Additional interest of 1% (CPF matters)

Background information on other announcements related to CPF Interest rates for SMA and RA monies Additional Interest of 1% As part of the government’s efforts to enhance the retirement savings of CPF members, an additional 1% per annum interest will continue to be paid on the first $60,000 of a member’s combined balances, with up to $20,000 from the Ordinary Account (OA). This works out to be 3.5% per annum earned on the first $20,000 in a member’s OA, and 5% per annum earned on the first $40,000 (up to $60,000 if no OA savings) in a member’s SMA and RA. Around 60% of members are effectively earning 5% interest on all of their Special, Medisave and Retirement Account savings. The additional interest received on the OA will go into the member’s Special Account (SA) or RA to enhance his retirement savings. If a member is above 55 years old and participates in the CPF LIFE scheme, the additional 1% per annum interest will still be earned on his combined balances, which includes the savings used for CPF LIFE.