Introduction

In a notable financial boost, more than 570,000 Singaporean seniors are set to receive between $400 and $1,000 in March as part of the newly introduced Earn and Save Bonus. This initiative is part of the larger $9 billion Majulah Package, which was unveiled during the National Day Rally in 2023, aimed at enhancing the retirement savings of working seniors.

Eligibility Criteria

According to the Ministry of Manpower (MOM), this annual bonus is designed to provide a significant uplift to the retirement funds of those who are still contributing to the workforce. The criteria for eligibility are straightforward:

1. Recipients must be Singaporeans born in 1973 or earlier.

2. They should have worked and earned an average monthly income of between $500 to $6,000 in the previous assessment year.

3. Eligible recipients live in homes with an annual property value of $31,000 or less.

4. Individuals can own no more than one property.

Bonus Distribution

Importantly, the distribution of the bonus amount is tiered based on income. Those earning less than $2,500 per month will receive the maximum bonus of $1,000, while individuals with an income ranging from $2,500 to $3,500 are set to get $700. Seniors earning between $3,500 and $6,000 will receive $400.

Focus on Young Seniors

The Majulah Package particularly focuses on individuals in their 50s and early 60s, referred to as “young seniors.” It also includes members of the Merdeka Generation, those born between 1950 and 1959, and the earlier Pioneer Generation, born in 1949 or before.

Previous Financial Aid Initiatives

This isn't the first financial aid launched for seniors in recent times. Last December, approximately 1.6 million eligible Singaporeans received the MediSave Bonus, along with an additional one-time Retirement Savings Bonus for around 800,000 seniors in similar age brackets, which was directly credited to their CPF accounts.

Automatic Credit and Notifications

The Earn and Save Bonus will be automatically credited to the CPF accounts of eligible seniors, with notifications being sent out via SMS in April following the deposits. Those who do not have a mobile number registered with Singpass will instead receive a physical letter at their addresses.

Safety and Vigilance

In an effort to safeguard recipients from potential scams, MOM urged citizens to remain vigilant. The ministry clarified that SMS notifications regarding the bonus will only come from "gov.sg," and recipients will never be asked to engage in replies, click links, or share personal information.

Checking Eligibility

For those curious about their eligibility, the government has set up resources available through the govbenefits website where seniors can easily log in with their Singpass to verify if they qualify for this financial assistive measure.

Conclusion

As we approach March, many seniors will undoubtedly be watching their accounts closely for this welcomed bonus, bringing greater financial stability in the face of rising living costs and encouraging a more secure retirement.