Committee of Supply Speeches 2019: CPF Highlights

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5 March 2019

 

The following highlights are from Minister for Manpower Josephine Teo’s speech during the FY2019 Committee of Supply Debate in Parliament on 5 March 2019:

 

View Ministry of Manpower’s Committee of Supply speeches 2019.

 

Contribute-as-you-earn

 

Self-Employed Persons (SEPs) are required to contribute to their MediSave accounts on an annual basis. They can additionally make voluntary CPF contributions to build up their retirement savings. Even though MediSave contributions are mandatory today, some SEPs face difficulties making regular contributions.

 

The "contribute-as-you-earn" (CAYE) model will be introduced to make it easier for SEPs to make small regular contributions to MediSave instead of bigger lump-sums at year-end. Government, as the service buyer, is on track to pilot CAYE from the first quarter of 2020.

 

More details will be provided later in 2019.

 

CPF Retirement Planning Service

 

Following a successful pilot in 2017, the CPF Retirement Planning Service has been made available to all CPF members reaching the payout eligibility age of 65 this year. Members reaching 65 can make an appointment to attend a one-to-one session whereby CPF officers provide personalised guidance through decisions such as when they want to start their CPF payouts and the option to switch to a CPF LIFE plan.

 

Contact information

 

For more information on the CPF Retirement Planning Service:

Hotline: 1800-227-1188 (Mondays to Fridays: 8am to 5.30pm)

 

The following highlights are from Minister for Health Mr Gan Kim Yong’s speech during the FY2019 Committee of Supply Debate in Parliament on 6 March 2019:

 

Merdeka Generation Package

 

The Merdeka Generation Package (MGP) shows the Government’s appreciation and care for the Merdeka Generation in their silver years. The MGP is one of the many ways the Government supports the Merdeka Generation’s aspirations to stay active and healthy. With greater support for healthcare costs, the Merdeka Generation and their families can enjoy greater peace of mind.

 

Eligible seniors will receive a notification letter for the MGP by April 2019.

 

Summary of MGP Benefits and Timelines

 

MGP Benefits

Timeline

​1. Annual MediSave top-up of $200, for 5 years from 2019 to 2023

2. Additional MediShield Life premium subsidies, for life. MG seniors with policy renewals between 1 July and 31 October 2019 will receive the additional subsidies as a refund automatically by end December 2019

3. One-time $100 PAssion Silver Card top-up

​July 2019

​4. Additional Subsidies for Outpatient Care, for life

​November 2019

5. ​Additional $1,500 CareShield Life participation incentive, on top of the $2,500 previously announced, to offset annual premiums over a period of 10 years

​2021

 

For more information, please visit https://www.moh.gov.sg/healthcare-schemes-subsidies/merdeka-generation-package

 

The following highlight is from Minister for National Development Mr Lawrence Wong’s speech during the FY2019 Committee of Supply Debate in Parliament on 7 March 2019:

 

Use of CPF for flats

 

There are currently restrictions on the use of CPF for flats with less than 60 years of lease remaining. MND and MOM are reviewing the rules on CPF usage to focus on whether their leases are long enough to last members for life, rather than on the flat’s remaining lease.

 

More details will be provided nearer the implementation in May 2019.