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In a move aimed at strengthening support for lower-wage workers, the Singapore government has announced key updates to the Workfare Income Supplement (WIS) scheme for 2025. The latest changes include a significant increase in the maximum annual payout now up to $4,900 as well as a revised income ceiling, allowing more Singaporeans to qualify for the support.
These adjustments reflect Singapore’s ongoing efforts to ensure that work continues to pay, especially for older workers and those earning modest incomes. As cost-of-living pressures persist, enhancements to the CPF-linked WIS scheme provide timely and meaningful help to those who need it most.
What Is the Workfare Income Supplement (WIS)?
The Workfare Income Supplement is a targeted government program under the CPF system that supplements the wages of lower-income workers in Singapore. Its goal is twofold: to encourage consistent employment among older and lower-wage Singaporeans, and to boost their retirement savings through CPF contributions.
WIS payouts are disbursed in both cash and CPF, helping recipients with current expenses while building up long-term savings. The scheme is reviewed regularly to ensure that it stays relevant and keeps pace with changes in wage levels and the economy.
Higher Payouts in 2025: Up to $4,900 Annually
One of the headline changes for 2025 is the increase in the maximum annual WIS payout to $4,900, up from previous limits of around $4,200. This means eligible workers can now receive up to $408 per month, depending on their income, age, and working hours.
The structure of the payout remains similar, with a portion paid directly in cash for immediate use, and the rest credited into the worker’s CPF accounts to support long-term financial security. The cash component is especially helpful for covering everyday costs such as transport, groceries, or utility bills.
This enhancement provides a strong incentive for eligible individuals to remain in the workforce and contributes to a more inclusive labor market. It also reinforces the broader policy message that every job matters and that all forms of work are respected and supported.
New Income Ceiling Expands Eligibility
Alongside the increased payout, the government has raised the monthly income ceiling for WIS eligibility to $2,800, up from the previous cap of $2,500. This adjustment is significant because it opens the door for more workers to qualify for WIS, particularly those whose earnings have gradually increased over time but who still fall within the lower-income segment.
Raising the income ceiling ensures that wage growth does not automatically disqualify workers from support. Instead, it rewards upward mobility while maintaining a social safety net for those still building financial resilience.
With this change, thousands more workers especially in sectors like food services, cleaning, retail, and security can benefit from Workfare payouts.
Who Qualifies for WIS in 2025?
Eligibility for the WIS scheme depends on a number of criteria, including age, income, employment type, and CPF contributions. Here are the key requirements for 2025:
- Must be a Singapore citizen
- At least 30 years old
- Employed or self-employed
- Monthly income of not more than $2,800
- Work at least two months in any given year
- For employees: CPF contributions must be received
- For self-employed persons: Must declare net trade income and make Medisave contributions
Those who meet these criteria are automatically assessed for WIS, with no need to apply in most cases. For self-employed individuals, annual income declaration and Medisave contributions remain essential to qualify.
Payout Structure: Cash and CPF
The WIS payout is split into two parts: a cash component and a CPF component. The proportion depends on the worker’s age group. Generally, younger eligible workers receive a higher share in CPF, while older workers especially those above 60 receive a larger proportion in cash to support immediate needs.
For example, a 60-year-old worker earning $1,500 a month and working consistently throughout the year could receive nearly $4,900, with over 60% of that in cash. Meanwhile, someone aged 35 might receive a smaller amount overall, with a higher CPF allocation to encourage long-term saving.
This dual-payout system balances present financial support with future retirement adequacy, in line with Singapore’s CPF philosophy of self-reliance and forward planning.
Encouraging Regular Employment and Uplifting Workers
At its core, the Workfare scheme is designed to encourage steady employment by rewarding work, even at lower wages. It sends a clear message that every job is valued and that Singaporeans who put in the effort will receive tangible support.
The enhanced WIS payouts and income threshold also support other government initiatives aimed at upskilling workers, improving job quality, and reducing income inequality. It complements schemes like SkillsFuture and Progressive Wage Model, ensuring that economic growth is more evenly distributed.
Over the years, Workfare has proven effective at improving retirement adequacy among lower-wage workers and helping families meet daily expenses. The 2025 update builds on this foundation and ensures the scheme remains impactful in the years ahead.
How to Check Your Eligibility and Receive WIS
Employees do not need to apply for WIS. The CPF Board automatically assesses eligibility based on employer-submitted CPF contributions. If you qualify, payouts are typically credited quarterly March, June, September, and December.
Self-employed individuals, on the other hand, need to declare their income to IRAS and ensure that they have made their Medisave contributions for the year. Once these conditions are fulfilled, WIS payouts are made annually, usually in the third quarter of the year.
You can check your eligibility, payout history, and upcoming disbursements through the CPF website or Singpass app.
Practical Impact: Real Help for Real Needs
While the numbers might seem modest at first glance, the real-world impact of the Workfare scheme is significant. For someone earning $1,200 a month, an annual payout of $4,000 to $4,900 represents a substantial boost to their overall income. When combined with government subsidies, healthcare support, and other schemes, WIS plays a vital role in reducing the financial burden on low-income households.
The regularity of the payouts also helps with budgeting and financial planning, giving workers confidence to manage their expenses and save for the future.
Looking Ahead: A Stronger Social Compact
The 2025 update to the Workfare Income Supplement scheme is more than just a numbers revision. It represents a reaffirmation of Singapore’s commitment to supporting workers across all income levels. It also reflects the nation’s evolving social compact one where inclusive growth, shared responsibility, and mutual support are key pillars.
By enhancing both the payout amount and the income ceiling, the government ensures that the scheme remains relevant and continues to meet the needs of the lower-income segment. It strengthens the message that hard work is valued and rewarded, while ensuring no one is left behind.
As the cost of living continues to rise and economic transitions shape the job market, schemes like Workfare provide not just financial support, but also dignity and assurance for workers navigating these changes.
Whether you’re an employee or self-employed, staying informed about WIS updates can help you maximize your entitlements and make better financial decisions. With higher payouts and expanded eligibility, 2025 marks a promising step forward for many working Singaporeans.