Debated in Parliament on 11 May 2015.
Mr Christopher de Souza asked the Minister for Manpower whether he can clarify what the definition of "lifetime wage" is, for the purpose of qualification for the Silver Support Scheme and what is the rationale for this criterion.
The Silver Support Scheme aims to supplement the retirement incomes of the bottom 20% to 30% of elderly Singaporeans. As the scheme is for Singaporeans aged 65 and above, many could have retired, so their wages today would not be meaningful in determining eligibility. To ensure that assistance goes to those with lesser means, the Government will, therefore, look at lifetime wages earned before their retirement, together with the level of household support they have and the type of housing they live in.
For lifetime wages specifically, we will look at the individual’s total CPF contributions accumulated over his or her working life as a proxy and consider those with lower total CPF contributions before they reached 55. We will not look at CPF contributions after 55 so that Singaporeans are not discouraged from continuing to work in their later years.
We are aiming to implement the scheme around the first quarter of 2016, and will provide further details closer to implementation.
PAPERCUTS