Video explains eight key CPF (Central Provident Fund) changes starting in 2026.
Changes affect gig workers, older workers, retirement and MediSave rules, and CPF contribution ceilings.
Several schemes expand eligibility and matching, while withdrawal and sum limits increase.
Gig Worker Contributions
Since 2025 some gig workers must contribute CPF; compulsory for those born on/after 1 Jan 1995.
Contribution rates for gig workers will phase up progressively until 2029.
Example: In 2025 a 51-year-old earning over $750/month: employee 13%, platform 3.5%.
From 2026 that same example becomes: employee 15.5%, platform 7%.
By 2029 rates align with employed individuals: employee 20%, employer 17%.
Contribution percentages vary by age group and earnings.
Senior Worker Contributions
Current standard 20%/17% applies to workers 55 and younger; rates reduce with age above 55.
From 2026, workers aged above 55 to 65 face increases: employee contribution +1%, employer +0.5%.
All additional contributions allocate fully to the Retirement Account until Full Retirement Sum reached.
Excess after Full Retirement Sum flows to the Ordinary Account.
Retirement Sums (Payout Setup)
At 55, a mandatory retirement sum portion is set aside to fund monthly payouts from age 65.
Extra balances (beyond set-aside) may be withdrawn at 55.
2026 retirement sums increase:
Basic Retirement Sum: $106,500 → $110,200
Full Retirement Sum: $213,000 → $220,400
Enhanced Retirement Sum: $426,000 → $440,800
Higher retirement sum yields larger monthly payouts.
Matched Retirement Savings Scheme (Extension)
Existing scheme: government matches voluntary top-ups into Retirement Account for seniors.
Match cap: up to $2,000/year, lifetime cap $20,000, for eligible seniors with Retirement Account below threshold.
From 1 Jan 2026: scheme extended to individuals with disabilities, including those below 55.
For under-55 eligible disabled persons, matching applies to top-ups into the CPF Special Account.
New Matched MediSave Scheme
New dollar-for-dollar matching applies to MediSave from 2026.
Eligibility: individuals aged 55–70, with MediSave below 50% of Basic Healthcare Sum, monthly income below $4,000, and other criteria.
Implemented for five years with a cap of $1,000/year.
Basic Healthcare Sum Increase
MediSave’s Basic Healthcare Sum is the target balance before excess funds move to other accounts.
2026 increase: Basic Healthcare Sum $75,500 → $79,000.
Amount updates annually like retirement sums.
Higher MediSave Withdrawal Limits and Expanded Uses
Annual MediSave withdrawal limit for outpatient scans doubles: $300 → $600 from 2026.
MediSave use expanded to cover surgical costs for embryo freezing, egg freezing, and ovarian tissue freezing from June 2026.
MediSave also covers pre- and post-procedure costs for embryo and ovarian tissue freezing.
MediSave already funds healthcare insurance, hospitalization, outpatient chronic disease management, certain vaccines, and some dental procedures; some restorative dental rules will change.
CPF Monthly Salary Ceiling Increase
CPF monthly salary ceiling caps contributable wage used to compute CPF contributions.
Progressive increases since 2023; from 1 Jan 2026 ceiling rises to $8,000.
Prior increases: Sep 2023 $6,300; Jan 2024 $6,800; Jan 2025 $7,400.
Higher-income earners will have CPF contributions calculated on up to $8,000 monthly salary.
Decisions
No explicit meeting decisions recorded in transcript.
Action Items
Review personal CPF eligibility and projected impacts based on age and income.
Check detailed rate tables and official links for age-specific contribution rates and scheme criteria.
Consider MediSave or Retirement top-ups if eligible for matching schemes.