Supplementary Retirement Scheme: Who Qualifies and What You Get
Learn how the Supplementary Retirement Scheme helps you save for retirement while managing your tax liabilities in Singapore.
The Supplementary Retirement Scheme is a way to build up tax-deferred savings to support you during your retirement years.
Who it's for
This scheme is available to Singaporeans and Permanent Residents.
What you get
By participating, you can build a pool of savings intended for your retirement. One of the primary benefits is that your contributions can help reduce your current tax burden, as these savings are tax-deferred.
What it costs you
There are limits on how much you can contribute each year. Additionally, if you decide to withdraw your funds before you reach the age of 62, you will face penalties.
The catch to know
Be aware that when you withdraw your money, those funds are subject to a 50% tax rate unless you wait until after the statutory retirement age to take them out.
How to apply
- Review your financial goals and contribution capacity.
- Visit the official government portal to learn more about opening an account.
- Follow the registration steps provided on the official website.