Singapore – Increase in CPF Contribution Rates from 1 January 2023

What are the changes from 1 January 2023?

  1. To strengthen senior workers’ retirement adequacy, the Tripartite Workgroup on Older Workers recommended the CPF contribution rates for senior workers aged above 55 to 70 years to be raised gradually to boost their retirement incomes.  The first increase of the CPF contribution rates for senior workers started on 1 January 2022, with the next increase taking effect from 1 January 2023.  The changes will apply to wages earned from 1 January 2023.
  2. The increase in the CPF contribution rates will be fully allocated to the employees’ Special Account to provide a bigger boost to their retirement income.
  3. For those earning monthly wages of more than S$500 to S$750, the employee contribution rates will continue to be phased in.
  4. There are no changes to the graduated contribution rates for first and second year Singapore Permanent Residents (SPRs).
  5. There are no changes to the Ordinary Wage (OW) Ceiling and Additional Wage Ceiling.
  6. There is no change to the CPF contribution rates for other age groups.

For more information, please visit https://www.cpf.gov.sg/employer/infohub/news/cpf-related-announcements/increase-in-cpf-contribution-rates-from-1-january-2023