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Licensed dealer and Financial Adviser   CPFIS Registered Investment Administrator
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FAQ

17. Supplementary Retirement Scheme(SRS)
1) What is Supplementary Retirement Scheme?
2) How do I open a Supplementary Retirement Scheme Account (SRS)?
3) Who is eligible to open a SRS account?
4) Can I open a SRS account with Fundsupermart.com?
5) How do I make a purchase with my SRS account?
6) Are all funds SRS available?
7) How do I make payment for a SRS purchase?
8) When I sell units that were purchased through my SRS account, do I get a Cheque for the proceeds?

Q: What is Supplementary Retirement Scheme?

A: The SRS is part of the Singapore government's multi-pronged strategy to address the financial needs of a greying population, which were highlighted in the Report of the Inter-Ministerial Committee (IMC) on the Ageing Population, released in November 1999.

The SRS complements the Central Provident Fund (CPF). CPF savings are meant to provide for housing and medical needs and for basic living needs after retirement. Unlike the CPF scheme, participation in SRS is voluntary. Participants can contribute a varying amount to SRS (subject to a cap) at their own discretion. The contributions may be used to purchase various investment instruments.

With the SRS, the government hopes to encourage Singaporeans to save more for their old age, by means of voluntary contributions to their SRS accounts. The SRS will be effective from 1st April 2001. It will be operated by the private sector.

The SRS offers attractive tax benefits. Contributions to SRS are eligible for tax relief, investment returns are accumulated tax-free (with the exception of Singapore dividends), and only 50% of the withdrawals from SRS are taxable at retirement.

Source: Ministry of Finance

If you would like to find out more about SRS Scheme you can log on to the Ministry of Finance Website http://www.mof.gov.sg/ or contact any of the 3 SRS operators.
 
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Q: How do I open a Supplementary Retirement Scheme Account (SRS)?

A: You can open a SRS account with any of the participating branches of the 3 SRS operators - DBS, UOB and OCBC.
 
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Q: Who is eligible to open a SRS account?

A: All Singaporeans, Singapore Permanent Residents (SPRs) and foreigners who

  • are at least 21 years old;
  • are not undischarged bankrupts; and
  • are not of unsound mind
 
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Q: Can I open a SRS account with Fundsupermart.com?

A: We do not provide this service. However, after you have opened an account with any of the 3 SRS operators, you can transact through us to purchase units of funds that are available for SRS subscription.
 
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Q: How do I make a purchase with my SRS account?

A: After you have opened a SRS account, you need to update your Fundsupermart.com investment account by adding the following details:
  • Name of your SRS operator, and
  • Your SRS account number.
To update your account, go to My Account > Update Account and click 'Next' at the bottom of the page to proceed further. After you have updated your account, the SRS payment method will be available when you next make a purchase.
 
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Q: Are all funds SRS available?

A: No. Refer to our website and click on Tools & Fund News > Fund Selector to check out the eligible funds.
 
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Q: How do I make payment for a SRS purchase?

A: The fund manager will request payment for the purchase from your SRS operator. You need not have to issue a cheque.
 
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Q: When I sell units that were purchased through my SRS account, do I get a Cheque for the proceeds?

A: The proceeds will be credited directly to your SRS account.
 
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For further assistance, call our helpline at 6557 2853 from 9am to 6pm on Mondays to Fridays (excluding weekends & public holidays).