CPF Enhanced Nomination Scheme (ENS) Singapore
The CPF Enhanced Nomination Scheme (also referred to as “ENS”) is an alternative option to how we can distribute our CPF monies upon our demise. Accordingly, here are three things to know about this scheme.
1. What is it?
Firstly, the Enhanced Nomination Scheme allows us to transfer our CPF monies to our nominees’ CPF account upon our demise. For this purpose, there are two options to choose from:
Option 1: For our Nominee’s Retirement
In the first option, we may choose to credit our CPF monies into our nominee’s Special Account or Retirement Account first. Moreover, we can credit up to the current Full Retirement Sum or Enhanced Retirement Sum.
📝 Side Note: For CPF members whose 55th birthday is on or after 1 January 2020
Full Retirement Sum: S$181,000
Enhanced Retirement Sum: SS$271,500
After the transfer reaches its limit, the balance will be transferred into the nominee’s MediSave Account. In like manner, we can transfer up to the Basic Healthcare Sum.
📝 Side Note: Basic Healthcare Sum (Member’s age from 1 January 2020)
CPF Members age 65: S$60,000
CPF Members age 66: S$57,200
CPF Members age 67: S$54,500
CPF Members age 68: S$52,000
CPF Members age 69 and above: S$49,800
In the event that there is a balance after the respective top-ups, then the nominee will receive it in cash.
Option 2: For our Nominee’s Medical Expenses
For the second option, we may choose to credit our CPF monies into the nominee’s MediSave Account first. By the same token, we can transfer up to the Basic Healthcare Sum.
After the transfer reaches its limit, the balance will be transferred into the nominee’s Special Account or Retirement Account. In In the same way, we can transfer up to the Full Retirement Sum or Enhanced Retirement Sum.
Finally, the nominee will receive cash for any balance thereafter.
⚠️ Disclaimer: All crediting and payment processes in either options are subjected to the prevailing CPF rules.
2. Who can submit an ENS?
For this purpose, all CPF members whose nominees are Singapore Citizens or Singapore Permanent Residents (SPRs) are eligible.
N.B. In the event that the nominee is no longer a Singapore Citizen, or Singapore Permanent Residents at the time of disbursement, then he or she will receive the bequeathed CPF monies in cash.
3. How to sign up for ENS?
In order to submit a CPF Enhanced Nomination, we will need to visit any of the CPF Service Centres.
💡 Pro Tip: For a shorter waiting time, you can use Appointment @ CPF to make an appointment.
If you prefer to transfer your CPF monies into your nominee’s CPF account, then submit an Enhanced Nomination Scheme form. Otherwise, the CPF Cash Nomination will be the default option. In any case, I will strongly urge you to complete a CPF Nomination. This is because we cannot distribute our CPF monies through a Will. Above all, don’t leave it to the state to decide how to distribute your assets.
Thoughts of the Day 💭
- Have you made a CPF Nomination?
- Which will you choose – Cash Nomination or Enhanced Nomination?
- How do you plan your estate?
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