Budget 2016: More payouts, higher qualifying income ceiling for Workfare scheme

THE Workfare Income Supplement (WIS) scheme will be enhanced in several ways, with the total budget set to be about S$770 million a year, said Finance Minister Heng Swee Keat in Parliament on Thursday.

The qualifying income ceiling for WIS will go up to S$2,000 a month, up from the current average wage of S$1,900. With WIS continuing to help the bottom 20 per cent of workers, and some support for those in the 30th income percentile, Mr Heng said that the scheme was expected to benefit some 460,000 Singaporeans.

The WIS payouts will also go up for eligible workers, with the actual amount varying depending on their age and income. A person earning S$1,000 to S$1,600 a month, for instance, will get increases in payouts of S$100 to S$500.

The qualifying criteria for WIS will be simplified, with the government set to pay WIS for every month worked. This is a change from the existing criteria, which requires a person to work two out of three consecutive months, or three out of six consecutive months, or six out of 12 months in a year.