Tax relief for Cash top-up into CPF accounts

The objective of this scheme is to encourage Singaporeans and Singapore PR to set aside money for retirement purpose. As Singapore is an ageing population where we can no longer depend on our children but to be independent.

You and/or your employer can make cash top-up to your CPF account. An individual can claim CPF cash top-up relief of up to $14,000 per annum, $7,000 for self and $7,000 family members.

For Employer who top-up their employee account will receive tax deduction equal to the top-up amount. It is a good option as employee benefits, where employer and employee get to receive tax benefits.


The cash top-up will flow to the following CPF account:

a) Special account for individuals below age 55

b) Retirement account for individuals above age 55

Family members include the following:

  • Parents or Parents-in-law;
  • Grandparents or Grandparents-in-law;
  • Spouse; and/or Siblings.

The tax relief is only for cash top-ups. The relief does not apply when the top-up is carried out by transferring funds from your own CPF Account to your own or a family member’s Special/Retirement Account.

Criteria to claim tax relief

  1. Annual income for spouse/siblings is less than $4,000 per annum
  1. Within the limit of cash-top up

The limit is calculated base on the following:

  Limit on cash-top up amount for computing tax
For Recipients below age 55 Full retirement sum (FRS) – CPF Special account savings (SA) – Amount withdrawn from SA under CPF Investment Scheme (CPFIS)


FRS – CPFSA – CPFIS = Limits on cash-top up

For Recipients above age 55 Full retirement sum (FRS) – Retirement Account (RA)


FRS – RA = Limits on cash top-up


*Current FRS is $166,000. It will increase by 3% every year to cater for inflation.

Starting on 1 Jan 2016, Individuals can top-up up to Enhanced Retirement Sum (ERS – currently $241,500) for recipients age 55 and above. However, there will be no tax relief for such top-up. Tax relief only applies up to FRS.


How do I find out the limit that I can contribute?

You can find out the limit by logging in to your CPF under my cpf online services and click on My Messages. It will show you the limits that you can contribute.

Limits on total tax deductible

The maximum limit for personal Income tax relief is $80,000 for Year of Assessment (YA) 2018. When doing tax planning, do take into account of other tax deductible you are entitled to before making the cash top-up. They will be no refund for accepted cash top-ups.