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How to Make the Most of Your SRS (Supplementary Retirement Scheme) as an Expat

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As an expat living and working in Singapore, you’re likely looking for smart, tax-efficient ways to save and invest during your time here. But with limited access to local schemes like CPF, and the potential for a transient lifestyle, long-term financial planning can feel more complicated than it needs to be.

That’s where the Supplementary Retirement Scheme (SRS) comes in.

Many expats are unaware they’re eligible to participate, or dismiss it as something only Singaporeans benefit from. But in reality, SRS is one of the most underutilised and valuable tools available for high-earning foreigners living in Singapore—especially when it comes to reducing tax and building investment wealth.

In this article, we’ll explore what SRS is, why it matters for expats, and how to make the most of it while you’re here.

What Is the Supplementary Retirement Scheme?

The SRS is a voluntary savings programme launched by the Singapore government to encourage individuals to save for retirement, while also providing immediate tax benefits.

While CPF is mandatory only for Singapore Citizens and Permanent Residents, SRS is open to everyone, including foreign professionals. The scheme is designed to:

  • Reduce your taxable income in the current year
  • Provide a flexible investment account
  • Allow tax-deferred growth on your investments
  • Offer preferential tax treatment upon withdrawal (especially if planned strategically)

Why SRS Is Worth Considering as an Expat

Let’s start with the biggest benefit: income tax relief.

If you’re an expat working in Singapore and earning a relatively high income, your marginal tax rate could be anywhere from 11.5% to 24%. By contributing to an SRS account, you can reduce your taxable income and pay less tax each year.

Example:

Say you’re earning SGD 160,000 a year. If you contribute the maximum SGD 35,700 to your SRS account, that amount is deducted from your taxable income—potentially saving you over SGD 5,000 in tax, depending on your personal situation.

This is especially valuable if:

  • You’re in a high tax bracket
  • You expect to remain in Singapore for at least a few more years
  • You’re already maximising other basic reliefs (like earned income relief, spouse relief, etc.)

How Much Can You Contribute?

As of now, the SRS annual contribution cap for foreigners is SGD 35,700, compared to SGD 15,300 for Singaporeans and PRs.

You can contribute any amount up to this limit each calendar year. Contributions must be made by 31 December to count toward that year’s tax relief.

What Can You Invest in Through SRS?

SRS contributions sit in a designated account (held with DBS, OCBC or UOB) and can be left in cash or invested. If you leave them in cash, the interest earned is minimal, so it’s far more effective to deploy the funds into investments.

SRS-approved investments include:

  • Stocks and ETFs (listed on SGX or overseas exchanges)
  • Unit trusts and mutual funds
  • Fixed deposits
  • Bonds (corporate or government)
  • Insurance products (like endowment plans or retirement income plans)
  • REITs
  • Certain structured products

This gives you flexibility to align your SRS strategy with your risk appetite, time horizon, and return expectations.

When Can You Withdraw—and What Are the Tax Implications?

Here’s where it gets interesting.

You can begin making penalty-free withdrawals from your SRS account from the statutory retirement age that was applicable at the time of your first contribution. For now, that’s age 63. Withdrawals before this age incur a 5% penalty, unless for specific reasons (e.g. death, medical grounds, bankruptcy, or if you’re leaving Singapore permanently, subject to the account being open for 10 years).

But the real benefit is this: only 50% of each withdrawal is subject to tax.

This creates a powerful opportunity. If you’ve left Singapore and have no other taxable income in the country, you could potentially withdraw funds with little or no tax payable at all—especially if the withdrawals are spread over several years.

Example Scenario:

You’re retired, possibly still a tax resident in Singapore, and you start withdrawing SGD 40,000 per year from your SRS account. Only SGD 20,000 counts as taxable income. And if that falls below the basic income tax threshold, you pay nothing.

This is particularly appealing for expats who plan to retire overseas or in lower-tax jurisdictions.

What Happens if You Leave Singapore?

If you’re leaving Singapore permanently and don’t intend to return, you can withdraw your SRS funds penalty-free—but there’s a catch.

While the 5% early withdrawal penalty is waived, 100% of the withdrawn amount becomes taxable, not just 50%.

This often leads to a dilemma for expats: Do you withdraw everything now and take the tax hit, or leave the funds in SRS and defer withdrawal until you’re eligible for the 50% tax concession?

In many cases, it may make financial sense to keep your SRS account active—particularly if you’re confident you won’t need the funds for many years, and you can benefit from long-term tax-deferred investment growth.

That said, this decision should be based on your personal situation, including:

  • Your expected future income and tax residency
  • Whether you’ll still have ties to Singapore
  • How long until you reach statutory retirement age
  • Currency considerations and investment preferences

A financial adviser can help you model the impact of each option. One interesting point to take note is that if you are a non-resident at the time of withdrawal, the 50% will be taxed on Singapore’s highest tax rate (currently 24%). This may not be so much of an issue if you are already a high-tax income earner, but it is definitely something to take into consideration when you are planning your withdrawals.

Strategic Tips to Maximise Your SRS Benefits

1. Contribute consistently, especially in high-income years.

Use SRS to reduce taxable income when you’re in a higher bracket—it’s less effective when your income is already low or tax-exempt.

2. Don’t leave funds sitting in cash.

Once contributed, invest your SRS funds thoughtfully. Holding cash long-term defeats the purpose of tax-deferred investment growth.

3. Plan withdrawals carefully.

If you’re retiring or leaving Singapore, aim to spread withdrawals over 10 years after reaching the qualifying age to minimise tax.

4. Be mindful of currency exposure.

SRS contributions and most investment options are SGD-denominated. If you plan to retire in a different country, factor in exchange rate risks.

5. Coordinate with your global financial plan.

Ensure SRS complements—not conflicts with—your other retirement vehicles and tax structures across jurisdictions.

The Supplementary Retirement Scheme may not be as well-known as CPF, but for expats in Singapore, it can be a powerful tax and investment tool. It allows you to save smartly during your higher-earning years, benefit from immediate tax relief, and grow your wealth in a tax-deferred environment.

More importantly, it gives you flexibility. Unlike some national pension schemes, you control how your funds are invested and when (and how) you withdraw them.

With the right strategy, SRS can play a key role in your long-term financial independence—wherever you eventually call home.

Wondering if SRS fits into your expat financial strategy? Let’s have a conversation about how it could help reduce your tax bill and build wealth for the future.

How to Talk About Money With Your Partner (Without Causing an Argument)

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Talking about money with your partner can feel… uncomfortable. Even couples who communicate well in every other area often find themselves walking on eggshells when it comes to finances. Whether it’s spending habits, saving goals, or income differences, money can trigger emotions—shame, fear, frustration—that make open dialogue tricky.

But here’s the truth: if you’re in a serious relationship, your financial lives are already intertwined—whether you’re talking about it or not. The good news? Learning how to have calm, constructive money conversations is a skill. And like any skill, it can be learned.

In this guide, we’ll walk through why money talks so often go wrong—and how to make sure they go right.

Why Money Conversations Feel So Personal

Before we dive into how to talk about money, it helps to understand why it’s such a minefield.

Money isn’t just numbers—it’s tied to identity, security, status, childhood experiences, and cultural expectations. That’s especially true for expat couples, where:

  • One partner may earn more than the other
  • One might be unemployed or on a career break
  • You may come from different financial or cultural backgrounds
  • Your family and retirement goals might be in totally different countries

All of this means that financial conversations aren’t just about budgets—they’re about beliefs, values, and long-term hopes.

Step 1: Choose the Right Moment

One of the biggest mistakes couples make? Bringing up money in the middle of a stressful situation—like after a big bill, an unexpected expense, or a disagreement.

Instead, schedule the conversation. Seriously.

Try saying:

“Can we set aside 30 minutes this weekend to go over our finances together? I’d love for us to be on the same page.”

Set yourselves up for success:

  • Pick a calm, neutral time (not when you’re tired or rushing out the door)
  • Leave distractions aside—phones off, TV off
  • Approach it as a shared task, not a confrontation

Step 2: Start With Shared Goals

Before diving into what’s not working, begin with what you both want.

Ask each other:

  • What are our top 3 financial priorities right now?
  • What would we love to achieve in the next 5 years?
  • How do we want to live in retirement?

When couples focus on shared goals—buying a home, funding school fees, building a travel fund—it becomes easier to work as a team. You’re not arguing about expenses; you’re planning a future together.

Bonus tip: Write your shared goals down. They’ll become the anchor for future money decisions.

Step 3: Talk About Money History (Without Judgement)

So many financial disagreements stem from different backgrounds. Maybe you grew up with parents who talked openly about money—and your partner didn’t. Or one of you was raised in a high-debt household, while the other had a strict “save everything” mindset.

These experiences shape how we deal with money as adults.

Ask each other:

  • What did your parents teach you about money?
  • How did you feel about money growing up?
  • What’s one financial habit you wish you could change?

This isn’t about fixing each other—it’s about understanding each other.

Step 4: Be Honest About Income and Spending

Now it’s time to get practical. Lay the numbers out:

  • Income (including bonuses or irregular payments)
  • Monthly expenses
  • Debts or liabilities
  • Savings and investments

It can be nerve-racking to admit things like overspending, debt, or lack of savings—but transparency builds trust. If you’ve been hiding something, this is your chance to come clean. If your partner opens up about something that surprises you, listen before reacting.

If you’re unsure how to begin, try saying:

“I’d like us to both know what’s coming in and going out. Would you be open to going through this together?”

Step 5: Decide on a System That Works for You Both

There’s no one-size-fits-all way to manage joint finances. Some couples combine everything. Others keep things mostly separate and split shared bills.

Fully Combined

All income goes into a joint account. Bills, spending, savings—everything is shared.

Good for: Couples with different incomes or spending habits who still want joint finances & planning.

Partially Combined

Each partner contributes to a joint account (usually proportionally based on income) for shared expenses, while keeping separate accounts for personal spending.

Good for: Couples with different incomes or spending habits who still want financial independence.

Fully Separate

Each partner handles their own money, and shared expenses are split down the middle or as agreed.

Good for: Newer couples, or those who prefer total independence.

Whichever you choose, make sure it’s discussed—not assumed. The goal isn’t fairness by maths—it’s fairness by agreement.

Step 6: Make It a Habit, Not a One-Off

The best way to avoid conflict? Make money talks regular and normal.

Try setting a “money date” once a month:

  • Review your budget or spending
  • Check in on goals (saving for a holiday? Paying off a credit card?)
  • Make decisions together (like increasing investment contributions)

Keep it short and positive—20–30 minutes over coffee or a glass of wine works wonders.

When to Get Help From a Professional

Sometimes, money issues run deep—or you just need a neutral third party to help you build a plan. This is especially true for:

  • Dual-country tax or financial planning
  • Retirement planning across jurisdictions
  • Managing different currencies or property in multiple countries
  • Major lifestyle changes (children, redundancy, relocation, repatriation)

A qualified wealth adviser can help you map out a financial strategy that feels good to both of you—while keeping things calm and constructive.

Money doesn’t have to be a source of tension—it can be a tool for connection. When you talk openly, plan together, and respect each other’s differences, you don’t just avoid arguments—you build a stronger, more resilient partnership.

And remember: you don’t need to agree on everything. You just need to agree on how you’ll disagree—with empathy, honesty, and a plan.

Want help getting on the same financial page as your partner? Let’s sit down together and turn “money talks” into a shared plan for your future.

3 Steps Before You Invest!

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Everyone wants to make money, and more and more people are starting to realise that working a 9-5 is just not going to cut it anymore. But if you don’t have the luxury of running multiple businesses from home, or being your own boss, the easiest way to grow your money is to invest.

  Investing is the concept of allocating assets, usually money, into different financial vehicles, such as stocks, bonds or mutual funds, to create a profit. The bare minimum investment should be doing is beating inflation. Inflation is a measure of the rate of rising prices of goods and services in an economy. In short, over time our hard-earned money is worth less, due to the rising cost of products. It sounds somewhat bleak, and with average inflation currently working at 2.5%, the chances of saving decent money in a savings account that offers 0.5% seems slim. But a lot of investments are offering high non-guaranteed returns, often from the rate of 8% upwards. But what are the three things to consider before you put your money into investments.

1. Build an Emergency Fund

At a glance investing may seem like an obvious choice when it comes to saving money. Why not just throw all your savings into investment if it means high returns? The answer is that investment returns are NOT guaranteed- even the safest investments come with some risk, and sometimes the lock in periods are high, or the penalty for withdrawing early is expensive. To ensure that you are not over-investing, make sure that you have an emergency savings fund that is easily accessible. That way, should an emergency arise (like a large hospital bill or having to pay for car repairs), you can use your emergency money instead of jeopardising your investments.

  The recommended amount you should have in your emergency fund is 3-6 months of your monthly salary. This should be a healthy buffer should the worst happen. If you already have more than that, then that’s a great time to consider investing.

2. Be Debt-Free

Before you do any investing, you should really consider paying off your debt. Having a credit card bill is fine, but having any large or bad debt will hinder you in your long-term goals. It seems counter-productive attempting to make lots of money with investments, whilst paying off lots of debt. It may be difficult paying off student debt or large loans, but you will reap the benefits in the long run when your debt isn’t eating into your assets.

3. Set Your Investment Goals

This step may seem unnecessary but it is honestly THE most important step- defining your goals. What is the reason for investing? If you are doing it out of pure greed then your judgment will become clouded when it comes to riskier investments and you risk losing it all. So have a long and hard think about why you want to invest. You are putting your money, that you worked hard for, somewhere that could give you high returns, or give you nothing. Therefore, it’s best to have a long think and define some clear goals for your future. Do you want to plan for your retirement? Save for a house? Pass something on to your children? Whatever it is, decide how much you would need and by when. Most investments are a longer-term commitment, so it’s OK to think big. If you have no clue and are just investing for the sake of it, you will quickly lose your drive and passion for making money.

These steps may seem simple, but they really are the key to an effective investment strategy. If you found this article useful, comment below your favourite tip. Don’t forget to share it with your friends who are thinking about investing.