Singaporean households can now redeem $300 CDC vouchers
SINGAPORE – Every Singaporean household can now claim $300 in CDC vouchers for its daily expenses.
The vouchers can be claimed online at go.gov.sg/cdcv, and will be split equally for spending at participating hawkers and heartland merchants, and supermarkets.
The last tranche of CDC vouchers worth $500was launched by then Deputy Prime Minister Lawrence Wong on Jan 3, 2024.
It provided households with $200 more help than the previous tranche in 2023.
The $500 given out in January, together with the $300 in June, means that each Singaporean household will get a total of $800 in 2024. This is the first time two tranches of CDC vouchers have been given out in the same calendar year.
Prime Minister Wong, who is also Finance Minister, announced at Budget 2024 in February that Singaporeans will get a mix of cash, vouchers and rebates under a$1.9 billion boost to the Assurance Package to help with cost-of-living concerns and an uncertain economic outlook.
Among the enhancements were an additional $600 in CDC vouchers – the first $300 to be disbursed in end-June in 2024, and the remaining $300 in January 2025.
Deputy Prime Minister Gan Kim Yong, who is also Minister for Trade and Industry, launched the latest tranche of CDC vouchers at West Coast Community Centre on June 25. With him were National Development Minister Desmond Lee, who is also Minister-in-charge of Social Services Integration and an MP for West Coast GRC, as well as the five mayors.
DPM Gan said the total support provided in the Assurance Package is more than $10 billion. All in all, each household would have received $1,300 worth of CDC vouchers to date.
He added that about 1.3 million households have claimed the CDC vouchers disbursed in January 2024.
Of the claimed vouchers, more than $500 million has been spent at participating heartland merchants, hawkers and supermarkets. On the whole, Singaporean households have used more than $1 billion of CDC vouchers across the four tranches.
“The CDC vouchers scheme is a testament to the Government’s commitment to help Singaporeans address cost-of-living concerns,” said DPM Gan. “I want to assure Singaporeans that the Government understands your concerns and stands ready to support you when necessary.”
The CDC vouchers scheme was first introduced in June 2020 during the Covd-19 pandemic to help lower-income households defray their daily expenses, while supporting local merchants and hawkers affected by the pandemic. It was expanded to all households in December 2021 to thank Singaporeans for their solidarity during the pandemic, and to support heartland businesses as they emerged from it.
CPF Special Account closure not aimed at saving interest monies: Tan See Leng
IN CLOSING Central Provident Fund (CPF) Special Accounts (SAs) for members aged 55 and above, the government is not trying to save money that is paid out as interest, said Manpower Minister Tan See Leng in Parliament on Wednesday (Feb 28).
Rather, the move ensures that funds which are meant for long-term savings are appropriately put in a long-term retirement account, he said on the third day of the Budget 2024 debate.
The move to close SAs for those aged 55 and above, which will take effect in 2025, was announced by Finance Minister Lawrence Wong in his Budget speech on Feb 16.
Upon closure, SA savings will be transferred to the Retirement Account (RA) up to the Full Retirement Sum, with remaining monies going to the Ordinary Account (OA).
In Parliament on Wednesday, Progress Singapore Party Non-Constituency Member of Parliament Leong Mun Wai asked how much more the government was paying to CPF SAs, due to the difference in interest rates with the OA.
SA savings earn an interest rate of at least 4 per cent, while OA savings earn 2.5 per cent.
Wong said he did not have specifics on how much more the government is paying, but that the move was being made because the RA earns that same long-term interest rate of at least 4 per cent.
Taking up Leong’s question, Dr Tan said: “I think it’s important that members of the House understand that the closure of the SA is not aimed at saving interest monies.”
Rather, it ensures that monies meant for the long term are put in a long-term account, he said. OA and SA savings can be withdrawn on demand for members aged 55 and above, whereas RA savings cannot.
Said Dr Tan: “I don’t think that there’s any system in the world, any financial institution in the world, any bank in the world that will pay a long-term assured fixed deposit interest rate and allow you the flexibility to withdraw like an ATM.”
Those aged 55 and above who want the flexibility of withdrawing their monies can always leave their funds in the OA, said Dr Tan. They are also free to invest their monies through other instruments, such as T-bills.
“This is not about saving money, it is not about locking up money,” said Dr Tan, adding that he will provide a fuller explanation on the move during the Ministry of Manpower’s Committee of Supply debate.
Once upon a time I harboured hopes of TSL being somewhat different, that he would actually be one for the people - turns out he is yet another piece of shit cut from the same dirty cloth.
Singaporeans Say Budget Fails to Ease Living Costs: Survey
Six in 10 Singapore citizens and residents think that the government’s latest budget measures aren’t enough to help them cope with the rising cost of living, according to a survey.
Of the 1,002 respondents polled by Milieu Insight from Feb. 17-19, 62% said the initiatives were insufficient. Those in the 35-44 age group felt most strongly that the measures announced last Friday didn’t go far enough.
On whether the steps made respondents “feel more reassured about managing costs of living,” only 35% agreed while 44% reported feeling neutral.
Singapore’s ruling party is giving handouts to ease angst over rising costs while navigating a path back to fiscal prudence. The spending plan announced by Finance Minister Lawrence Wong is expected to swing the government budget back to a surplus, after the widest deficit since the pandemic.
The S$600 ($445) worth of vouchers that Singaporean households can use at groceries and hawker centers was by far considered to have the most significant impact by respondents to the Milieu poll.
The budget was more conservative than expected, as the Finance Ministry looks to minimize the risks of overheating the economy, said Kai Wei Ang, an economist at Bank of America.
The budget address underlined “elevated concerns” about inflation and cost-of-living issues that are closely watched by the Monetary Authority of Singapore, the analyst said.
Mr Lawrence Wong Woke Up on Friday Morning and Chose Violence.
Our whole company had our “introduction to pickleball” session this morning.
Pickleball was the poison chosen by our company’s culture planning community to keep us cohesive and to help emphasize certain aspects of our culture we should deepen this year.
Having a “strong mind” was one of those.
I certainly needed a strong mind after an entire morning of running around, bending down to pick up balls and then having to be the note-taker for this year’s Singapore budget.
Finance Minister Lawrence Wong woke up on Friday morning with a different idea.
He chose violence and decided to nuke the CPF Special Account for CPF members who are 55 years old and older.
My CEO, Chris, thought this wasn’t that big of a change.
You should see the meltdown transpiring within the 1M65 Telegram group.
My colleague Choong Hwee and myself were both moderators there, but we had to concentrate on listening to the budget.
Before you know it, his unread messages on 1M65 blew up to 1000+.
My CEO couldn’t have been more wrong. So many rich people with so much money that they wanted to shield from spiralling inflation or have already shielded in their CPF SA were extremely incensed! It was as if the government suddenly announced that all your freehold properties would now be converted to 99-year leasehold ones instead.
After 1 day, I had more time to digest most of the announcements during the Singapore Budget and I think this CPF change is kinda big enough for me to reflect more upon it.
Suffice to say, this technically affects the financial planning strategies for our existing clients in a myriad of ways. Do note that whatever I post here are my own personal views and not representative of Providend, or now Havend , whom I technically work for.
Here are my short thoughts (I want to go back to resting and not doing anything).
Two Related Announcements that Should be Considered Together
Mr Lawrence Wong announced that
1. They shall be raising the CPF Enhanced Retirement Sum (ERS) from 3 times the CPF Basic Retirement Sum (BRS) to 4 times.
2. They will be closing the CPF Member’s CPF Special Account (SA) after the member turns 55 years old. The monies accumulated in the CPF SA will go to:
• Your CPF Retirement Account (RA) to meet the CPF Full Retirement Sum (FRS), which for example comes up to $213,000 for those who turned 55 year old in 2025.
• The rest will be allocated to your CPF OA.
• Your CPF SA will subsequently be closed.
A good way to understand this is to watch this video created by CPF:
By default, the government wants us to accumulate enough in our CPF so that we can have enough passive income for our retirement. Which is why they set this CPF FRS.
For those who don’t wish to put so much into their CPF LIFE or have prudently secured a home that can be sustained long enough relative to one's life expectancy (95 years old according to the G), they could set aside just half (of the CPF BRS) in their RA.
However, for those who feel that they require a larger safety net, the government allows them to top up their CPF RA with cash, or transfer from their OA to augment this CPF ERS sum.
In the past, members could only top up their RA to 3 x BRS but with this change you can now do so up to 4 x.
Not just that, but you can top up to the PREVAILING ERS and not the ERS deemed for your 55-year-old cohort.
What this means is that when the ERS moved up from $426k in 2025 to $456k, you can top up your CPF RA to $456k.
Then again, why would you want to do that?
Eventually, CPF LIFE will pay out a fixed monthly income that is guaranteed for life. The table above (courtesy of the Straits Times) gives you an illustration with regards to the amount of income that can be bumped up.
CPF LIFE, otherwise known as the CPF Lifelong Income For the Elderly, is a national longevity insurance annuity that provides you with monthly payouts for life. An annuity is a long-term financial scheme where the insurer provides a steady stream of payment to the insured, over a long period of time.
Singaporean households can now redeem $300 CDC vouchers
SINGAPORE – Every Singaporean household can now claim $300 in CDC vouchers for its daily expenses.
The vouchers can be claimed online at go.gov.sg/cdcv, and will be split equally for spending at participating hawkers and heartland merchants, and supermarkets.
The last tranche of CDC vouchers worth $500 was launched by then Deputy Prime Minister Lawrence Wong on Jan 3, 2024.
It provided households with $200 more help than the previous tranche in 2023.
The $500 given out in January, together with the $300 in June, means that each Singaporean household will get a total of $800 in 2024. This is the first time two tranches of CDC vouchers have been given out in the same calendar year.
Prime Minister Wong, who is also Finance Minister, announced at Budget 2024 in February that Singaporeans will get a mix of cash, vouchers and rebates under a $1.9 billion boost to the Assurance Package to help with cost-of-living concerns and an uncertain economic outlook.
Among the enhancements were an additional $600 in CDC vouchers – the first $300 to be disbursed in end-June in 2024, and the remaining $300 in January 2025.
Deputy Prime Minister Gan Kim Yong, who is also Minister for Trade and Industry, launched the latest tranche of CDC vouchers at West Coast Community Centre on June 25. With him were National Development Minister Desmond Lee, who is also Minister-in-charge of Social Services Integration and an MP for West Coast GRC, as well as the five mayors.
DPM Gan said the total support provided in the Assurance Package is more than $10 billion. All in all, each household would have received $1,300 worth of CDC vouchers to date.
He added that about 1.3 million households have claimed the CDC vouchers disbursed in January 2024.
Of the claimed vouchers, more than $500 million has been spent at participating heartland merchants, hawkers and supermarkets. On the whole, Singaporean households have used more than $1 billion of CDC vouchers across the four tranches.
“The CDC vouchers scheme is a testament to the Government’s commitment to help Singaporeans address cost-of-living concerns,” said DPM Gan. “I want to assure Singaporeans that the Government understands your concerns and stands ready to support you when necessary.”
The CDC vouchers scheme was first introduced in June 2020 during the Covd-19 pandemic to help lower-income households defray their daily expenses, while supporting local merchants and hawkers affected by the pandemic. It was expanded to all households in December 2021 to thank Singaporeans for their solidarity during the pandemic, and to support heartland businesses as they emerged from it.
More at https://www.straitstimes.com/singapore/s-porean-households-can-now-redeem-300-cdc-vouchers
KNN Laulan Wong just spammed my mailbox with his booklet of chicken wings today!
CPF Special Account closure not aimed at saving interest monies: Tan See Leng
IN CLOSING Central Provident Fund (CPF) Special Accounts (SAs) for members aged 55 and above, the government is not trying to save money that is paid out as interest, said Manpower Minister Tan See Leng in Parliament on Wednesday (Feb 28).
Rather, the move ensures that funds which are meant for long-term savings are appropriately put in a long-term retirement account, he said on the third day of the Budget 2024 debate.
The move to close SAs for those aged 55 and above, which will take effect in 2025, was announced by Finance Minister Lawrence Wong in his Budget speech on Feb 16.
Upon closure, SA savings will be transferred to the Retirement Account (RA) up to the Full Retirement Sum, with remaining monies going to the Ordinary Account (OA).
In Parliament on Wednesday, Progress Singapore Party Non-Constituency Member of Parliament Leong Mun Wai asked how much more the government was paying to CPF SAs, due to the difference in interest rates with the OA.
SA savings earn an interest rate of at least 4 per cent, while OA savings earn 2.5 per cent.
Wong said he did not have specifics on how much more the government is paying, but that the move was being made because the RA earns that same long-term interest rate of at least 4 per cent.
Taking up Leong’s question, Dr Tan said: “I think it’s important that members of the House understand that the closure of the SA is not aimed at saving interest monies.”
Rather, it ensures that monies meant for the long term are put in a long-term account, he said. OA and SA savings can be withdrawn on demand for members aged 55 and above, whereas RA savings cannot.
Said Dr Tan: “I don’t think that there’s any system in the world, any financial institution in the world, any bank in the world that will pay a long-term assured fixed deposit interest rate and allow you the flexibility to withdraw like an ATM.”
Those aged 55 and above who want the flexibility of withdrawing their monies can always leave their funds in the OA, said Dr Tan. They are also free to invest their monies through other instruments, such as T-bills.
“This is not about saving money, it is not about locking up money,” said Dr Tan, adding that he will provide a fuller explanation on the move during the Ministry of Manpower’s Committee of Supply debate.
https://www.businesstimes.com.sg/singapore/cpf-special-account-closure-not-aimed-at-saving-interest-monies-tan-see-leng
Singaporeans Say Budget Fails to Ease Living Costs: Survey
Six in 10 Singapore citizens and residents think that the government’s latest budget measures aren’t enough to help them cope with the rising cost of living, according to a survey.
Of the 1,002 respondents polled by Milieu Insight from Feb. 17-19, 62% said the initiatives were insufficient. Those in the 35-44 age group felt most strongly that the measures announced last Friday didn’t go far enough.
On whether the steps made respondents “feel more reassured about managing costs of living,” only 35% agreed while 44% reported feeling neutral.
Singapore’s ruling party is giving handouts to ease angst over rising costs while navigating a path back to fiscal prudence. The spending plan announced by Finance Minister Lawrence Wong is expected to swing the government budget back to a surplus, after the widest deficit since the pandemic.
The S$600 ($445) worth of vouchers that Singaporean households can use at groceries and hawker centers was by far considered to have the most significant impact by respondents to the Milieu poll.
The budget was more conservative than expected, as the Finance Ministry looks to minimize the risks of overheating the economy, said Kai Wei Ang, an economist at Bank of America.
The budget address underlined “elevated concerns” about inflation and cost-of-living issues that are closely watched by the Monetary Authority of Singapore, the analyst said.
https://www.bloomberg.com/news/articles/2024-02-20/singaporeans-say-budget-fails-to-ease-living-costs-survey-finds
Mr Lawrence Wong Woke Up on Friday Morning and Chose Violence.
Our whole company had our “introduction to pickleball” session this morning.
Pickleball was the poison chosen by our company’s culture planning community to keep us cohesive and to help emphasize certain aspects of our culture we should deepen this year.
Having a “strong mind” was one of those.
I certainly needed a strong mind after an entire morning of running around, bending down to pick up balls and then having to be the note-taker for this year’s Singapore budget.
Finance Minister Lawrence Wong woke up on Friday morning with a different idea.
He chose violence and decided to nuke the CPF Special Account for CPF members who are 55 years old and older.
My CEO, Chris, thought this wasn’t that big of a change.
You should see the meltdown transpiring within the 1M65 Telegram group.
My colleague Choong Hwee and myself were both moderators there, but we had to concentrate on listening to the budget.
Before you know it, his unread messages on 1M65 blew up to 1000+.
My CEO couldn’t have been more wrong. So many rich people with so much money that they wanted to shield from spiralling inflation or have already shielded in their CPF SA were extremely incensed! It was as if the government suddenly announced that all your freehold properties would now be converted to 99-year leasehold ones instead.
After 1 day, I had more time to digest most of the announcements during the Singapore Budget and I think this CPF change is kinda big enough for me to reflect more upon it.
Suffice to say, this technically affects the financial planning strategies for our existing clients in a myriad of ways. Do note that whatever I post here are my own personal views and not representative of Providend, or now Havend , whom I technically work for.
Here are my short thoughts (I want to go back to resting and not doing anything).
Two Related Announcements that Should be Considered Together
Mr Lawrence Wong announced that
1. They shall be raising the CPF Enhanced Retirement Sum (ERS) from 3 times the CPF Basic Retirement Sum (BRS) to 4 times.
2. They will be closing the CPF Member’s CPF Special Account (SA) after the member turns 55 years old. The monies accumulated in the CPF SA will go to:
• Your CPF Retirement Account (RA) to meet the CPF Full Retirement Sum (FRS), which for example comes up to $213,000 for those who turned 55 year old in 2025.
• The rest will be allocated to your CPF OA.
• Your CPF SA will subsequently be closed.
A good way to understand this is to watch this video created by CPF:
By default, the government wants us to accumulate enough in our CPF so that we can have enough passive income for our retirement. Which is why they set this CPF FRS.
For those who don’t wish to put so much into their CPF LIFE or have prudently secured a home that can be sustained long enough relative to one's life expectancy (95 years old according to the G), they could set aside just half (of the CPF BRS) in their RA.
However, for those who feel that they require a larger safety net, the government allows them to top up their CPF RA with cash, or transfer from their OA to augment this CPF ERS sum.
In the past, members could only top up their RA to 3 x BRS but with this change you can now do so up to 4 x.
Not just that, but you can top up to the PREVAILING ERS and not the ERS deemed for your 55-year-old cohort.
What this means is that when the ERS moved up from $426k in 2025 to $456k, you can top up your CPF RA to $456k.
Then again, why would you want to do that?
Eventually, CPF LIFE will pay out a fixed monthly income that is guaranteed for life. The table above (courtesy of the Straits Times) gives you an illustration with regards to the amount of income that can be bumped up.
A lot more at https://investmentmoats.com/money/singapore-budget-2024-sa-account-after-55-nuked/
Mothershit went around asking MPs for their thoughts on Budget 2024, check out their odiously obsequious replies 👇
The MIW yet again throwing money at problems, of which majority they are the main architects - what's new?
Arigato Pay And Pay for gifting us an additional tranche of CDC vouchers :)
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