Tagged ‘Building Our Shared Future Together’, this year’s Singapore Budget isn’t just a fiscal plan – it’s a roadmap towards realising our collective potential amidst global uncertainties. Crafted as part of the Forward Singapore initiative, it’s designed to reassure and prepare us for the future.
Let’s explore what this means for you, whether you’re entering the workforce, climbing the career ladder, or navigating retirement.
For Mid-Career Workers Seeking Growth or Change
If you’re 40 and above, the new SkillsFuture Level-Up Programme is here to support your journey as you seek to diversify your skill sets, pivot to new careers, or enhance your employability.
You will get:
A $4,000 top-up in SkillsFuture Credit. This can be used for selected training programmes with better employability outcomes. This is your chance to upskill in areas that are in high demand, ensuring you remain competitive in the job market.
A Mid-Career Training Allowance. This amounts to $3,000 per month for up to 24 months – if you enrol in selected full-time courses. This substantial allowance is designed to ease the financial strain during periods of intensive learning or career transition.
What’s more, you will also have the opportunity to pursue another subsidised full-time diploma, providing a pathway to deepen your expertise or pivot to an entirely new field.
Other than the programme, displaced workers will also get unemployment support. Later this year, the Government will roll out a temporary financial support scheme for workers who find themselves involuntarily unemployed. This scheme aims to offer a cushion while you undergo training or search for jobs that better fit your skills and aspirations.
For Youths in their Upskilling Efforts
If you’re an ITE graduate aged 30 and below, and you want to upskill, the Budget offers a new ITE Progression Award.
You will get:
A top-up of $5,000 to your Post-Secondary Education Accounts when you enrol in a diploma programme. This significant boost is designed to alleviate the financial barriers to further education, making it more accessible for ITE graduates to pursue higher qualifications.
A $10,000 boost to your CPF Ordinary Accounts when you attain your diplomas. This initiative not only celebrates your academic success but also contributes towards your long-term financial well-being, laying a solid foundation for future milestones like housing and retirement.
Take this opportunity to explore diploma programmes that align with your interests and career aspirations.
For Workers with Caregiving Responsibilities
For families, increased childcare subsidies and special needs support are steps towards more inclusive and supportive care solutions.
You will get:
Reduced monthly childcare fee caps in Government-supported preschools. This reduction is a significant step towards alleviating the financial strain on families, ensuring that your little ones receive the best start in life without breaking the bank.
Reduced maximum monthly fees at Special Education (SPED) schools, and lower fee caps at all Special Student Care Centres. This ensures that children with special needs have access to the care and support they require, at a more manageable cost.
By tapping into these resources, you can find some relief in the financial aspects of caregiving, allowing you to focus more on what truly matters – nurturing and supporting your loved ones.
For Older Workers Aiming for Financial Security and Engagement
If you’re nearing retirement age, the Government will provide more support by adjusting the CPF system and strengthening the Silver Support Scheme.
CPF contribution rates for those aged above 55 to 65 will be raised by a further 1.5 percentage points on 1 January 2025.
If you were born in 1973 or earlier, the introduction of the Majulah Package marks a significant step towards ensuring that your golden years are not just comfortable but also filled with dignity and assurance.
You will get:
A yearly Earn and Save Bonus: Eligible seniors who continue to work and earn up to $6,000 per month will receive an annual bonus of up to $1,000.
A one-time Retirement Savings Bonus: Understanding that not everyone has the same level of retirement savings, the government will provide a one-time bonus of between $1,000 and $1,500 for those seniors whose retirement savings fall below the 2023 Basic Retirement Sum.
A one-time MediSave Bonus: Recognising the importance of healthcare in retirement, all seniors born in 1973 or earlier will benefit from a one-time MediSave Bonus ranging from $750 to $1,500.
For older workers and retirees, now is the time to review and plan for your retirement with these new measures in mind. Remember, it’s not just about the years in your life, but the life in your years.
For Low-Wage Workers
If you need a bit more help, the Government has several strategies to uplift your income and ensure fair employment practices.
Starting January 2025 the Workfare Income Supplement (WIS) scheme will see notable improvements.
You will get:
Increased Payouts. The maximum annual payout will be raised to $4,900, up from $4,200 today. This will provide substantial financial support to lower-wage senior workers.
Higher Income Cap. The qualifying income cap will be increased to $3,000, up from $2,500, expanding the eligibility to a wider group of workers and ensuring that more individuals can benefit from this scheme.
The Local Qualifying Salary (LQS) will also be raised from July 2024 to $1,600. This adjustment means that employers must pay their local employees at least this amount, thereby directly impacting the take-home pay of lower-wage workers and setting a new baseline for fair wages.
No matter where you find yourself on your career journey, this Budget offers tools and opportunities designed to support your goals. Whether you’re just starting out, looking to make a change, balancing work with family, nearing retirement, or working towards a fair wage, there’s a path forward.
So embrace the changes, leverage the resources provided, and navigate towards a future where every worker, regardless of age or stage, can thrive.