What is SRS
Supplementary Retirement Scheme (SRS) is a deferred tax scheme to help you save more for your retirement and reduce your taxable income.
To qualify for SRS account, you must be Singapore Citizens, Singapore Permanent Residents (SPRs) and foreigners who derive any form of income can make SRS contributions in the current year.
Where can I open SRS account
SRS Accounts are managed by three SRS operators. To begin making contributions, you must first open an SRS Account with one of them.
The three SRS operators are:
- DBS Group Holdings Ltd
- United Overseas Bank (UOB) Ltd
- Overseas-Chinese Banking Corporation (OCBC) Ltd
The banks usually will have promotions during year-end to attract customers to open SRS account with them. Let’s have a look at below on what promotions are available.
You can only have one SRS account at any point in time. However, you can transfer your account between different SRS operators. It is an offence to open SRS accounts with more than one operator and there are penalties for doing so.
How much can you contribute
You can top up $15,300 if you are a Singaporean or PR and $35,700 if you are a foreigner.
Exclusively for New SRS Account Holders
From now till 7 Dec 2019, get up to S$60 cash when you open an SRS Account online, top up & invest – it’s that easy!
Open a new SRS Account via digibank (online) and;
Contribute minimum S$10,000 via digibank
|Purchase any amount in either Unit Trusts and/or Insurance with funds from your new SRS Account via digibank or at any DBS/POSB Branch.||$10|
From now till 16 December 2019, get up to S$50 when you:
|Open a UOB-SRS Account and deposit a minimum of S$1,000||S$30|
|Deposit a minimum of S$10,000 to your UOB-SRS Account
(First 2,000 customers only. Also applies to customers with existing UOB-SRS Account)
That’s not all, you can get additional shopping vouchers of up to S$100 when you invest your SRS funds to boost your retirement savings.
|Investment in SRS-Approved Unit Trusts or Insurance||Shopping Vouchers|
|S$10,000 to S$19,999||S$50|
|S$20,000 to S$29,999||S$70|
|S$30,000 and above||S$100|
There is no release of promotion from OCBC yet. We will update it once it is available.
Money inside SRS will earn you 0.05% interest so do not leave your money inside SRS account and do nothing. The safest way to invest your SRS funds will be placing it into SSB where recently MAS allows using SRS to purchase.
This year UOB has a better offer if you invest more than 10k worth but do take note that as usual, you won’t know if you are within the first 2,000 customers.