CPF Nomination: Ensuring Your Wishes for Your CPF Savings in Singapore
The Central Provident Fund (CPF) is a mandatory savings scheme for working Singaporeans and permanent residents. The CPF is a comprehensive social security system that provides retirement, healthcare, and housing benefits for its members. Upon death, the CPF savings will be distributed according to the CPF Act, unless the member has made a CPF nomination.
A CPF nomination is a legal document that allows CPF members to specify how they want their CPF savings to be distributed upon their death. In this article, we’ll take a closer look at CPF nominations and what you need to know to ensure your wishes are carried out.
Why Make a CPF Nomination?
Making a CPF nomination is important because it allows you to have control over how your CPF savings are distributed upon your death. Without a nomination, the CPF savings will be distributed according to the CPF Act, which may not be in line with your wishes.
By making a CPF nomination, you can ensure that your CPF savings are distributed to your loved ones or beneficiaries in accordance with your wishes. This can provide peace of mind and help to alleviate some of the stress and uncertainty that can arise from the distribution of assets upon death.
Who Can Make a CPF Nomination?
CPF members who are 16 years of age or older and have CPF savings can make a CPF nomination. If you are below 21 years of age, you must obtain the consent of your parents or legal guardian to make a CPF nomination.
What Are the Types of CPF Nominations?
There are three types of CPF nominations:
- Cash Nomination – allows you to nominate one or more beneficiaries to receive your CPF savings in cash.
- Enhanced Nomination Scheme (ENS) – allows you to nominate one or more beneficiaries to receive your CPF savings in cash and/or in the form of a monthly payout.
- Special Needs Savings Scheme (SNSS) Nomination – allows you to nominate one or more beneficiaries who have special needs to receive your CPF savings in the form of a special needs trust.
How to Make a CPF Nomination?
You can make a CPF nomination either online or through hardcopy forms available at any CPF Service Centre. Here are the steps to make a CPF nomination:
- Log in to the CPF website with your SingPass or request for a CPF Nomination Form from any CPF Service Centre.
- Choose the type of CPF nomination you want to make.
- Nominate your beneficiaries and indicate the percentage of CPF savings you want each beneficiary to receive.
- Review and confirm your CPF nomination.
- Submit your CPF nomination online or by mail.
- Keep a copy of your CPF nomination and inform your nominated beneficiaries.
How Often Should You Review Your CPF Nomination?
You should review your CPF nomination regularly and update it if there are any changes to your personal circumstances or if you wish to change your nominated beneficiaries. This is especially important if you get married, have children, or go through a divorce.
Making a CPF nomination is an important step in ensuring that your CPF savings are distributed according to your wishes upon your death. By making a CPF nomination, you can have peace of mind knowing that your loved ones or beneficiaries will receive the benefits you intended. If you have not made a CPF nomination yet, it is recommended that you do so as soon as possible.