This one-time S$600 payment for Cost-of-Living (COL) Special Payment is the government grant towards helping Singaporeans cope with raising cost of living. It is part of the Enhanced Assurance Package intended to provide assistance for most low- to middle-income households in dealing with inflation and recently with Goods and Services Tax, that is, the increased cost of living. Below is a detailed account of what is required to know.
What is the S$600 Cost-of-living Payment?
Budget 2024 introduces a one-time cash payout, called the Cost-of-Living Special Payment, as part of the Enhanced Assurance Package through which the government will offer a series of financial relief measures. The S$600 payout specifically targets workers and households most affected by inflation and increased daily expenses.
Eligibility Criteria
For full payment of S$600, recipients have to satisfy an updated set of eligibility criteria which includes availability of assessable annual income of not more than S$34,000 for the Year of Assessment 2023, ownership of one or no properties, attainment of the age of at least 21 years in 2024, among others. They also must be Singapore Citizens residing in Singapore and must have received the Workfare Income Supplement (WIS) in 2023.
If you received WIS in 2023 but did not satisfy all the other qualifying criteria, you will receive a payment of S$200.
Payment Dates
The S$600 Cost-of-Living Special Payment will be released in September 2024. Eligible recipients will receive notifications by way of SMS or letter. Payments will be credited directly to bank accounts based on PayNow registered under the respective NRIC of the recipients. Those without bank accounts will obtain the funds through GovCash.
What is the Workfare Income Supplement (WIS)?
The Workfare Income Supplement is a scheme that gives extra help to low-wage workers by supporting their earnings and building up savings for retirement. Most workers who qualified for WIS in 2023 will be older based on age and income qualifying eligibility, hence the Cost-of-Living cash payout will benefit them.
Why Introduce This Payment?
The S$600 disbursement is a part of a more extensive approach undertaken by the government in trying to support citizens through uncertain economic conditions. It offsets the costs of the increase in GST to 9 percent, as well as the rising global inflation and increased costs of living.The objective is to keep lower-income families as able to meet daily expenses without carrying too much financial pressure.
Related Support Measures
Additional benefits included into the Enhanced Assurance Package are CDC Vouchers, U-Save rebates, Service and Conservancy Charges (S&CC) rebates, and other Assurance Package cash distributions. These will be subsequently distributed by household type and income level through the course of 2024 and 2025.
How to Check Eligibility and Update Details
Eligible citizens will be automatically notified. However, individuals are encouraged to ensure that their NRIC is linked to PayNow and that their bank account and contact details are up to date. This can be done through government digital services such as Singpass.