The Baby Bonus Scheme has spanned the ages created by the Singaporean government to assist parents in addressing the costs associated with child rearing. In 2025, major improvements would encourage parenthood and prop up families’ ability to bear even heftier burdens. Thus, this article elaborately discusses the latest developments in the scheme with information on eligibility, benefits, and application procedures for the Baby Bonus Scheme 2025.
An Overview of Baby Bonus Scheme 2025
The scheme has two components, namely the Baby Bonus Cash Gift (BBCG) and the Child Development Account (CDA).
The Baby Bonus Cash Gift consists of a series of payouts as a child goes through the various stages of development in the early years of life. This is intended to meet periodic child-rearing expenses.
A Child Development Account is a special account into which parents can save money, and the government matches every dollar deposited into this savings account until the limit. The contributions to this account can only be utilized for approved education and healthcare purposes.
Eligibility Criteria
For 2025, there are many criteria that a needy infant must fulfill to be able to access the Baby Bonus scheme.
- First, the child must be a Singaporean Citizen. He can be either born as a citizen or the status can be conferred within 12 years after the child’s birth.
- Second, for a child to be eligible for the Baby Bonus Cash Gift, the parents must be lawfully married. However, all Singapore Citizen children are eligible for CDA benefits regardless of their parents’ marital status.
- Even those children born to unwed parents will be disqualified from receiving the Baby Bonus Cash Gift, but they may be entitled to the benefits under CDA.
Benefits Breakdown
Parents get $11,000 for their first and second child with the following scales: $3,000 at birth, $1,500 at 6 months, $1,500 at 12 months, $1,000 at 18 months, and $400 every six months from 2 years old until the child turns 6.5 years old.
For the third and subsequent children, the total cash gift is $13,000, which will be disbursed as follows: $4,000 at birth, $2,000 at 6 months, $2,000 at 12 months, $1,000 at 18 months, and then $400 every six months from age 2 until 6.5 years old.
Payments are intended to relieve over the essential periods of early childhood.
Children Development Account
There are two types of benefits offered under the CDA: the First Step Grant and Government Co-Matching.
- The First Step Grant for the first child is $5,000, which has a government co-matching limit of $4,000.
- For the second child, the First Step Grant remains at $5,000, but the co-matching increases to $7,000.
- For the third and fourth children, the First Step Grant is $10,000, with co-matching capped at $9,000.
- The grant would be the same amount but co-matching would go up to $15,000 for the fifth and beyond.
- The increased benefits come under the Large Families Scheme, which intends to give extra help to families having three or more children.
The funds in the CDA can be used to pay for many things, including childcare and kindergarten fees, special education schools, medical expenses, premiums for MediShield Life, assistive technology devices, eye care, approved pharmacy items, and childminding services under the early childhood development agency’s (ECDA) pilot programs.
Application Procedure
From July 1, 2024, parents can apply for the Baby Bonus Scheme via the LifeSG platform or application.
- With every enrollment, a Child Savings Account shall be opened automatically together with the CDA.
- The Baby Bonus Cash Gift shall be credited into the Child Savings Account within seven to ten working days after the child’s birth registration or after scheme enrollment, whichever is later.
- Notifications with instructions on activating the CDA with authorized banks (DBS/POSB, OCBC, or UOB) will be sent via email and the LifeSG inbox. The CDA activation process generally takes one working day from task completion.
Final Thoughts
The enhancements made to the Baby Bonus Scheme in 2025 highlight the government’s commitment to stand by families and support an increase in the national birth rate. Whether you are a new parent or actively planning to raise a family, knowing how you fit into the eligibility criteria, as well as the various benefits under the scheme, can help a lot with financial planning and give you more peace of mind in your parenting endeavors.