Debated in Parliament on 24 Sep 2025.
Assoc Prof Jamus Jerome Lim asked the Minister for Manpower (a) why tax-deductible CPF top-ups for members on CPF LIFE must go toward CPF LIFE instead of Retirement Sum Scheme payouts if the member so chooses; and (b) why does this apply even where the member has met the Full Retirement Sum.
Today, Central Provident Fund (CPF) members who have started their retirement payouts will either be on CPF LIFE or the Retirement Sum Scheme (RSS), but not both. As such, tax-deductible top-ups will go towards the respective scheme that the member is on, but not both. Members who have at least $60,000 in their Retirement Account when they start their retirement payouts will be automatically included in CPF LIFE. This covers members who have set aside their Full Retirement Sum (FRS). RSS payouts are not relevant to members who have set aside their FRS.
For those on CPF LIFE, their top-ups will be streamed out via CPF LIFE, which ensures that no matter how long a member lives for, he or she would be provided with a monthly payout for life. This ensures that members will not outlive their savings, even as life expectancy increases. Hence, streaming out top-ups via CPF LIFE allows members to boost their monthly retirement payouts for life.
For those on RSS, their tops-up will be streamed out via RSS payouts. Streaming out top-ups via RSS will also boost monthly retirement payouts. However, RSS payouts are designed to last up to 20 years from the payout eligibility age or until CPF savings run out.
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