In 2025, Singapore’s senior citizens are set to receive expanded financial support and improved retirement security. Updates to the Central Provident Fund (CPF) and Silver Support Scheme reflect the government’s aim to ensure that seniors enjoy a more financially stable and dignified retirement. From higher contribution rates to more inclusive eligibility rules, here’s everything seniors should know this year.
CPF Contribution Rate Increases for Seniors
Starting from January 1, 2025, CPF contribution rates for employees aged above 55 to 65 will increase by 1.5 percentage points. This increase will be shared between employers (0.5 percentage points) and employees (1 percentage point). The goal is to help older workers build up their retirement savings at a faster pace and ensure more sustainable CPF LIFE payouts in their later years.
Closure of CPF Special Account (SA)
From the second half of January 2025, the CPF Special Account (SA) will be closed for members aged 55 and above. Savings from the SA will be transferred to the Retirement Account (RA) up to the Full Retirement Sum (FRS). Any remaining withdrawable amount in the SA will be moved to the Ordinary Account (OA). This move is intended to streamline retirement savings and optimize long-term interest earnings.
Enhanced Retirement Sum Raised to $426,000
Effective from January 1, 2025, the Enhanced Retirement Sum (ERS) will be increased to $426,000. This new threshold allows CPF members turning 55 in 2025 to top up more into their Retirement Account. The objective is to encourage higher CPF LIFE payouts and help seniors better cover their retirement needs over time.
Silver Support Scheme 2025 Enhancements
The Silver Support Scheme, which provides quarterly payouts to seniors with lower lifetime incomes and limited savings, has been enhanced for 2025. These changes include both payout increases and relaxed eligibility requirements.
Eligibility Criteria:
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Must be a Singapore citizen aged 65 and above
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Total CPF contributions by age 55 must not exceed $140,000
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Must live in a 1- to 5-room HDB flat and not own private property or multiple properties
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Household monthly income per person must not exceed $2,300
Quarterly Payouts (From July 2025):
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1- and 2-room flats: Up to $1,080
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3-room flats: Up to $860
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4-room flats: Up to $650
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5-room flats (if eligible): Up to $430
Eligible seniors will be automatically assessed and paid, without needing to apply. Notifications will be issued to qualified individuals annually.
Silver Housing Bonus 2025 Enhancements
The Silver Housing Bonus (SHB) provides cash incentives to seniors who choose to right-size their homes. Updates taking effect from December 1, 2025, aim to increase the attractiveness and accessibility of this scheme.
Key Updates:
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An additional $10,000 cash bonus will be given to seniors who move into two-room or smaller flats, including community care apartments
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Eligibility expanded to include those selling private homes with annual values between $21,000 and $31,000
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Seniors may now qualify by committing to a net increase of up to $60,000 in their CPF Retirement Account, including any CPF housing refunds
These changes are part of the government’s broader effort to promote active aging and financial readiness in retirement.
FAQs
What are the new CPF contribution rates for seniors in 2025?
From January 1, 2025, seniors aged above 55 to 65 will see their CPF contribution rates rise by 1.5 percentage points—0.5% from employers and 1% from employees—to boost their retirement savings.
What happens to the CPF Special Account after January 2025?
For members aged 55 and above, the Special Account will be closed. Funds will be transferred to the Retirement Account up to the Full Retirement Sum, while any excess withdrawable amounts will go to the Ordinary Account.
Who qualifies for the enhanced Silver Support Scheme?
Singapore citizens aged 65 and above who had low CPF contributions, live in HDB flats, do not own private or multiple properties, and whose per-person household income is $2,300 or less qualify for the enhanced payouts.
How much will I receive from the Silver Support Scheme?
Depending on your flat type, quarterly payouts range from $430 (for some 5-room flat residents) to $1,080 (for 1- and 2-room flat residents), starting from July 2025.
What changes were made to the Silver Housing Bonus?
From December 2025, seniors will receive an additional $10,000 if they move into smaller flats. They’ll also have more flexibility in qualifying by using CPF housing refunds and private property proceeds to meet contribution requirements.
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