KEY HIGHLIGHTS
- Singapore will raise the retirement age to 64 and re-employment age to 69 from 1 July 2026.
- This change directly affects CPF contributions, CPF Life payouts, and long-term retirement planning.
- For most Singaporeans, working longer could mean higher monthly retirement income and stronger financial security.
This is one policy update every working Singaporean should pay attention to. From 1 July 2026, Singapore will officially raise the statutory retirement age to 64 and the re-employment age to 69. If you’re still actively planning your CPF, insurance, investments, or even housing loan timelines, this matters more than you think.
Announced by the Ministry of Manpower, the move reflects a simple reality: Singaporeans are living longer, healthier lives, and many want — or need — to keep earning. Whether you’re in Finance, Tech, Healthcare, Education, or running your own SME, this policy changes how long you can legally stay employed and how much you can build up for retirement.
At a glance: What changes in 2026?
| Item | Current Rule | From 1 July 2026 | Why It Matters |
|---|---|---|---|
| Statutory Retirement Age | 63 | 64 | One extra year of protected employment income |
| Re-employment Age | 68 | 69 | More years of CPF contributions and insurance coverage |
| CPF Life Payout Age | 65 | No change | You can still start payouts at 65 |
| CPF Withdrawal Age | 55 | No change | Lump sum withdrawals unaffected |
What the New Retirement Age Really Means for Workers
The increase to a 64 retirement age means employers can no longer require you to retire before that age. Simply put, you get one additional guaranteed working year, assuming you’re medically fit and performing reasonably.
For most Singaporeans, this extra year is not just about staying busy. It translates into more salary income, continued CPF contributions, and less pressure on your savings during early retirement years. If you’re still servicing a home loan or supporting family, that extra buffer can be very useful.
Re-employment Age Goes Up to 69 — Who Qualifies?
From 1 July 2026, eligible employees must be offered re-employment up to 69, up from 68 today. This applies to Singapore Citizens and Permanent Residents covered under the Retirement and Re-employment Act.
To qualify, you generally need to:
- Have at least 2 years of service with your employer (if hired after 55)
- Meet reasonable medical fitness standards
- Have satisfactory work performance
Re-employment contracts can come with adjusted roles, working hours, or pay. Honestly speaking, many seniors prefer this flexibility — lighter workloads, part-time roles, and continued access to employer medical benefits.
Impact on CPF Contributions and CPF Life Payouts
This is where the money side gets interesting. The policy change aligns with ongoing CPF reforms aimed at improving retirement adequacy.
From 1 January 2026, CPF contribution rates for workers aged 55 to 65 will increase by 1.5% in total. That’s 0.5% more from employers and 1% more from employees. These additional contributions go into your Special Account or Retirement Account, earning up to 4.08% p.a. risk-free interest.
Important to note:
- CPF Life payout age stays at 65
- CPF withdrawal age stays at 55
No need to overthink — nothing is being delayed. In fact, if you continue working past 65 and defer CPF Life payouts (up to age 70), your monthly payouts can increase by up to 7% per year deferred. Over time, this can add up to a meaningful boost against rising living costs.
Majulah Package: Extra Support for Older Workers
To support this transition, the Government rolled out the Majulah Package, aimed at “young seniors” born in 1973 or earlier.
Key benefits include:
- Earn and Save Bonus: Annual CPF top-ups of up to S$1,000 for eligible lower- and middle-income workers who remain employed
- Retirement Savings Bonus: One-time CPF top-up of up to S$1,500 if your savings are below the Basic Retirement Sum
- MediSave Bonus: One-time top-up of up to S$1,500 to help with healthcare and insurance premiums
For retirees worried about healthcare inflation, this is a quiet but meaningful support move.
What This Means for Financial Planning in Singapore
Working longer changes how you should think about money. If you’re still following an old “retire at 62” plan, it’s time to adjust.
- Insurance planning: Check if your Disability Income Insurance and Critical Illness plans cover you beyond 60 or 65, especially during re-employment years.
- Tax planning: Higher-income earners should look seriously at the Supplementary Retirement Scheme (SRS) for tax relief and long-term withdrawals.
- Skills upgrading: Staying relevant matters. SkillsFuture-funded courses in digital, finance, SaaS, and healthcare can help you command better pay even in later years.
For many Singaporeans, the biggest win here is optionality — you’re not forced to work longer, but you’re protected if you choose to.
Frequently Asked Questions
Will CPF withdrawal or payout ages increase in 2026?
No. CPF Life payouts still start at 65, and CPF withdrawals can still be made from 55. The new rules only affect employment age limits.
Can my employer reduce my salary after I turn 64?
If you are re-employed, salary and job scope may be adjusted, but changes must be reasonable under tripartite guidelines.
Does this policy apply to Permanent Residents?
Yes. The Retirement and Re-employment Act applies to both Singapore Citizens and Permanent Residents.