Singapore is rolling out one of the most comprehensive pension upgrades in its history in 2025, aimed at boosting retirement security and keeping pace with the nation’s rapidly ageing population. These reforms affect the Central Provident Fund (CPF) and complementary schemes such as the Silver Support Scheme, bringing changes to retirement age, payout amounts, contribution rates, and support for self-employed workers.
With rising living costs and people living longer than ever, these updates are designed to help Singaporeans maintain a comfortable and dignified standard of living in their later years.
Key Highlights of the 2025 CPF Changes
| Update | Details |
|---|---|
| Retirement Age | Increased to 65 |
| Basic / Full / Enhanced Retirement Sum (BRS/FRS/ERS) | $105,000 / $210,000 / $315,000 |
| CPF LIFE Payouts | Up to $2,800 per month |
| Self-Employed Coverage | Monthly payouts of $200–$400 |
| Contribution Rates | Up to 37% for those under 55 |
| Interest Rates | Up to 4% annually |
1. Retirement Age Now 65
From 2025, the official retirement age will rise from 63 to 65.
This shift reflects Singapore’s increasing life expectancy and ensures older workers have more earning years to build CPF savings.
It also means retirees can accumulate higher payouts when they eventually start drawing from CPF LIFE.
2. Revised CPF Retirement Sums
To match inflation and projected living costs, the retirement sum tiers are being revised:
- Basic Retirement Sum (BRS): $105,000
- Full Retirement Sum (FRS): $210,000
- Enhanced Retirement Sum (ERS): $315,000
These amounts determine how much you will receive every month once you reach the payout age.
3. Higher CPF LIFE Payouts
Starting in 2025, CPF LIFE monthly payouts will increase significantly:
- BRS: $900–$1,000
- FRS: $1,800–$2,000
- ERS: $2,600–$2,800
This is a notable jump from 2024 levels, helping retirees better cope with daily expenses, medical costs, and leisure activities.
4. New Inclusion for Self-Employed Workers
For the first time, self-employed individuals who contribute to CPF can qualify for monthly payouts between $200 and $400.
This is a major step toward covering the growing gig economy and ensuring freelancers enjoy greater retirement security.
5. Updated Contribution Rates by Age
CPF contributions will still be tiered by age, but the top rate for those under 55 will be 37% (20% employee + 17% employer).
Here’s the 2025 breakdown:
| Age Group | Employee | Employer | Total |
|---|---|---|---|
| Below 55 | 20% | 17% | 37% |
| 55–60 | 15% | 13% | 28% |
| 60–65 | 9% | 7.5% | 16.5% |
| Above 65 | 7.5% | 5% | 12.5% |
6. Comparing 2024 vs 2025 Payouts
| Year | Retirement Age | BRS Payout | FRS Payout | ERS Payout |
|---|---|---|---|---|
| 2024 | 63 | $800 | $1,500 | $2,200 |
| 2025 | 65 | $900 | $1,800 | $2,600 |
Why These Reforms Matter
These changes aim to make Singapore’s retirement system more inclusive, fair, and financially sustainable.
Higher payout levels, the inclusion of self-employed individuals, and an extended working age collectively improve the retirement outlook for future generations.
FAQs
Q: What is Singapore’s retirement age in 2025?
A: It rises to 65.
Q: How much can retirees receive each month under CPF LIFE?
A: Between $900 and $2,800, depending on the retirement sum tier.
Q: Are self-employed persons now covered?
A: Yes, they can get $200–$400 monthly if they contribute to CPF.