extra interest on the first $30,000 of combined balances (with up to $20,000 from Ordinary Account). This means you can earn up to 6% p.a. on your Retirement Account!
At 55, any CPF balance above your retirement sum can be withdrawn. Instead of leaving that surplus earning ~4% in CPF, deploy it into a lifetime dividend plan for projected higher returns, monthly payouts, and legacy protection.
Keep BRS or FRS in CPF
Your retirement base stays untouched; CPF LIFE still pays monthly income for life
Deploy surplus into lifetime dividends
Projected 6–8% returns with monthly payouts, more flexible than locked CPF funds
Capital preserved as legacy
Death benefit of at least 101% of net premiums, unlike CPF LIFE, which draws down over time
Best for homeowners aged 55+ with surplus above BRS ($110,200) or FRS ($220,400). Returns are illustrated, not guaranteed.
What your surplus could earn instead
Higher Projected Returns
vs ~4% in CPF RA
Death Benefit
Capital preserved as legacy
Dividend Payouts
Supplement CPF LIFE income
Withdraw Anytime
Unlike locked CPF funds
*Illustrated returns, not guaranteed. Refer to policy contract for full terms.
See Full Strategy →Common Misconceptions
"CPF is just government taking my money"
CPF is your money earning 2.5-4% interest risk-free - higher than most savings accounts. You can use it for housing, healthcare, and guaranteed retirement income via CPF LIFE.
"I'll never be able to access my CPF"
You can use CPF OA for housing and education. At 55, you can withdraw savings above the FRS. At 65, CPF LIFE provides guaranteed monthly income for life.
"I should invest my CPF in stocks for better returns"
CPF Board data shows many CPFIS-OA investors do not beat the guaranteed OA interest rate in a given year (CPF Board). The 4% SA rate is hard to beat consistently with low risk. Consider keeping core retirement funds in CPF.
"Voluntary CPF top-ups aren't worth it"
Top-ups to your SA or RA earn up to 4% risk-free and qualify for tax relief (up to $8,000 personal + $8,000 for family). Higher RA balances at 65 directly increase your CPF LIFE monthly payouts for life.
Comprehensive Coverage
Click any pillar to discover optimization strategies that maximize your government benefits
CPF surplus withdrawal, retirement account planning, and CPF LIFE options.
MediSave, MediShield Life, CareShield Life, and Integrated Shield Plans.
HDB grants, CPF housing usage, Home Protection Scheme, and planning.
Personal tax reliefs, CPF/SRS benefits, and annual planning strategies.
CPFIS strategy, when to invest vs keep in CPF, ETFs, T-bills, and SSB.
Workfare, Silver Support, education schemes, and government assistance.