Singapore is one of the most expensive cities in the world. Our high cost of living makes it harder for most Singaporeans to have big families like we used to. I have 3 siblings and nowadays it’s rare to find any family with more than 2 children.
Which is why our Government has been increasing the baby bonus budget to help Singapore families cope with the increasing cost of raising a child. While it is still relatively expensive to raise a child in Singapore (with insane infant care/childcare costs, enrichment costs, helper, diapers, milk powder, blah blah), but hey, every little bit helps!
So if you are expecting a newborn, here are the baby bonus you can expect as a Singaporean:
For child born on or after 1 January 2015, which you will receive in your selected Bank Account progressively over 18 months in 5 payments.
|Birth Order||1st payment
10 working days
|Total Cash Gift|
|1st and 2nd Child||S$3,000||S$1,500||S$1,500||S$1,000||S$1,000||S$8,000|
|3th and subsequent child||S$4,000||S$2,000||S$2,000||S$1,000||S$1,000||S$10,000|
The cash gift is meant to help with your delivery fees, and costs of raising a child (diapers, milk powder, etc) and will be automatically distributed out upon birth registration of your child.
Child Development Account (CDA)
Within 3-5 days of your child birth registration, a CDA account will be opened. It is a special savings account for your child’s education and healthcare expenses at Baby Bonus Approved Institutions (AIs). CDA First Step is the initial amount that the Government will provide upon opening of the CDA account. Subsequent amount contributed to the account will be matched by the Government.
|Child Order||CDA First Step||Dollar-for-Dollar matching||Total CDA Benefits|
|1st & 2nd Child||S$3,000||Up to S$3,000||Up to S$6,000|
|3rd & 4th Child||Up to S$9,000||Up to S$12,000|
|5th Child and subsequent Child||Up to S$15,000||Up to S$18,000|
Use this for your infant care/childcare or even new glasses for your kid. But then if you are using this for infant care/childcare, you will probably empty the account in a year, so no chance of getting that free glasses. Damn!
Medisave Grant for Newborns (MGN)
All eligible newborns in Singapore will receive the grant of S$4,000 automatically after birth registration. The parents of the child will receive a notification letter after the grant has been deposited. It is deposited to the child’s Medisave account, and is meant to cover the child’s healthcare expenses as he/she grows up. The grant can be used to help defray the child’s healthcare expenses, such as MediShield Life premiums, recommended childhood vaccinations, hospitalisation, and approved outpatient treatments.
Or, you can save the amount and opt to go to Polyclinics to get free vaccinations for your baby.
Medisave Maternity Package (MMP)
With MMP, parents can use their Medisave for pre-natal consultation and ultrasounds as well as for delivery expenses. You may withdraw up to $450 for each day in the hospital and an additional surgical withdrawal limit between $750 and $2,150 depending on the type of delivery procedure, plus $900 for pre-delivery medical expenses.
|Pre-delivery claims||Each day in hospital||Delivery Procedure|
|S$900||S$450||S$750 – S$2150|
To make your claims, present your original receipts at the hospital where baby was delivered.
Assuming this is your first child, you can receive S$8,000 in cash, S$6,000 in CDA, S$4,000 in your child’s Medisave account and claim up to S$4,400 (assuming 3 days in hospital with maximum delivery claims) for pre-delivery/delivery. That totals to S$22,400! The amount, is subjective and of course assuming the maximum you are able to claim and not forgetting the S$4,000 in Medisave is non-withdrawable. But every bit helps and no one will complain about free money!
For more information, visit Baby Bonus website.