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Comprehensive Singapore Guide

Legacy & Estate Planning

Key Focus

Clarity + Continuity

Covers

CPF, LPA, ACP, Wills

Includes

Muslim Planning

A practical, knowledge-first guide to protecting your family, your business, and your wishes. Good planning is not about complexity — it's about clarity and continuity.

Avoid delays and disputes
Make distribution clear and efficient
Protect continuity if incapacity happens

Disclaimer: This page provides general information for educational purposes and is not legal, tax, or financial advice. Please consult qualified professionals for your specific situation.

Start Here

Quick Start Checklist

Use this checklist to assess where you stand with legacy planning. Click each item to jump to that section.

Understanding The Basics

What Legacy Planning Really Means

Legacy Planning

Clarity + Continuity + Care. Ensures your wishes, values, and assets transfer meaningfully to loved ones.

Estate Planning

Distribution mechanics. The legal structures and documents that determine how your assets are allocated.

Incapacity Planning

Continuity while alive. LPA and ACP ensure decisions can be made on your behalf if you become incapacitated.

Why Families Plan Early

Family Harmony

Speed of Access

Business Continuity

Privacy & Structure

Cross-Border Assets

Core Visual

The Singapore Legacy Flow

Different asset types follow different rules. Understanding this is the foundation of good planning.

CPF Savings

Follows CPF nomination

Not governed by your Will

Insurance

Follows policy nomination

Trust vs Revocable nomination

Property

Depends on ownership type

Joint tenancy vs Tenancy-in-common

Bank & Investments

Follows Will or intestacy

Estate distribution rules apply

Key Insight: Different asset buckets follow different rules. Good planning aligns them all towards your wishes.

The Difference

With Planning vs Without Planning

See what happens in each scenario and understand why early planning matters.

Without Planning

Delayed access to funds

Probate can take months to years

Higher admin friction and fees

Public Trustee fees apply for un-nominated CPF

Higher dispute risk

Intestacy laws may not match your wishes

Unclear decision-maker

No one appointed if you become incapacitated

Business may collapse

No succession or continuity plan

With Planning

Fast access to funds

Nominated CPF and insurance pay out quickly

Lower admin costs

Bypass Public Trustee with nominations

Reduced family disputes

Clear documentation of your wishes

Clear decision-maker

LPA donee can act on your behalf

Business continuity

Succession plan protects operations

Essential Planning Tool

CPF Nomination

CPF nomination lets you decide who receives your CPF savings and is completely free to make.

Free to Make

CPF nomination is completely free and can be done online via the CPF portal with Singpass.

Direct Payout

Nominated CPF savings are paid directly to your nominees, bypassing probate and avoiding delays.

Without Nomination

CPF goes to Public Trustee for distribution. Administration fees apply (minimum $15).

Critical: Marriage Revokes CPF Nomination

If you made a CPF nomination while single, it is automatically revoked when you get married. You must make a new nomination after marriage.

Note: Divorce does NOT automatically revoke your nomination. Review your nomination after any major life event.

Step-by-Step: How to Make CPF Nomination

1

Log in to CPF Portal

Access my cpf online services using your Singpass.

2

Choose Nomination Type

Select Cash Nomination (default), Enhanced Nomination Scheme (ENS), or Special Needs Savings Scheme (SNSS).

3

Add Your Nominees

Enter the details of the person(s) you wish to nominate. You can nominate anyone.

4

Allocate Percentage Shares

Decide what percentage each nominee should receive. Total must equal 100%.

5

Arrange Two Witnesses

Two witnesses aged 21+ are required. They cannot be nominees or the spouse of a nominee.

6

Submit Online

Complete the online submission. Witnesses must be present during submission.

7

Receive Confirmation

You'll receive a confirmation letter. Keep a copy for your records.

8

Review Regularly

Update after major life changes: marriage, children, divorce, or death of a nominee.

What CPF Nomination Covers

  • CPF savings in OA, SA, MA, and RA
  • Unused CPF LIFE premiums (if any)
  • Discounted SingTel shares (if any)

What CPF Nomination Does NOT Cover

  • Properties bought using CPF
  • DPS (Dependants' Protection Scheme) payouts
  • CPFIS investments (unit trusts, shares)

3 Types of CPF Nomination

1

Cash Nomination (Default)

Nominees receive CPF monies in cash via cheque or GIRO. Most common and straightforward option.

2

Enhanced Nomination Scheme (ENS)

Nominees receive CPF monies into their own CPF accounts. Useful for growing their retirement savings.

3

Special Needs Savings Scheme (SNSS)

Parents can nominate children with special needs to receive monthly disbursements from their CPF savings.

Common CPF Nomination Mistakes

Thinking a Will covers CPF (it doesn't)

Never updating nomination after marriage

Not planning for nominee predeceasing you

Not telling family where records are kept

CPF Nomination FAQ

No, CPF nomination is completely free. You can make or update your nomination at any time without any charges.

No, a Will does NOT override CPF nomination. CPF savings follow your CPF nomination, not your Will. These are separate legal instruments.

Your CPF savings will be transferred to the Public Trustee's Office for distribution according to intestacy laws (or Faraid for Muslims). Administration fees apply, with a minimum of $15.

Marriage: Automatically revokes your existing CPF nomination. You must make a new nomination after marriage.

Divorce: Does NOT automatically revoke your nomination. You should review and update it as needed.

The Toolbox

Legacy Planning Tools

Each tool serves a different purpose. A comprehensive plan uses multiple tools in harmony.

Will

Legal document that distributes your estate assets and appoints executors and guardians.

When useful: Distributing estate assets, appointing guardians for minor children.

Note: Does NOT cover CPF or nominated insurance.

Trust

Legal arrangement where a trustee manages assets for beneficiaries according to set terms.

When useful: Complex estates, minor children, special needs beneficiaries, wealth preservation.

Types: Revocable, Irrevocable, Testamentary, Living Trust.

Insurance Nomination

Designates who receives insurance death benefits directly, bypassing estate.

Trust Nomination: Irrevocable, cannot be changed without trustee consent.

Revocable Nomination: Can be changed anytime by policyholder.

CPF Nomination

Specifies who receives your CPF savings directly upon death.

When useful: Ensuring CPF goes to intended recipients quickly.

Note: Free to make, bypasses probate entirely.

Lasting Power of Attorney

Appoints someone to make decisions on your behalf if you lose mental capacity.

When useful: Incapacity planning, ensuring continuity of financial/personal decisions.

Fee waiver: For Singapore Citizens until 31 Mar 2026.

Gift (Inter Vivos)

Transfer of assets during your lifetime to family members or charity.

When useful: Reducing estate size, charitable giving, helping family now.

Note: Once gifted, you lose control of the asset.

Estate Distribution

Comprehensive Will Planning

A Will is an essential instrument where you set out how to deal with your estate. It ensures your loved ones are taken care of according to your wishes.

What is a Will?

A Will is a legal document where you outline your desires for the distribution of assets. It names the key individuals you trust to oversee this process, ensuring your beneficiaries receive their rightful share when the time comes.

Through estate planning, some families opt to pass down an "axe" to their beneficiaries to harvest the fruits. Others choose a more sustainable approach, appointing a trusted steward to nurture the "tree" and secure a lasting harvest for generations to come.

When Should You Start?

If you wish to have control over how your assets should be distributed, you should do it as soon as possible.

Taking the time and effort to plan now helps to provide clarity and peace of mind for both you and your loved ones, offering a clear roadmap during difficult times.

Types of Will Available

DIY Will

Online & Unadvised

  • Key in personal information
  • Print out document
  • Find 2 witnesses

Risk: May not be legally sound or comprehensive

Simple Will

Templated

  • Fixed way of giving to beneficiaries
  • Lump sum payouts
  • Basic structure

Suitable: Straightforward estates

Comprehensive Will

Customised

  • Delayed to a stipulated age
  • Watertight & legally sound
  • Professional Executor/Trustee

Recommended: Complex estates & families

Core Areas of Consideration

When drafting your Will, consider these four essential pillars

Assets

  • Clear Asset Inventory: Take stock of properties, bank accounts, investments, insurance, valuables.
  • Digital Assets: Email accounts, social media, cryptocurrency — how should they be managed?
  • Properties: Consider maintenance costs, mortgage, ownership structure.

Gifts

  • Specific Bequests: Heirlooms, special possessions, or specific sums of money.
  • Distribution Modes: Periodic, conditional, or delayed. Combine modes to maintain values.
  • Charitable Giving: Donate to charities, specifying amount or percentage.

People

  • Beneficiary Tree: Clearly specify who inherits each asset. Care for young, elderly, or inexperienced beneficiaries.
  • Executor/Trustee: Choose a trusted individual or Trust Company to carry out your wishes.
  • Guardianship: Appoint guardians for minor children.

Plan

  • Contingency Plans: Name substitute beneficiaries and alternate executors.
  • LPA & ACP: Empower someone to make decisions if you lose mental capacity.
  • Review Regularly: Update after marriage, divorce, births, deaths, or major asset changes.

Regular reviews and consultation are important to ensure your Will is updated, legally sound, and properly executed.

Will Custody: Where Should You Store Your Will?

A Will is one of the most important documents that ensures your wishes will be carried out. Store it safely.

At Home

Risk of house fire, flood, theft, or tampering by family members with ill intentions.

Home Safe

Protects against theft but usually lacks fire protection. A 2018 Serangoon house fire burned contents of a home safe.

Bank Safe Deposit

If you're the sole account holder, no one can access it without Grant of Probate — but you need the Will to get the Grant!

Professional Will Custody Benefits

• Kept confidential and secure

• Safe from calamities (fires, floods)

• Prevented from tampering

• Environmentally-controlled storage

• Executor can access upon demise

• Easy to update anytime

Wealth Protection & Succession

Understanding Trusts

A Trust is a powerful estate planning instrument that gives you control over your assets even after you've passed on.

What is a Trust?

Think of a Trust like a bowl of candy. Before leaving home for a long work trip, you hand this bowl to your spouse with instructions on how you want the candy to be enjoyed by your children.

If you're concerned your children aren't disciplined enough to ration the candy (or might fight over it), your instructions could include giving them one candy each after mealtime — with the condition of finishing their meal.

The Trust Structure

1

Settlor (You)

Owner of assets who creates the Trust

2

Trustee

Party you trust to manage & distribute assets

3

Trust Deed

Your instructions on how assets are managed

4

Beneficiaries

Your loved ones who benefit from the Trust

P

Protector (Optional)

Intermediary to watch beneficiaries & check Trustee

Why Set Up a Trust?

Asset Protection

Protect vulnerable beneficiaries from undue influence & predatory persons

Privacy

Maintain privacy of your family's wealth from public scrutiny

Reduce Conflicts

Reduce disputes between beneficiaries with clear terms

Family Reserve

Function as a family bank for resources and emergency funds

Business Succession

Plan for business succession or exit arrangement

Family Values

Achieve family goals and promote values across generations

Popular Choice

Standby Trust

Like a reliable compass, a Standby Trust follows the course you set. It acts as a vessel where assets can be entrusted, ready to be activated upon a defined event — be it the transition of life or mental incapacity.

Consolidation & Management

Consolidate various asset classes for ease of management during and after your lifetime.

Skip Probate

CPF & Life Insurance through nomination/assignment bypasses probate — saving time and costs.

Flexibility & Control

Remain under your control during your lifetime with professional trustee accountability.

Maintain Assets in Family

Limit beneficiaries within family tree. Suspend distribution during divorce or bankruptcy.

Privacy & Protection

Identity and net worth of beneficiaries kept confidential. Shares kept private to reduce conflict.

Affordable

Low setup cost with minimal yearly fees until activation.

Distribution Options in a Standby Trust

Periodic

Regular allowances

Delayed

Age milestones

Conditional

Education, marriage

Matching

Contributions

Types of Trusts Available

Insurance Trust

Holds life insurance proceeds for beneficiaries, bypassing estate and providing structured distribution.

Investment Trust

Manages investment portfolios professionally for beneficiaries over time.

Property Trust

Holds real estate assets, providing structured succession and management.

Business Value Protection Trust

Protects business interests and ensures continuity during ownership transitions.

Charitable Trust

Supports charitable causes while providing tax benefits and legacy building.

Private Trust Company

For UHNW families — a dedicated trust company managing multiple family trusts.

Distribution Methods Comparison

Feature Lifetime Gifting Intestacy Will Testamentary Trust Standby Trust Living Trust
Control of Beneficiary
Distribution Manner Lump/Instalment Lump Sum Lump Sum Lump/Instalment Lump/Instalment Lump/Instalment
Asset Protection (Divorce/Bankruptcy)

Incapacity Planning

Lasting Power of Attorney (LPA)

LPA ensures someone you trust can make decisions on your behalf if you lose mental capacity.

What is LPA?

A Lasting Power of Attorney is a legal document that lets you (the "donor") appoint one or more persons (the "donee") to make decisions and act on your behalf if you lose mental capacity.

Without an LPA, your family would need to apply to court to be appointed as your deputy — a lengthy, costly, and stressful process.

What Can Your Donee Do?

Property & Affairs: Manage bank accounts, pay bills, sell property, manage investments.

Personal Welfare: Make healthcare decisions, choose where you live, manage daily needs.

Step-by-Step: How to Make an LPA

1

Decide on Your Donee(s)

Choose someone you trust. You can appoint one or more donees, and a replacement donee.

2

Choose LPA Form 1 or Form 2

Form 1: Standard form with basic powers. Form 2: Customized form with specific restrictions or powers.

3

Complete the Application

Fill out the LPA form online through the Office of the Public Guardian (OPG) website.

4

Get Certification by a Certificate Issuer

A lawyer, doctor, psychiatrist, or accredited medical practitioner must certify you understand the LPA.

5

Register with OPG

Submit the LPA for registration. Processing takes about 3 weeks. Your LPA is only valid after registration.

LPA Costs & Fee Waiver

The LPA Form 1 application fee is waived for Singapore Citizens until 31 March 2026.

Singapore Citizens

Form 1: Free (until 31 Mar 2026)

Form 2: Check OPG website

PRs / Foreigners

Standard fees apply

Check OPG website for details

Note: Certificate issuer fees (lawyer/doctor) are separate and vary by provider.

Best Practice for HNW Families

  • Consider separating donee roles — one for financial matters, another for personal welfare
  • Choose donees who can act calmly and transparently under pressure
  • Appoint a replacement donee in case your primary donee is unavailable
  • Communicate your wishes clearly to your donees before you need the LPA

Healthcare Wishes

Advance Care Planning (ACP)

ACP helps you share your healthcare preferences so your loved ones know your wishes if you can't speak for yourself.

What is ACP?

Advance Care Planning is a process of thinking about, discussing, and documenting your healthcare preferences for a time when you may not be able to communicate them yourself.

It's different from a Will (which deals with assets) and LPA (which appoints decision-makers). ACP focuses specifically on your healthcare values and treatment preferences.

Why ACP Matters

Ensures your healthcare wishes are known and respected

Reduces burden on family to make difficult decisions

Helps doctors provide care aligned with your values

Step-by-Step: How to Do ACP

1

Reflect on Your Values and Preferences

Think about what matters most to you — quality of life, being at home, avoiding certain treatments, etc.

2

Discuss with Your Family

Share your thoughts with loved ones. This helps them understand and support your wishes when needed.

3

Document Your ACP

Use myACP (free digital tool for generally healthy Singaporeans) or meet with an ACP facilitator for more complex health situations.

4

Ensure It's Accessible and Review Regularly

Keep your ACP where it can be found. Review and update it as your circumstances or preferences change.

myACP is Free

The myACP digital tool is free for generally healthy Singaporeans. It allows you to document your ACP online at your own pace.

For those with complex health conditions, ACP facilitation sessions are available at hospitals and polyclinics.

Learn More About ACP

Visit official Singapore resources

Premium Module

HNW & Affluent Legacy Planning

For families with significant assets, legacy planning requires a more sophisticated approach.

1

Asset Structure & Liquidity

Plan for cash needs at transition. Ensure liquidity for taxes, fees, and family support without forced asset sales.

2

Family Governance

Establish clear communication and decision-making protocols. Prevent disputes through transparency and structure.

3

Cross-Border Complexity

Assets in multiple jurisdictions require careful planning for different legal systems and tax implications.

4

Business Integration

Align business succession with personal legacy. Separate business control from wealth distribution.

Common HNW Planning Gaps

Too many assets scattered across platforms with no consolidated map

No liquidity plan for transition costs and ongoing family needs

Over-reliance on verbal promises instead of documentation

No continuity plan for incapacity (LPA not done)

Understanding Trusts for HNW Families

What is a Trust?

A trust is a legal arrangement where a trustee holds and manages assets for the benefit of beneficiaries according to terms you set. It's a powerful tool for:

  • Protecting assets from mismanagement
  • Providing for minor children or special needs dependents
  • Controlling distribution timing and conditions
  • Potentially bypassing probate (depending on structure)

Types of Trusts

Living Trust

Created during your lifetime. Can be revocable or irrevocable.

Testamentary Trust

Created by your Will and takes effect after death.

Insurance Trust

Holds life insurance policies, keeping proceeds outside estate.

Note on Costs: Trust setup costs vary significantly based on complexity, jurisdiction, and professional fees. Setup can range from several thousand to tens of thousands of dollars, with ongoing administration costs. Consult qualified professionals for your specific situation.

Need a Legacy Map?

We can help create a one-page legacy roadmap covering assets, beneficiaries, decision-makers, and continuity gaps.

PM for Legacy Map

For Business Owners

Family Business & Business Owner Planning

Business value can collapse quickly during disputes or incapacity. Succession and control are different from inheritance.

Why Business Owners Need Specific Planning

Business Value at Risk

Without continuity planning, business value can deteriorate rapidly during transition periods

Key Person Dependency

If you're the key decision-maker, operations may halt without a plan

Personal Guarantees

Business liabilities often extend to personal assets through guarantees

Family Disputes

Mixing family inheritance with business control often leads to conflict

Business Continuity Stack

1

Key Person Planning

Identify key personnel and their roles. Plan for replacement or interim management.

2

Shareholder Agreements

Clear terms for share transfer, buy-out triggers, and valuation methods.

3

Buy-Sell Planning

Funded arrangements for share transfer upon death, disability, or exit.

4

Succession Planning

Who takes over? Family member, key employee, or outside buyer?

5

Liquidity Planning

Cash flow for operations, share buyouts, and family support during transition.

6

Family Protocol

Communication plan with family about business decisions and expectations.

Business Owner Continuity Checklist

7 categories • 50+ items • Click to expand each section

0/50 completed

Need help completing your checklist?

Get a professional Business Continuity Review

PM for Review

Execution Guide

What Happens After Death

A calm overview of what your family will need to do. Good planning makes this process clearer.

What Your Family Does: Overview

1

Notify relevant institutions

CPF Board, banks, insurance companies, employers

2

Identify nominations

CPF nominations, insurance nominations

3

Locate the Will

Identify executor and begin probate if needed

4

Separate nominated vs estate assets

Nominated assets pay out directly; estate assets go through probate

5

Settle outstanding obligations

Bills, taxes, debts, ongoing commitments

6

Distribute according to Will/intestacy

Follow legal process for remaining estate assets

Key Benefit of Planning: Nominated assets (CPF, insurance with nominations) pay out much faster than estate assets, providing immediate liquidity for your family.

The Financial Journey After Death

1

Death Occurs

Process begins

2

Assets Identified

Bank, investments, property

3

CPF Handled Separately

Does not follow will

4

Debts Assessed

Liabilities reviewed

5

Estate Distributed

To beneficiaries

6

Accounts Closed

Process complete

Key Understanding: Different assets follow different rules. CPF, insurance with nominations, and jointly-held property may bypass the will entirely.

What Counts as 'Your Assets'

Understanding how different types of assets are handled after death.

Bank Accounts

Cash, savings, fixed deposits in your name.

Goes through: Estate

Nomination: No (follows will)

CPF Savings

OA, SA, MA, CPF LIFE balances.

Goes through: CPF Nomination or Public Trustee

Nomination: Yes (critical)

Insurance Payouts

Life insurance, accident insurance proceeds.

Goes through: Nominee or Estate

Nomination: Yes (recommended)

Investments

Stocks, funds, robo-advisors, brokerage accounts.

Goes through: Estate

Nomination: Some platforms allow

Property

HDB flat, private property, landed.

Goes through: Depends on ownership type

Important: Joint tenancy vs Tenancy-in-common

Business Interests

Company shares, partnerships, sole proprietorship.

Goes through: Estate (complex)

Note: May need business succession plan

What Happens to CPF Savings After Death

CPF savings follow their own rules, separate from your will.

With CPF Nomination

1

CPF savings identified

2

Paid directly to nominees

Faster, bypasses estate

Benefit: Nominees receive funds within weeks, not months.

Without CPF Nomination

1

CPF goes to Public Trustee

2

Distributed under intestacy rules

3

Delays possible

Risk: Your will does NOT control CPF distribution.

What About CPF LIFE?

  • Monthly payouts stop upon death
  • Remaining CPF LIFE balances may be paid to beneficiaries
  • Follows CPF nomination if made

CPF does not follow your will unless nominated.

What Happens to Insurance Payouts

With Nomination

  • Paid directly to nominee
  • Does not form part of estate
  • Faster payout
  • Generally not subject to creditors' claims

Without Nomination

  • Paid to estate
  • Subject to probate
  • Delays possible
  • May be used to settle debts first

Types of Insurance Covered

Life Insurance

Term life, whole life, endowment

Accident Insurance

Personal accident policies

Critical Illness

If claimable before death

What Happens to Property After Death

Property ownership structure determines how it passes on.

Sole Ownership

Property owned by one person only.

Result: Goes into estate, distributed via will or intestacy rules.

Joint Tenancy

Common for married couples.

Result: Surviving owner automatically inherits the whole property.

Tenancy-in-Common

Owners hold distinct shares.

Result: Your share goes into estate, not automatically to co-owner.

Property structure matters more than people realise. Many assume their property will automatically go to their spouse, but this depends entirely on how the property is held. Check your property title to understand your ownership structure.

What Happens to Debts After Death

Common Belief

"Family inherits the debt."

Reality

Debts are paid from the estate, not automatically passed to family.

How Different Debts Are Handled

Mortgage

If there is mortgage protection (HPS or private MRTA), the loan is paid off. Without protection, the estate or co-borrower must continue payments or the property may be sold.

Personal Loans

Paid from the estate. If the estate is insufficient, the debt is typically written off (unless there is a guarantor).

Credit Cards

Outstanding balance is settled from the estate. Supplementary cardholders are generally not liable for the principal's debt.

Business Guarantees

Caution: Personal guarantees for business loans can become a liability. The guarantee obligation may pass to the estate.

Key Point: If the estate is insufficient to cover all debts, liabilities are settled up to the estate value. Family members are generally not personally liable for the deceased's unsecured debts.

Step-by-Step Financial Checklist After Death

Immediately

Obtain death certificate (multiple certified copies)

Secure important documents (will, insurance policies, property titles)

Locate any safe deposit boxes

Shortly After (First Few Weeks)

Notify banks and request account freeze

Notify insurance companies and initiate claims

Notify CPF Board

Check for CPF and insurance nominations

Identify all assets and liabilities

Later (Weeks to Months)

Apply for Grant of Probate (if will exists) or Letters of Administration

Settle outstanding debts from estate

Distribute estate to beneficiaries

Close accounts and cancel subscriptions/utilities

File final tax return (if applicable)

Common Mistakes Families Make

Understanding these issues can help you plan ahead.

Gap

No CPF nomination

CPF goes to Public Trustee instead of intended beneficiaries, causing delays.

Gap

Assuming will covers CPF

Your will does NOT control CPF distribution. CPF requires a separate nomination.

Gap

Not knowing where accounts are

Family struggles to locate bank accounts, investments, and policies.

Gap

Mixing personal and estate funds

Using deceased's accounts before proper authorization creates legal issues.

Gap

Delaying notifications

Late notification to banks/insurers can complicate claims process.

Gap

Not understanding property ownership type

Joint tenancy vs tenancy-in-common determines how property passes on.

Gap

Ignoring overseas assets

Foreign assets may require separate probate in that jurisdiction.

Gap

Leaving everything undocumented

No list of accounts, passwords, or instructions creates chaos for family.

Many of these issues can be addressed early with clear legacy and family estate planning.

How Planning Helps

Today

Clear Nominations

Clear Instructions

Less Stress for Family

Planning is about clarity, not control.

It is about making things easier for the people you care about during a difficult time.

Islamic Legacy Planning

Muslim Legacy Planning in Singapore

Special considerations for Muslim Singaporeans, including CPF as Hibah, Faraid, and Wasiat.

CPF Nomination as Hibah (Gift)

According to a 2010 Fatwa by the Majlis Ugama Islam Singapura (MUIS), CPF nominations are recognized as Hibah (absolute gift) rather than part of the estate.

Key Implication: CPF savings distributed via nomination are treated as a gift, separate from Faraid inheritance distribution. A non-nominated Faraid heir cannot claim CPF savings if they are not named as a nominee.

Faraid (Islamic Inheritance Law)

Faraid is the mandatory Islamic inheritance distribution that applies to a Muslim's estate assets in Singapore.

  • Applies to estate assets without valid nomination
  • Fixed shares for specific relatives (spouse, children, parents, etc.)
  • Administered by Syariah Court for Muslims in Singapore

Wasiat (Islamic Will)

A Wasiat allows Muslims to allocate up to one-third (1/3) of their estate to non-Faraid beneficiaries or charitable causes.

  • Maximum 1/3 of estate can be distributed via Wasiat
  • Can benefit non-Faraid heirs (e.g., adopted children, charity)
  • Cannot give additional benefits to existing Faraid heirs

Step-by-Step: Muslim Legacy Planning

1

Clarify family structure and obligations

Understand who your Faraid heirs are and their respective shares.

2

Make CPF nomination intentionally

Even if you want alignment with Faraid, make a nomination to control distribution and avoid Public Trustee fees.

3

Review insurance nominations

MUIS also recognizes revocable insurance nomination as Hibah. Ensure nominations reflect your intentions.

4

Prepare Wasiat where appropriate

If you wish to benefit non-Faraid heirs (up to 1/3 of estate), prepare a valid Wasiat.

5

Plan for incapacity: LPA + ACP

These tools apply to all Singaporeans regardless of religion.

6

Document and communicate

Keep a "Legacy Map" accessible and ensure family knows where to find important documents.

What Happens Without CPF Nomination (For Muslims)

If a Muslim Singaporean passes away without a CPF nomination:

  • CPF savings go to the Public Trustee's Office
  • Distribution follows Faraid (Certificate of Inheritance from Syariah Court)
  • Administration fees apply and the process takes longer

Muslim Legacy Planning Resources

Official Singapore resources

This section is informational and should be aligned with religious guidance and professional advice where needed. Please consult with MUIS or qualified Islamic advisors for your specific situation.

What to Expect

Cost, Effort, and Timeline

A realistic overview of what legacy planning involves.

Cost

  • CPF nomination: Free
  • LPA Form 1: Free for SC (until 31 Mar 2026)
  • myACP: Free for generally healthy
  • Wills: Varies by complexity
  • Trusts: Higher setup + ongoing costs
  • Public Trustee: Min $15 fee for un-nominated CPF

Effort

  • CPF nomination: ~30 mins online
  • Insurance nomination: Via insurer
  • LPA: Form + certification + registration
  • Will: Lawyer consultation + drafting
  • ACP: Reflection + documentation
  • Trust: Significant planning needed

Timeline

  • CPF nomination: Immediate
  • Insurance nomination: Usually quick
  • LPA registration: ~3 weeks
  • Will: Varies by lawyer
  • Review frequency: Annually or after major life changes

Good planning is not about complexity. It's about clarity and continuity.

Learn More

Resources & Video

CPF Board: Why Legacy Planning Matters

Life Insurance Protection

Life & Legacy Protection

Life insurance provides financial protection for your dependents if you pass away. It ensures your family can maintain their lifestyle, pay off debts, fund education, and achieve goals even without your income.

Protection Gap in Singapore

The Life Insurance Association of Singapore suggests a protection gap - the difference between what families need and what they have. Studies show average Singaporeans are underinsured by $200,000-400,000. Dependants Relief System (DRS) provides some CPF protection but is limited.

Who This Is For

Income earners with dependents and financial obligations

Primary Goal

Protect your loved ones from financial hardship

Without Protection

Risks your family may face

  • Family would struggle financially without your income
  • Outstanding mortgage and debts would burden loved ones
  • Children's education funding would be at risk
  • Business obligations would be unfulfilled

Our Approach

How we protect your family

  • Income replacement calculation based on family needs
  • Debt coverage analysis including mortgage and loans
  • Education funding requirements for children
  • Combination of term and whole life based on needs

Key Considerations

Coverage Amount

Rule of thumb: 10-12x annual income. More precise: calculate total family needs minus existing resources.

Term vs Whole Life

Term is cost-effective for pure protection. Whole life includes savings but costs more. Most people need both.

Coverage Period

Coverage until youngest child is financially independent, debts are paid, or spouse can self-support.

Pro Tips

1

Coverage should be 10-12x annual income as a starting point, then adjust for your specific situation

2

Review coverage when dependents change - marriage, children, elderly parents

3

Term insurance is most cost-effective for pure protection - maximize this first

4

Consider decreasing term for mortgage coverage as loan reduces over time

5

Do not let existing coverage lapse before new coverage is in force

6

Disclose all medical history honestly - non-disclosure can void claims

Frequently Asked Questions

Q How much life insurance do I need?

Calculate your family's annual expenses x years needed, plus debts, minus existing resources. We can help you calculate your specific number.

Q Term or whole life insurance?

Both have roles. Term for high coverage at low cost. Whole life for permanent needs like estate planning. Most people need a combination.

Q What if I have no dependents?

You may still need coverage for debts, funeral expenses, or to leave a legacy. Coverage needs are lower but not zero.

Planning for Legacy and Family Estate

PM us to build a clear, private legacy roadmap that aligns CPF nominations, insurance nominations, family needs, and business continuity.

How This Fits Your Plan