CPF contribution rates, How much CPF contributions to pay

As a working Singaporean, you’ve undoubtedly heard the term ‘CPF contribution.’ But what exactly does it entail, and how much are you obligated to pay? If you’ve been pondering these questions, you’ve come to the right place. This guide provides the latest updates on CPF contribution rates for 2023 and a simple method for calculating your contributions.

Plus, we are even pitting CPF against EPF (which is the Malaysian version of CPF) to figure out which one offers higher return rates. So, be sure to stick around till the end for that! 

What is ‘CPF contribution’?

Before we get into the changes, let’s do a quick recap, shall we? 

CPF, or Central Provident Fund, is a crucial part of Singapore’s social security system. It was introduced to help you save for retirement, medical expenses, and homeownership. Contributions to CPF are mandatory, deducted directly from your salary each month. Your employer also makes contributions, ensuring that your savings grow steadily over time.

CPF savings are typically divided into four accounts:

• Ordinary Account (OA): For housing, education, and retirement.
• Special Account (SA): For long-term retirement savings.
• MediSave Account (MA): For healthcare expenses and insurance premiums.
• Retirement Account (RA): Created at age 55 to hold retirement savings.

Starting in 2025, the SA will be closed for those aged 55 and above. Funds will be transferred to the RA (up to the FRS) to earn long-term interest. Any excess is moved to the OA and can be withdrawn. The amount set aside determines your monthly payouts from age 65. There are three Retirement Sums:

• Basic Retirement Sum (BRS): Covers essential living expenses.
• Full Retirement Sum (FRS): Twice the BRS, providing higher payouts.
• Enhanced Retirement Sum (ERS): Previously 3x the BRS, but is increased to 4x from 2025.

Here’s what the ERS will look like until 2027:

Read also: 9 must-know things about using CPF to buy a house

What are the CPF contribution rates in 2025?

There are some changes to CPF contributions in 2025, particularly for employees aged 55 to 70:

These increases, particularly for employees aged above 55 to 65, are strategically aimed at strengthening their retirement adequacy. The additional CPF contributions for this age group will be fully allocated to the Retirement Account (RA), up to the Full Retirement Sum (FRS). This ensures that senior workers save more specifically for retirement. If an employee has already set aside the FRS in their RA, these contributions are then channelled to their Ordinary Account (OA).

CPF interest rates in 2025 still provide consistent returns for Singaporeans in various accounts. The government sets a guaranteed floor rate of 2.5% for The Ordinary Account (OA), which protects savings from the impact of lower bank rates.

What are the CPF interest rates in 2025? 

The adjustment in CPF contributions for 2025 coincides with a gradual increase in the CPF Ordinary Wage (OW) ceiling. This ceiling, which caps the amount of monthly wages that attract CPF contributions, is progressively rising from S$6,000 to S$8,000 by 2026 in four stages. 

CPF Ordinary Wage (OW) ceiling progression (2023-2026)

While it may feel frustrating to have a larger portion of your income allocated to CPF, the bright side is that your savings benefit from guaranteed interest rates. Over time, these contributions will compound, helping you build a stronger financial cushion for retirement, housing, and healthcare needs. Your CPF balances grow with competitive interest rates:

The interest rates will remain unchanged for Q2 2025 (April 1 – June 30).

Here’s the kicker – you’ll also receive bonus interest on the first S$60,000 of your total CPF savings, with up to S$20,000 coming from your OA. This is designed to motivate you to keep your funds in CPF and make the most of the higher interest rates in your SA or RA. Note that CPF contributions are capped at S$37,740 per year.

How do I calculate my CPF contributions?

To calculate your CPF contributions, you will need to know your monthly salary and categorise it into Ordinary Wages (OW) and Additional Wages (AW). 

Use the CPF Contribution Calculator provided by the CPF Board to get an accurate breakdown of your contributions. It’s user-friendly and helps you plan for your financial future with ease.

How do I check my CPF contributions?

Monitoring your CPF contributions is a breeze, and you can do it: 

1. Via the CPF website

Start by logging onto your account on the CPF website.

Upon accessing it, you will see an overview of your most recent CPF contribution, along with the receipt dates of these funds. 

Then, go to the ‘My Statement’ section (Section B). This section houses your comprehensive Contribution History, serving as a repository of all your CPF-related transactions.

While your employers are legally required to make CPF contributions, play your part in ensuring the numbers add up. If they do not, reach out to your employer to get things back on track. If the matter remains unresolved, you have the option to contact the Ministry of Manpower (MOM) via email.

2. Via digital services and apps 

Log to “my cpf digital services” or the CPF Mobile app using your Singpass credentials. 

Once inside, you should be able to see your account balances, the past 15 months of Contribution History, and a glimpse into your 15-month Transaction History. 

If you are feeling a little lost, here’s a handy PDF guide to help you out. Prefer to watch an instructional video tailored to your language preference instead? Head on over here.

3. Via phone calls

Give CPF a call at 1800-227-1188 (code 2) between 8:30 AM and 10:00 PM. 

Share your request, and they will promptly send hard copy statements to the address they have on record in just 4 business days! 

CPF vs. EPF: Which has better interest rates?

Contribution rates

In Singapore, the contribution rate for CPF begins at 37% for those 55 and below, while in Malaysia, the contribution rate for EPF is 11% for employees and 13% for employers. 

This means that you will save more money in CPF over time than you would in EPF.

CPF and EPF are two of the most important retirement savings schemes in Singapore and Malaysia, respectively. Both schemes require employers and employees to contribute a portion of their salaries to a savings account, which can then be used for a variety of purposes, such as housing, education, and healthcare.

Interest rates

One of the key differences between CPF and EPF is the interest rate that is paid on savings. As of February 2025, the interest rate per annum for CPF is:

• Ordinary Account: 2.5%
• Special Account: 4%
• MediSave Account: 4%

Just like CPF’s three accounts, EPF contributions are split to 3. ‘Akaun Persaraan’, formerly known as Account 1, is designated for retirement savings. ‘Akaun Sejahtera’, previously called Account 2, is meant to support financial needs at different stages of life. Meanwhile, ‘Akaun Fleksibel’ is a newly introduced account that provides greater flexibility for short-term financial needs. The interest rate for EPF is also determined quarterly, and as of February 2025, it is:

• • Conventional savings: 5.50%

• Shariah savings: 5.40%

Based on these figures, EPF currently has a higher interest rate than CPF for all three types of accounts. 

However, it is also important to note that EPF interest rates are subject to the country’s economic status and Ringgit value. 

Wrapping up

In a world where financial security is paramount, understanding CPF contributions is essential. It is not just a monthly deduction from your paycheck; it is an investment in your future. 

With the latest updates on CPF contribution rates in 2025, you are equipped to plan your finances better. 

So, what do you think about these new numbers? Comment your thoughts down below!

Frequently Asked Questions (FAQs)

What is CPF?
The Central Provident Fund (CPF) is a compulsory savings plan for working Singaporeans and Permanent Residents primarily to fund their retirement, healthcare, and housing needs.

How are CPF contribution rates determined?
CPF contribution rates are determined based on factors such as the employee’s age, wage, and employment status (e.g., full-time or part-time). Rates differ for ordinary wages and additional wages.

What are the current CPF contribution rates?
The rates vary depending on the employee’s age and wage band. For employees aged 55 and below, the total contribution rate (employer and employee combined) is typically around 37% of the monthly salary.

How are CPF contributions divided among the different accounts?
CPF contributions are divided among three accounts: Ordinary Account (OA), Special Account (SA), and Medisave Account (MA). The allocation percentages vary with age.

What is the employee’s contribution rate to CPF?
For employees aged 55 and below, the employee’s contribution rate is typically 20% of their monthly wage.