A Quick Guide to Using the Baby Bonus Scheme for Your Child’s Healthcare
The Child Development Co-Savings Scheme, simply known as the Baby Bonus scheme, was introduced to help Singaporean parents with the rising costs of raising a child. The Baby Bonus scheme comprises of 3 main components:
1. A Cash Gift
Parents will receive a $8000 cash gift from the government when your child is born. This amount will be credited to your selected bank account.
2. Money for Your Child’s Child Development Account (CDA)
The CDA functions as a special savings account for your child, which is typically opened within 3 to 5 working days after your child’s birth is registered OR after the online application form is submitted. (Note: Parents are not required to go to the bank to open a CDA; you just have to choose among DBS, OCBC and UOB to manage this account)
The government will then deposit $3000 into your child’s CDA account to kickstart this savings account.
3. Dollar-for-dollar Matching
The CDA is also a co-savings account. This is important as it means that for each dollar you save in your child’s account, the government will put in a dollar too. For example, if you put in $500, the government will credit another $500 to your child’s account. This scheme continues until 31 December of the year that your child turns 12 years old. There are limits in place depending on the birth order of your child and you can seek more information on this here.
Birth Order of Your Child |
Cash Gift (includes $2,000 baby bonus plus) |
CDA Grant (When you first open your baby’s CDA) |
Dollar-for-Dollar Matching Limit |
Total Baby Bonus Received |
1st and 2nd Baby |
$8000 |
$3000 |
Up to $3000 |
Up to $14,000 |
3rd and 4th Baby |
$10,000 |
Up to $9000 |
Up to $22,000 |
|
5th Baby and Higher |
$10,000 |
Up to $15000 |
Up to $28,000 |
| Cash Gift (includes $2,000 baby bonus plus) | $8000 |
| CDA Grant (When you first open your baby’s CDA) | $3000 |
| Dollar-for-Dollar Matching Limit | Up to $3000 |
| Total Baby Bonus Received | Up to $14,000 |
| Cash Gift (includes $2,000 baby bonus plus) | $10,000 |
| CDA Grant (When you first open your baby’s CDA) | $3000 |
| Dollar-for-Dollar Matching Limit | Up to $9000 |
| Total Baby Bonus Received | Up to $22,000 |
| Cash Gift (includes $2,000 baby bonus plus) | $10,000 |
| CDA Grant (When you first open your baby’s CDA) | $3000 |
| Dollar-for-Dollar Matching Limit | Up to $15000 |
| Total Baby Bonus Received | Up to $28,000 |
Source: Ministry of Social and Family Development
How to Get Started with the Baby Bonus Benefits?
Step 1: Enrol your baby in the Baby Bonus scheme.
You and your partner will need a valid marriage certificate, and your child needs to be born in Singapore or be a Singapore citizen. You can sign up for the Baby Bonus scheme online, as early as 8 weeks before your estimated delivery date.Step 2: Register your baby’s birth once he/she is born.
This will automatically lead to the opening of your baby’s CDA in 3-5 working days. You can also open a CDA account online.
Step 3: Start saving money in your child’s CDA!
As stated above, as you add money into your child’s account, the government will match it accordingly until the limit is reached.
How to Use the Baby Bonus for Your Child’s Healthcare Needs?
While you cannot withdraw the funds in your baby’s CDA as cash, you can use the money in the CDA at healthcare institutions that are Baby Bonus approved, for medical expenses that your child incurs at these places.Claimable medical expenses must be for outpatient treatments, including child vaccinations, a visit to the doctor for common illnesses etc.
