Budget 2025: Support for elderly and persons with disabilities, including more subsidies for long-term care
The government will match voluntary top-ups under a five-year Matched MediSave Scheme
- Senior-friendly upgrading extended to private properties for three years
- Higher subsidies with wider eligibility for long-term care
- Enabling Employment Credit for employers extended till end-2028
FOR elderly Singaporeans, Budget 2025 supports not only their employability, but their healthcare, housing and long-term care.
This includes a five-year Matched MediSave Scheme for eligible lower-income seniors aged 55 to 70. The government will match every dollar of voluntary top-ups to their MediSave accounts, capped at S$1,000 a year.
This complements the existing Matched Retirement Savings Scheme, which matches top-ups to the Central Provident Fund Retirement Account, said Finance Minister Lawrence Wong in his Budget speech on Tuesday (Feb 18).
The new scheme “really targets exactly the group of lower-income seniors, homemakers and caregivers that needed it the most”, said Marcus Kok, principal pension consultant for PwC Asia Actuarial Services. “I hope it will encourage their loved ones to take full advantage of the scheme by voluntarily topping up their MediSave accounts,” he added.
For housing, the Enhancement for Active Seniors programme will be expanded to households living in private properties, for three years up to 2028. It currently offers subsidised senior-friendly fittings and installations to households in public flats.
There is also more support for long-term care.
Subsidies will rise by up to 15 percentage points for residential long-term care, such as in nursing homes, and by up to 10 percentage points for long-term care services at home or in the community.
The Home Caregiving Grant’s maximum quantum will be raised to S$600 per month, from the current S$400.
For all of the above, the maximum qualifying per capita household income will be raised to S$4,800, allowing more to qualify.
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PM Wong expects at least 80,000 seniors to benefit from the enhanced subsidies and grants for long-term care. These are expected to cost around S$300 million in the 2026 financial year when implemented, and more in future years.
Support for persons with disabilities
Persons with disabilities (PWDs) are similarly getting support with employability, care and retirement savings.
The existing Enabling Employment Credit for employers will be extended to end-2028. This offsets up to 20 per cent of wages for PWDs earning under S$4,000 a month.
The Matched Retirement Savings Scheme will be expanded to include eligible Singaporeans with disabilities, regardless of their age.
For adult-disability services, subsidies will have higher rates and higher eligibility ceilings.
Caregivers of PWDs may also benefit from the Home Caregiving Grant increase.
For PWDs who have trust accounts with the Special Needs Trust Company (SNTC), the government will match each dollar of top-ups by lower and middle-income caregivers, up to S$10,000. The SNTC manages trust monies for PWDs when their caregivers pass on.
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