CPF Cash Top-up Relief

Claim tax relief for topping up your own CPF Special/Retirement Account or those of your family members to meet basic retirement needs.

Qualifying for CPF Cash Top-Up Relief

This relief is given to encourage Singaporeans and Permanent Residents to set aside money for retirement needs either in their own CPF accounts or those of family members. To qualify, you must hold a Singapore NRIC and:

  1. You and/or your employer on your behalf have made cash top-ups in the preceding year under the CPF Retirement Sum Topping-Up Scheme to your:
    1. Special Account (for recipients below age 55); or
    2. Retirement Account (for recipients age 55 and above).

  2. You have made a cash top-up in the preceding year under the CPF Retirement Sum Topping-Up Scheme to the Special/Retirement Accounts of your:
    1. Parents or Parents-in-law;
    2. Grandparents or Grandparents-in-law;
    3. Spouse; and/or
    4. Siblings.

Please note that there will be a personal income tax relief cap of $80,000, which will apply from the Year of Assessment (YA) 2018. This cap applies to the total amount of all tax reliefs claimed, including any relief on cash top-ups made on or after 1 Jan 2017.

There will be no refund for accepted cash top-up monies. As such, taxpayers who make cash top-ups on or after 1 Jan 2017 should take note of the overall personal income tax relief cap. You should evaluate whether you would benefit from tax relief on your cash top-ups, and make an informed decision accordingly.

Top-up through Transfer of Funds

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.

For more information on the procedures for topping-up the Special/Retirement Accounts under the CPF Retirement Sum Topping-Up Scheme, please visit the CPF website .

Income Threshold for Spouse/Siblings

To claim tax relief for cash top-ups for your spouse or siblings, the spouse or siblings must not have an annual income exceeding $4,000 in the year preceding the year of top-up.

Annual income includes taxable income (e.g. trade, employment and rental), tax exempt income (e.g. bank interest, dividends and pension) and foreign-sourced income regardless of whether it has been remitted to Singapore. This income threshold does not apply to parents, grandparents, handicapped* spouse or handicapped* siblings.

*Incapacitated because of physical or mental infirmity.

In 2015, Mr Lee made a CPF cash contribution of $7,000 to his wife's Special Account and another $7,000 to his mother's Retirement Account. His wife's annual income in 2014 was $5,000. His mother did not have any income in 2014.

Top-up Amount to Wife's Special Account in 2015

 $7,000

Wife's Annual Income in 2014

$ 5,000

CPF Cash Top-up Relief for YA 2016

$0

Top-up Amount to Parent's Retirement Account in 2015

$7,000

Mother's Annual Income in 2014

$       0

CPF Cash Top-up Relief for YA 2016

$7,000

For YA 2016, Mr Lee can claim CPF Cash Top-up relief of $7,000 for his contribution to his mother's CPF Retirement Account. However, Mr Lee cannot claim CPF Cash Top-up relief for his wife because her income in 2014 is more than $4,000.

Amount of Relief

Amount of Cash Top-up to own CPF Special/Retirement Account

Amount of Relief

Below $7,000

Exact amount of cash top-up

$7,000 or more

$7,000

Amount of Cash Top-up to family members'  CPF Special/Retirement Account

Amount of Relief

Below $7,000

Exact amount of cash top-up

$7,000 or more

$7,000

The maximum CPF Cash Top-up relief is $14,000 (maximum $7,000 for self and maximum $7,000 for family members).

In 2015, Mr Tan topped up $5,000 in cash to his own CPF Special Account. Additionally, he topped up $10,000 in cash to his mother's CPF Retirement Account.

Top-up Amount to own CPF Special Account

$5,000

Top-up Amount to Mother's CPF Retirement Account

$10,000

CPF Cash Top-up Relief (own account)

$  5,000

CPF Cash Top-up Relief (mother's account)

$  7,000

Total CPF Cash Top-up Relief for YA 2016

$12,000 ($5,000 + $7,000)

For YA 2016, Mr Tan can claim a total CPF Cash-Top Relief of $12,000.

1. The full retirement sum (FRS) for an individual who is below age 55 and has CPF Special Account (SA) is capped at $161,000.
2. From 1 Jan 2016, an individual who is at least 55 years old  can top-up his Retirement Account (RA) to a maximum sum of $241,500 (i.e. enhanced retirement sum, ERS).
3. There is no tax relief for cash top-up if the FRS of the individual/recipient's RA is already $161,000.

Mr Ong is under 55 years old. He wishes to top-up $7,000 in cash to his own Special Account and his mother’s CPF Retirement Account to enjoy tax relief for YA 2017. The total balance in his CPF Special Account (SA) and amount withdrawn from SA under CPFIS is $159,000. Mr Ong’s mother has $161,000 in her Retirement Account.

Mr Ong’s own account:

Full Retirement Sum (FRS) for Special Account

$161,000

Total balance in CPF in Special Account and amount withdrawn from SA under CPFIS

$159,000

Amount of Cash Top-Up

$7,000

CPF Cash Top-up Relief for YA 2017

$2,000 ($161,000 - $159,000)

Mr Ong’s mother’s account:

Enhanced Retirement Sum (ERS) for Retirement Account

$241,500

Balance in Retirement Account

$161,000

Amount of Cash Top-Up

$7,000

CPF Cash Top-up Relief (mother’s account)

$0 (no tax relief for cash top-up as the FRS of recipient’s retirement account is already $161,000)

How to Claim

You do not need to claim this relief. The relief is granted automatically to those who are eligible based on records sent to us by the CPF Board .
  • I have received my tax bill for the Year of Assessment (YA) 2016. The amount of CPF Cash Top-up Relief is incorrect. What should I do?

    You may file an objection using the “Objection to Assessment” e-Service in myTax Portal

    Alternatively, you may send in your request to revise the relief for YA 2016 with a copy of supporting documents via email , fax or post within 30 days from the date of your tax bill.

  • Can I obtain a refund of the cash top-ups I made in year 2017, if for YA 2018, the total amount of personal reliefs which I can claim is more than $80,000, even without any tax relief on cash top-ups I made?

    There will be no refund for accepted cash top-up monies. As such, taxpayers who make cash top-ups on or after 1 Jan 2017 should note that the overall personal income tax relief cap of $80,000 applies from YA 2018 (when the income earned in 2017 is assessed to tax). Hence, you should evaluate whether you would benefit from tax relief on your cash top-ups, and make an informed decision accordingly.

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