CPF and savings plans: retirement sums, CPFIS rules and the age-55 and age-65 milestones

CPF is the compulsory savings system that underpins retirement income for Singapore Citizens and Permanent Residents, and it shapes every decision about private savings plans in two ways. First, CPF itself pays Government-set interest and, through CPF LIFE, a lifelong annuity — so a private plan is an addition to that base, not a substitute. Second, CPF savings can be used to buy certain endowments and annuities under the CPF Investment Scheme (CPFIS), but only on narrow conditions.

This page sets out the 2026 numbers, the 2025 changes, the CPFIS rules for insurance, and what you can withdraw at 55 and 65. All figures are from CPF Board and IRAS pages checked in October 2026; CPF Board states that it does not specifically endorse any product providers or investment products.

CPF accounts and interest in late 2026

CPF savings sit in the Ordinary Account (OA), Special Account (SA, closed from age 55), MediSave Account (MA) and, from 55, the Retirement Account (RA). Interest rates are reviewed quarterly, with floors set by the Government.

These rates are relevant to savings plans because they are the opportunity cost of moving CPF money elsewhere, and because they are set and backed by the Government. Rates and floors are set for defined periods and can change after them; check CPF Board for the current quarter.

Retirement sums and the payouts they buy

At 55, savings are set aside in the RA up to a retirement sum; from 65, the RA funds CPF LIFE payouts. CPF Board publishes three reference levels.

Assumptions stated by CPF Board (page updated 16 June 2026): payouts for a male member on the CPF LIFE Standard Plan; RA savings growing at up to 6% a year to 65; payouts may be adjusted for long-term changes in interest rates or life expectancy. Payouts increase by up to 7% for each year you defer, up to age 70.

For anyone considering a private annuity, the table is the starting point: it shows what level of lifelong, Government-backed income the CPF route can buy before any private product is added. The trade-offs are compared on CPF LIFE vs private annuities.

What changed in 2025

Three changes from January 2025 still shape decisions in 2026.

1. SA closure at 55. CPF Board closed the Special Account of members aged 55 and above from January 2025. SA savings were transferred to the RA up to the member's cohort FRS; any remainder went to the OA, which earns the lower OA rate. This removed the option of keeping a separate, withdrawable SA balance at the SA rate after 55.
2. ERS raised to four times the BRS. From 1 January 2025 the ERS was raised from three to four times the BRS, allowing members to commit more to CPF LIFE for higher lifelong payouts.
3. Top-up relief and matching grants. Tax relief for cash top-ups that attract the Matched Retirement Savings Scheme grant was removed from YA 2026; top-ups that do not attract the grant still qualify (CPF Board; IRAS).

For savings-plan decisions, the effect is that members over 55 who want higher guaranteed lifetime income now have a larger CPF-internal route (topping up toward the ERS) to compare with a private annuity.

Using CPF to buy endowments and annuities under CPFIS

CPFIS allows OA and SA savings to be invested in approved instruments, including some insurance products. CPF Board's Annex A sets the conditions for annuities, endowment policies and ILPs.

Practical consequences: a regular-premium endowment cannot be bought with CPF; nominations on CPFIS policies cannot be trust nominations (LIA, 2026); and maturity proceeds are credited back into CPF rather than paid to you in cash: for CPFIS-OA investments into the CPF Investment Account (returned to the OA at the end of the second month if not reinvested), and for CPFIS-SA investments into the SA (CPF Board, 19 Jan 2025). Check the payout route with the insurer. ILP use of CPF is covered on the sister site ilp.com.sg. Check the current Annex and the insurer's CPFIS terms before applying, since conditions can be revised.

Withdrawals from 55 and from 65

Withdrawal rules determine whether CPF money can later be moved into a privately held savings plan or annuity.

(CPF Board, "How much CPF savings can I withdraw from age 55 to 64?", updated 4 February 2026.)

Money withdrawn from CPF leaves the Government-backed system: it no longer earns CPF interest and no longer counts toward CPF LIFE. Moving it into a private plan therefore swaps a Government floor for an insurer's guarantee plus non-guaranteed benefits. Whether that swap makes sense depends on the plan's guaranteed values, not its illustrated total.

Top-ups, SRS and savings plans: tax treatment side by side

Three routes are often discussed together. Their tax treatment differs, and only some of it relates to insurance.

All personal reliefs together are capped at S$80,000 per Year of Assessment.

The opportunity-cost framing is the most useful takeaway. Money in the SA, MA or RA currently earns a 4% floor rate set by the Government. A savings plan bought with CPF, or with money that could have been topped up into CPF, should be compared on its guaranteed annualised return over the same period — the method is on comparing returns.

If you would like help working out how these CPF rules affect a plan you are considering, you can register your needs through the contact options on this site.