Upcoming CPF Amendments

For those who are new to Singapore or who are not familiar with CPF, here’s a quick crash course to what it’s all about. 

The CPF - Central Provident Fund - is a mandatory social security savings scheme funded by contributions from both employers and employees. This fund then helps Singaporeans and Permanent Residents with our retirement, medical and housing needs. 

The monthly contributions are then split into 3 different accounts:

Account Type	What It’s For
Ordinary Account	Retirement & Housing Needs
Special Account	Retirement
MediSave Account	Healthcare

The percentage of your income that will be contributed to your CPF account is dependent on your age and gross monthly income. 

Following the 2024 Budget Announcements, there were some changes made to our CPF.

Total CPF contribution rates for senior workers aged above 55 to 65 will be increased by 1.5% from 2025

From 1 January 2025, the 1.5% increment in contribution rates will be split into a 0.5% increase from employers and 1% from employees. T

Increase in CPF Ordinary Wage ceiling from 1 January 2025

The Ordinary Wage ceiling limits the amount of ordinary wages that attract CPF contributions in a calendar month for all employees. The current ceiling is capped at S$6,800 and will be further increased to S$7,400 effective 1 January 2025. By 2026, the ceiling will be raised to S$8,000. 

There will be no amendments to the CPF annual salary ceiling. 

It is always good to take note of these changes that are usually applied in phases. Triplicity is a quick phone call or text message away from providing our outsourced payroll services to you - saving you the hassle of keeping track of these changes and the nitty gritty details of payroll administration for your employees.