Investment Immigration to Singapore Learn about Life in Singapore: The principle of Singapore's social security framework is self-sufficiency and self-reliance. Since the responsibility for retirement needs primarily falls on individuals and their families, this not only reduces the people's dependence on the state but also ensures the long-term fiscal sustainability of the nation. However, for those who have made their best efforts but still lack other sources of income and are unable to care for themselves, the Singapore government provides financial assistance and other non-economic support.
Singapore does not support the lazy
"Singapore is not a welfare state. Singapore does not support the lazy." Singapore Prime Minister Lee Hsien Loong has reiterated many times, "If you are willing to work and are hardworking, we will provide assistance. But if you do nothing, we will not help you."
Because Singapore implements a welfare system with "Workfare" as its core value, the government's welfare principle is not to support the lazy.
In Singapore, it is common to see elderly people over 70 who are still working. Whether they are taxi drivers or cleaners in public places, most are seniors (the term used for the elderly in Singapore).
Singapore law stipulates that all employed Singapore citizens and permanent residents (including all part-time, temporary, and full-time workers) and their employers must participate in the Central Provident Fund (CPF) scheme. As for self-employed individuals, they must contribute a portion of their income to their Medisave accounts as required by law.
According to data provided to our newspaper by the Singapore Central Provident Fund Board, the Singapore government currently stipulates that employees with a monthly salary of more than 500 SGD must contribute to the CPF, while employers must contribute for employees with a monthly salary of more than 50 SGD. The specific contribution rates and amounts are: members under 50 years old contribute 20% of their monthly salary to their personal CPF accounts. Adding the 16% contributed by the employer, the total contribution is 36%. For those over 50 years old and those with a monthly salary of less than 1,500 SGD, the CPF contribution is relatively lower, with rates ranging from 0% to the full contribution rate.
"However, to cope with the challenges of increased life expectancy and an aging population, the Singapore Central Provident Fund Board increased the CPF contribution rates for members aged over 50 to 65 on September 1, 2012, to help them better prepare for retirement," said a staff member of the Singapore Central Provident Fund Board who wished to remain anonymous in an interview with a reporter from the China Economic Times.
Encouraging children to live with their parents
Mr. Zheng, a taxi driver of Fujian ancestry, is 42 years old and has always lived with his parents in a government-built HDB flat. Most of his siblings also live in other nearby HDB flats.
Mr. Zheng shared that Singapore law stipulates that young single people cannot rent or purchase an HDB flat unless they are willing to live with their parents. If children are willing to live with a widowed father or mother, they can enjoy estate duty relief on the property left by their parents; if a taxpayer is willing to live with their parents or disabled siblings, they can enjoy the "Parent/Handicapped Dependant Relief" or the "Multi-Generation Living Bonus."
"The Republic of Singapore, founded on August 9, 1965, is one of the youngest countries in the world and also one of the countries with a high degree of population aging, second only to Japan in Asia," said a relevant official from the Singapore Central Provident Fund Board. As the aging of the population deepens, in order to promote family cohesion and prevent the "empty nest phenomenon" among an increasing number of elderly households, the Singapore government has formulated several priority housing schemes when purchasing HDB flats, meaning that parents and married children who wish to live together or near each other can enjoy priority after review and approval by relevant departments.
"In addition, in the allocation of HDB flats, the Singapore government also distributes housing based on the principle of prioritizing the filial and imprisoning those who commit fraud," said the relevant official from the Singapore Central Provident Fund Board.
