Under this scheme, both the employer and employee make monthly contributions that could be withdrawn at the age of 55. This fund could also be utilized before the age of 55 for the purposes of medical emergencies, home ownership, insurance and investing in stock.

Contributing to this fund is not mandatory for foreign professionals working on a 3-year work permit. However, the professionals who become Singapore Permanent Resident (SPR) need to contribute to the CPF.

The contributions are at subsidized rate for the first two years of permanent residency, but from the third year onwards the contributions rates are similar to that of the Singapore citizens.

As on January 1, 1999 the contribution rates for employer is 10% and for employee is 20%. This rate applies to the employees under 55 and earning more than S$363 per month.

The CPF contribution rates for foriegners