In his Budget statement on Tuesday ( Feb 18 ), Prime Minister Lawrence Wong announced that the Central Provident Fund ( CPF ) contribution rates for those over 55 to 65 will increase by 1.5 percentage points in 2026.  ,
This will begin on Jan 1, 2026, bringing the Pension input costs for employees aged above 55 to 60 to 34 per share.
The CPF input costs for employees over the age of 60 to 65 will increase by 25 %.
The CPF pension account will receive the full benefit of the particular CPF factor increases.  ,
Mr. Wong, who is also the finance minister, stated in his budget speech in parliament that the Tripartite Workgroup on Older Staff ‘ comments were followed by the increase in CPF factor levels.  ,
The authorities announced in 2019 that CPF commitment rates may be eventually raised over the next ten years for Singaporean and permanent residents aged above 55 to 70 in accordance with the workgroup’s tips.  ,
When the increases are completely implemented, those aged above 55 to 60 will have the same Pension input costs as younger employees.  ,
According to Mr. Wong, companies will continue to receive the CPF Transition Offset for another year to cover half the increase in company efforts for 2026.  ,
Companies can use for the offset immediately because it is already available.  ,
Older employees can increase their retirement savings with this decision, and businesses will continue to receive federal funding to reduce business costs, according to Mr. Wong.  ,