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How much is the baby bonus in Singapore and who is eligible?
Are you considering having your first child or more children, but worried about the hefty costs involved? Fret not, the Singapore government has a sweetener for you — the enhanced Baby Bonus Scheme.
This could be why Singapore recorded 39,279 births, an unexpected rise in 0.6 per cent from 2018, which was an eight-year low. Amid a steady decline in births over the years, experts said that the uptick in 2019 could be due to more children of the baby-boomer generation entering the child-bearing life stage.
Read on to find out if your child is eligible for the Baby Bonus and how much you could get. Then, go forth and multiply!
- Baby bonus eligibility in Singapore
- How much is the baby bonus?
- Baby bonus payment schedule
- How to apply for the baby bonus?
The first thing you should know about the baby bonus is that you need a CDA account to receive the cash gift, a CDA first step grant and dollar-for-dollar matching benefits.
Your child is eligible for the CDA benefits and cash gift if he/she is a Singapore citizen or becomes a Singapore citizen; and has parents who are lawfully married. In 2016, CDA benefits were also extended to eligible children of unwed parents who are born on or after September 1, 2016.
Your child is eligible for the Cash Gift if he/she is a Singapore citizen or becomes a Singapore citizen; and has parents who are lawfully married.
Unwed parents who get married after their child’s birth, may also apply for the Cash Gift when they receive their marriage certificate.
Adopted children may also be eligible. However, parents can apply for the Cash Gift only after they have successfully completed the adoption process.
Singapore’s Baby Bonus payout comes in three components: Cash Gift, Child Development Account (CDA) First Step, and CDA dollar-for-dollar matching.
1. Cash Gift ($8,000 to $10,000 depending on birth order)
The Cash Gift is the first tranche of payments from the government to thank you for doing your “national service”. It will be disbursed to your designated bank account in stages over the months starting from the day your child is born. You can sign up for it as early as 8 weeks before your child’s Estimated Due Date.
2. CDA First Step ($3,000)
The CDA account is a special co-savings account. When you open a CDA account for your child with either DBS/POSB, UOB or OCBC, the government will deposit an initial grant of $3,000 to get you going.
3. CDA dollar-for-dollar matching (up to $15,000, depending on birth order)
Thereafter, every $1 you save in it will be matched by the government, up to certain contributing caps based on birth order. The money in it can be used for your children’s education or healthcare expenses at approved institutions. The money you save in the CDA account earns an interest of up to 2% per annum based on the bank you select.
When your child turns 12, his/her CDA will be closed, and any unused CDA funds will be transferred to the Post-Secondary Education Account (PSEA).
Additionally, the more children you have, the more money you will get. At a glance, this is how much parents could receive:
|Birth order||Cash Gift||CDA First Step||Dollar-for-dollar||Total Baby Bonus payout|
|1st or 2nd Child||$8,000||$3,000||Up to $3,000||Up to $14,000|
|3rd or 4th Child||$10,000||$3,000||Up to $9,000||Up to $22,000|
|5th Child onwards||$10,000||$3,000||Up to $15,000||Up to $28,000|
1. Cash Gift
You will receive the Cash Gift payment in five instalments over 18 months following your child’s birth.
The first three instalments are given out when your child is born, and at the 6th and 12th month mark. The Baby Bonus Plus of $2,000 will then be disbursed at the 15th and 18th month mark so you receive more sustained support.
|Payment date||Amount of cash gift disbursed|
|First and Second Birth Orders||Third and Subsequent Birth Orders|
|Within 7 to 10 working days from birth registration or joining the scheme, whichever is later||$3,000||$4,000|
|When the child turns 6 months old||$1,500||$2,000|
|When the child turns 12 months old||$1,500||$2,000|
|Baby Bonus Plus when the child turns 15 months old||$1,000||$1,000|
|Baby Bonus Plus when the child turns 18 months old||$1,000||$1,000|
2. CDA First Step and dollar-for-dollar matching
The $3,000 CDA First Step grant will be deposited into your CDA account when it is opened for you within 3 to 5 working days of your child’s birth registration, or after you complete the online form, whichever is later.
After you deposit funds into your child’s CDA account, you will receive the matching amount from the government within 2 weeks (excluding public holidays).
To apply for baby bonus in Singapore, all you need to do is to fill up the Baby Bonus Scheme sign-up form. You can submit the form as early as 8 weeks before your child is born or after the birth registration.
To complete the form, you will need the following information: the details of the bank account you want your cash gift to be transferred to; the personal particulars of the bank account holder and CDA trustee, if they are a third party (i.e. not the child’s parent); and your marriage certificate.
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