How CPF Works in Singapore
The Central Provident Fund (CPF) is Singapore's mandatory savings scheme for Citizens and Permanent Residents, funding retirement, healthcare, and housing. Every month, both you and your employer contribute a percentage of your wages, split across three (or four, after age 55) accounts: the Ordinary Account (OA) for housing and investment, the Special Account (SA) for long-term retirement savings (below 55), the MediSave Account (MA) for healthcare, and — from age 55 — the Retirement Account (RA), which replaces the SA.
📝 2026 Contribution Rates by Age
| Age Group | Employee | Employer | Total |
|---|---|---|---|
| 55 and below | 20% | 17% | 37% |
| Above 55 – 60 | 18% | 16% | 34% |
| Above 60 – 65 | 12.5% | 12.5% | 25% |
| Above 65 – 70 | 7% | 9.5% | 16.5% |
| Above 70 | 5% | 8.5% | 13.5% |
Rates apply to Singapore Citizens and PRs from their 3rd year of PR status, earning above $750/month. From 1 January 2026, rates for the 55–65 age group rose again — the final step of a multi-year roadmap — while rates for 65–70 and above 70 stayed unchanged. New rates apply from the first day of the month after your 55th, 60th, 65th, or 70th birthday.
🏦 What Happens at Age 55
On your 55th birthday, CPF creates a new Retirement Account (RA). Your Special Account balance, and then your Ordinary Account if needed, transfers into the RA up to the Full Retirement Sum (S$226,000 in 2026). Your SA is then closed. From this point, new CPF contributions no longer go to an SA — they flow to your RA (up to the FRS) or, once the FRS is met, to your OA instead.
💡 Example Calculation
Scenario: Singapore Citizen, age 30, $6,000 monthly salary.
1. Contribution rate (≤55): 37% total (20% employee + 17% employer)
2. Employee CPF: $6,000 × 20% = $1,200/month
3. Employer CPF: $6,000 × 17% = $1,020/month
4. Total monthly CPF: $1,200 + $1,020 = $2,220/month ($26,640/year)
5. Take-home pay (after employee CPF only): $6,000 − $1,200 = $4,800/month
Note: The employer's $1,020 is paid on top of the $6,000 salary and doesn't reduce take-home pay — it goes straight into the employee's CPF accounts.
⚠️ Important Notes
- This calculator provides estimates only, based on 2026 CPF Board contribution rates.
- It applies to Ordinary Wages (regular salary) only, capped at the $8,000 monthly OW ceiling — bonuses have a separate Additional Wage ceiling.
- The account allocation split (OA/SA/MA) shown is simplified — the exact percentage shifts gradually within each age band, and the 55+ Retirement Account split depends on your individual Full Retirement Sum status.
- It does not model first- or second-year PR graduated contribution rates, which are lower than the rates shown here.
- For exact figures and your personal account balances, use the official CPF Board website or the my.cpf.gov.sg portal.