The Singapore Budget 2024 has just been unveiled, and it’s packed with measures that could significantly impact families. If you’re a married couple in your 30s with two kids, here’s what you need to know. From vouchers to property changes, we’ve got you covered. The TFC team will be doing a deeper dive into some of these topics over the coming weeks, so stay tuned!
TL;DR
The Singapore Budget 2024 brings quite a lot of vouchers, minor changes to the property landscape, CPF reminders, potentially income support, and as expected, some family-friendly measures. Whether you’re a parent, homeowner, low-wage worker or any or all of the above, there’s something in it for you. Keep an eye on those vouchers and stay informed!
Vouchers Galore:
We all love to get free money, and this budget doesn’t disappoint. Here’s what’s in store:
CDC Vouchers:
We have gone through a few rounds of this now, but eligible families will receive up to $600 of these vouchers to offset various expenses.
Cost of Living Payment:
Because of the challenging economic climate and rising cost of living, if you do not own more than one property and your assessable income is below $100,000, you’ll receive a payment ranging from $200 to $400.
Income Tax Rebate:
Everyone working receives a 50% personal income tax rebate, capped at $200 to lighten their tax burden.
Medisave Bonus:
Adults aged 21 to 50 will receive a one-time Medisave bonus ranging from $100 to $300.
U-Save Rebates:0
HDB households can benefit from up to $950 in U-Save rebates.
S&CC Rebate:
HDB households will also enjoy up to 4 months of Service and Conservancy Charge (S&CC) rebates.
NSMen Bonus:
All past and present NSMen will receive $200.
Property:
Not that much changes for you, but do take note:
Property tax:
Property taxes will decrease as the bands of annual values increase. However, unless you own multiple properties and so are subject to this quasi- wealth tax, this will unfortunately not be too material an impact.
Developers’ Additional Buyer’s Stamp Duty:
ABSD for developers is now pegged to having the development 90% sold (and not 100%). We are even less likely to see firesales of new property launches in the coming year.
CPF:
None: There are no immediately applicable changes. However, say goodby to CPF shielding, and use this as a timely reminder that there are no guarantees CPF rules will not evolve further before you are able to utilise them.
Increasing Social Safety Net:
There should be more help available in case you fall on tough times:
Support for the “Involuntarily Unemployed”:
It came with multiple caveats and warnings, but the signs are getting clearer that some form of new temporary financial support scheme will be put into place for those who find themselves involuntarily unemployed. How to qualify, what support will be given and in fact any detail at all is all up in the air, although you would expect Skillsfuture to feature quite heavily somewhere.
Workfare Income Supplement:
Low-wage workers (now meaning those earning below $3,000 per month) aged 30 and above will benefit from an expanded Workfare Income Supplement, with increased payout amounts at differing thresholds.
Subsidy thresholds:
Income thresholds for subsidies related to MediShield Life, CareShield Life premium, and Community Health Assist Scheme will rise. Hopefully, more help will be there when you need it!
Family and kids:
Worried about being unable to afford the Singapore education system, and your children falling behind:
More Rental Options:
While waiting for your BTO flats, eligible families with a monthly household income below $7,000 can now benefit from a new voucher to cover rent for a year under the Parenthood Provisional Housing Scheme.
Affordable Preschools:
Government-supported preschools will become more affordable, with even lower fees starting in 2025.
Subsidies for Lower-Income Families:
Still on preschool education, non-working mothers in lower-income families will now receive higher subsidies.
Special Education School Fees Reduced:
Special education school fees will decrease to $90 (from $150). No mention though of increasing available spaces or other programs.
ComLink+ Program:
Families in public rental flats can access the new ComLink+ Program, which provides additional help if they work toward specific goals.
TFC’s Alternative Budget Debate
If you want more from the Budget, we are reading between the policy lines to dissect the economic focus, social impact, and effectiveness of Singapore’s budget playbook, as well as uncover the anxiety of different groups affected by the announcement. We share our thoughts on what the hidden messaging is from the Budget announcement and which class is affected.
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