The Singapore government has announced significant enhancements to the Baby Bonus Scheme, effective from February 18, 2025. This move aims to provide greater financial support to families and encourage parenthood. The improvements include higher cash gifts, increased contributions to the Child Development Account (CDA), and additional support for larger families.
Increased Baby Bonus Cash Gift
Under the new scheme, parents will receive a higher Baby Bonus Cash Gift to assist with child-raising expenses. For the first and second child, the amount has been raised from $8,000 to $11,000, while for the third and subsequent children, it has increased from $10,000 to $13,000.
These payments will be disbursed over several stages until the child reaches six-and-a-half years old, ensuring sustained financial assistance during the crucial early years.
Enhanced Child Development Account (CDA) Benefits
The CDA, a special savings account for children’s educational and healthcare needs, has also received a boost. Every eligible child will now receive an initial deposit of $5,000 as a First Step Grant. Additionally, the government will continue to co-match parents’ contributions up to specified limits.
The cap has been set at $4,000 for the first child, $7,000 for the second child, $9,000 for the third and fourth children, and $15,000 for the fifth and subsequent children. These funds can be used for childcare, preschool, medical expenses, and other approved services.
Additional Support for Larger Families
To further assist parents with multiple children, the government has introduced extra benefits under the Large Families Scheme. Families with three or more children will receive an additional $5,000 in the CDA, effectively doubling the First Step Grant to $10,000 for each third and subsequent child. With this new initiative, parents with larger families can receive up to $16,000 in extra support.
Application Process
Parents can apply for the Baby Bonus Scheme through the LifeSG platform, making the process seamless and efficient. Enrollment for newborns can be completed during birth registration, while parents of children already registered can apply through the Baby Bonus Online portal.
Conclusion
The enhancements to the Baby Bonus Scheme reaffirm Singapore’s commitment to supporting families and encouraging parenthood. By increasing financial assistance and offering additional resources, the government aims to ease the burden of raising children and create a more family-friendly environment.