Everything You Need to Know About the Baby Bonus Scheme


The Baby Bonus Scheme is part of the Marriage and Parenthood Package. This scheme combines cash gift and a special savings Child Development Account (CDA) to alleviate the costs involved in raising a child in Singapore.

Understanding CDA benefits

CDA benefits include the CDA First Step Grant and government dollar-for-dollar matching for savings in the child?s CDA, up to a certain cap based on the child?s birth order.

Within 3 to 5 working days of registering or completing the application of the account, a CDA will be created with the CDA First Step grant deposited.

Under the government?s dollar-for-dollar matching scheme, the first and second child in the family will receive up to $3,000 for every dollar the parents save. This amount increases with the subsequent child, such that the third and fourth child receive up to $9,000 and the fifth child receives $15,000.

Parents can choose to save a lump sum amount at the very beginning to receive the maximum dollar-for-dollar matching amount, or make periodical contributions during the first 12 years of the child?s life.


CDA savings can be used to offset expenses incurred at Baby Bonus Approved Institutions (AIs) such as approved childcare centres, hospitals and clinics, kindergartens and even opticians. For the full list of AIs, please check here.

Unused balance when the child turns 13 will be automatically transferred to the Post-Secondary Education Account (PSEA). The amount in the PSEA account will grow at a rate equivalent to that of the Ordinary Account (AO). Any unused savings in the PSEA will then be transferred to the Ordinary Account at the age of 30.


Comparing different CDAs

Currently, only POSB, UOB and OCBC offer this account. The following is a summary of different CDAs:

POSB Smiley CDA:

  • 2% per annum interest on CDA balance
  • Free baby books and My Greatest Child membership (worth $47.60)
  • 3% cash rebate on local medical spending with POSB Everyday Card and Passion POSB Debit Card
  • Exclusive deals at participating merchants (Check the list of participating merchants here)


  • 2% per annum interest on CDA with no deposit cap on balances


  • 2% per annum interest o the first $35,000 deposited and 0.05% per annum thereafter
  • 3% cashback for over-the-counter medical, dental and cord blood banking transactions, on top of existing benefits using the OCBC 365 card, capped at $80 a month
  • Up to 50% discounts at participating merchants (Check the list of merchants here)

How to apply for the Baby Bonus Scheme

Pre-register for the Baby Bonus up to 8 weeks before your child?s estimated date of delivery, or after your child is born. To join the Baby Bonus Scheme, you will require a SingPass login, marriage certificate, a valid marriage certificate for your unborn child, or your newborn’s birth certificate. Also prepare the bank account holder?s account details to receive the cash gift, as well as personal particulars of the account holder.

To be eligible for the Baby Bonus Scheme, the following criteria must be fulfilled:

  • The child is born on or after 1 January 2015 or has an estimated date of delivery on or after 1 January 2015
  • The child is a Singapore Citizen
  • The child?s parents must be lawfully married.

Learn how you else you can benefit your child? Speak with a representative and receive a 24-piece diaper pack as our little gift to you when you sign up here!

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