From January 2025, Singapore will see a major enhancement in its Workfare Income Supplement (WIS) scheme an initiative designed to uplift lower-wage citizens through financial incentives and long-term savings support. With this update, eligible individuals, especially self-employed persons and platform-based gig workers, may now receive up to $3,267 annually under the scheme.
This move strengthens Singapore’s ongoing commitment to ensuring inclusive growth, encouraging stable employment, and building long-term financial security through retirement and healthcare savings.
Purpose and Reach of the Revised WIS Scheme
The core aim of the WIS scheme is to supplement the income and retirement savings of lower-earning Singaporeans, while promoting continued participation in the workforce. The scheme delivers a dual benefit: immediate cash payouts and contributions to long-term savings accounts.
Initially focused solely on employees, WIS has now been expanded to include those working in non-traditional employment settings such as ride-hailing, freelancing, and food delivery services. In 2025, employees could receive as much as $4,900 per year, while eligible self-employed and platform workers stand to gain up to $3,267.
Disbursement Structure Tailored for Work Categories
There is a clear distinction in the way benefits will be distributed between employees and self-employed individuals. Employees will enjoy monthly payments, of which 40% will be in cash and 60% directly deposited into their CPF accounts.
Self-employed persons and platform workers, however, will receive a single annual payout. In this structure, 10% of the amount will be disbursed as cash, and the remaining 90% will be contributed to their MediSave accounts.
New Features Launching in January 2025
One of the most impactful updates is the increase in the income eligibility ceiling from $2,500 to $3,000. This change is expected to include more workers under the scheme’s benefits. Employees who meet the criteria may now receive a higher payout of up to $4,900 annually.
An equally important step is the inclusion of gig workers in the eligibility net. This ensures that workers in modern-day roles such as delivery partners and freelance drivers also gain financial and healthcare savings support through MediSave contributions.
Qualification Criteria for Receiving WIS Benefits
To qualify for the enhanced WIS benefits, applicants must meet specific conditions. They must be Singaporean citizens, aged 30 and above by the end of the work year. However, individuals with disabilities are exempted from the age requirement. Monthly income must fall between $500 and $3,000, and property ownership must be limited to a single property with an annual valuation not exceeding $21,000.
Married applicants are required to ensure that their combined assessable income remains below $70,000, and they must not jointly own more than one property. For employed individuals, CPF contributions must be made for at least three months in a calendar year. For self-employed or platform workers, income must be declared to the Inland Revenue Authority of Singapore (IRAS), and corresponding MediSave contributions must be completed based on age and earnings.
Timeline for Receiving WIS Payments
For employees, WIS benefits will be paid out monthly, typically within two months following the month of employment. As an example, if someone worked in January 2025, they would receive the corresponding WIS payout by the end of March 2025.
On the other hand, platform and self-employed workers will receive their benefits once annually, usually by April of the following year, contingent upon their income declaration and MediSave contributions.
How to Receive the WIS Without an Application
Employees are not required to submit any applications to receive the WIS. Their eligibility is automatically determined based on their CPF contribution records. Meanwhile, self-employed individuals and gig workers need to declare their income to IRAS and ensure their MediSave contributions are fulfilled. They must complete these steps by March 31 of the following year to be eligible for automatic disbursement of their benefits.
Long-Term Significance of the Enhanced WIS
The newly upgraded WIS scheme is a vital support system for many lower-income citizens, going beyond mere financial aid to foster long-term planning for retirement and healthcare. The inclusion of platform workers acknowledges the evolving nature of employment and brings fair access to those in flexible, non-traditional roles.
With increased payouts and broader eligibility, recipients can better manage their immediate financial needs while steadily building a foundation for the future. In parallel, opportunities to upgrade skills via government subsidies may further enhance their earning potential in the years to come.