baby bonus scheme Archives

7 Tips to Stretch Your Dollar While Raising Kids & Fur-Kids Under One Roof

My late-night scroll led me to a video of a mom getting her two-year-old to train alongside her dogs. One of the pups has a history of biting, so she was teaching her daughter to be gentle while helping the dogs adjust to her presence. Parenting and pet parenting don’t come cheap, especially in Singapore.

Consider these no-fluff ways to stay financially sane while keeping your baby and pets happy.

#1: DITCH THE FANCY PET FOOD

You don’t need to splurge to give your pets healthy meals. Many premium pet food brands like Wellness Core and Taste of the Wild come in affordable “family pack” formats or generic equivalents with similar ingredients. Remember, look for real meat as the first ingredient and avoid meat by-products or corn.

#2: AVOID SPENDING ON PET FASHION

Yes, they look adorable in tiny tutus. But instead of splashing out on pet couture, invest in essentials like a durable collar, ID tag and comfortable leash. Your pet doesn’t care about trends, but your wallet will definitely feel it.

#3: GET INSURANCE FOR YOUR BABIES

Vet visits in Singapore can cost hundreds or even thousands. For instance, a single emergency surgery could set you back S$3,000 or more. So, consider pet insurance providers such as Happy Tails by AIA and Liberty Insurance. These insurance providers offer plans from S$24 per month with coverage up to S$10,000 per year.

The same goes for your baby. MediShield Life automatically covers Singaporean newborns. You can opt for a life insurance plan to protect your family if anything unexpected happens to you.

#4: DIY GROOMING AT HOME

Professional grooming can cost between S$50 and S$100 per session. With the right tools like a good brush, nail clippers and pet shampoo, grooming your pet at home becomes simple and affordable.

Image Credits: unsplash.com

Tip: Flea-fighting shampoos with ingredients like tea tree oil, oatmeal or coconut extract provide a natural and effective boost.

#5: TAKE ADVANTAGE OF GOVERNMENT BABY GRANTS

Take full advantage of Singapore’s Baby Bonus Scheme including cash gift, Child Development Account (CDA), and dollar-for-dollar matching up to S$15,000 (depending on the child’s birth order). Moreover, CDA funds can be used for preschool fees, medical expenses, and purchases from approved merchants like Watsons or Guardian.

#6: REVAMP YOUR HOUSEHOLD BUDGET

Children and pets bring along a range of new and ongoing expenses such as formula, nappies, vaccinations, checkups, grooming, and gear. It’s important to revisit your household budget regularly to reassess priorities, distinguish between essentials and non-essentials, and set clear financial goals. From baby enrichment classes and pet training to long-term tertiary education planning, there’s plenty to factor into your overall financial strategy.

#7: BUILD A MONEY BUFFER

Unexpected costs are bound to pop up. Whether it’s an emergency trip to the vet, a sudden medical bill, or replacing the stroller your toddler just destroyed mid-outing, having a safety net of three to six months’ worth of living expenses saved up can make a world of difference in keeping your finances stable and stress levels low.

IN A NUTSHELL

Image Credits: unsplash.com

Raising toddlers and pets in Singapore doesn’t have to come with financial stress. With smart planning and a few practical changes, you can give your kids and fur-kids the best things in life.

Sources: 1 ,2,3, & 4

Good news financially for parents with Singaporean children born on or after 14 February 2023

Here’s a breath of fresh fiscal air for local parents with little ones born on or after the day of love–14 February 2023.

The enhanced Baby Bonus, a delightful financial surprise unveiled in Budget 2023, is set to roll out next month, to be exact, from 1 August 2023, months ahead of its initially planned debut in early 2024.

These revamped benefits cater to eligible Singaporean tots, promising a more generous Baby Bonus Cash Gift, extended payouts, and augmented government top-ups in their Child Development Accounts (CDA).

In an announcement on Friday, 28 July 2023, the Ministry of Social and Family Development (MSF) and the National Population and Talent Division (NPTD) revealed that the wheels of legislation and system updates have turned faster than expected, enabling an earlier launch on 1 August 2023.

Rewinding to the Budget speech on 14 February 2023, Deputy Prime Minister and Finance Minister Lawrence Wong unveiled a S$3,000 boost to the Baby Bonus Cash Gift for eligible Singaporean newborns from that day onwards.

In addition, he announced the rejigged payout schedule, designed to provide a steady stream of financial support every six months until the child reaches six and a half years old.

Further sweetening the deal, the initial CDA First Step Grant will grow from S$3,000 to S$5,000.

For the first and second child, the government will also raise the co-matching maximum by S$1,000, matching parents’ CDA contributions dollar for dollar, up to a set level.

So, what does this mean for parents?

With these adjustments, families welcoming babies from 14 February this year will receive S$11,000 each for their first and second children, and S$13,000 each for their third and subsequent children as part of the Baby Bonus Cash Gifts.

The eligibility criteria for the Baby Bonus Cash Gift require the child to be a Singapore citizen and their parents to be in a lawful marriage.

Want to check if your child is eligible?

You can do so via this link: babybonus-eservices.msf.gov.sg/parent-helper

As for the payout timeline, a child enrolled in the Baby Bonus Scheme from 1 August 2023 will receive their First Step Grant in their CDA within two weeks of opening their accounts.

Government co-matching contributions will also be received within two weeks of depositing money into CDAs, excluding public holidays.

A phased approach will be followed for disbursement to children enrolled in the scheme from 14 February to 31 July 2023.

For more in-depth information and updates to the Baby Bonus Scheme, you can visit the official website: babybonus.msf.gov.sg.

Confronting Singapore’s Baby Bust With The Baby Bonus Scheme

It does not take a genius to understand how money greatly affects the Singaporeans’ approach to marriage and parenthood. The leading reasons why most Singaporeans are hesitant to make immediate marital or child-rearing plans are related to finances. The country’s population is affected due to these circumstances.

Related Article: Why Many Singaporeans Are Not Tying The Knot

Although last year’s Golden Jubilee ushered about 33,793 babies, our fertility rate remains below the replacement rate of 2.1 (i.e., the rate to maintain the population levels). This is why the Government introduces different incentives to encourage couples to have more children.

Attractive incentives include the parental leave, childcare subsidizes, and baby bonus. This article is going to focus on the beaming Baby Bonus Scheme! It was started in 2001 to provide financial assistance and support Singaporean couples in their decision to raise more children. The scheme is part of the “Marriage and Parenthood Package”, which includes a cash gift and (or) contributions to the Child Development Account (CDA).

You are welcome to avail the Baby Bonus Scheme if your child:

a. is a Singapore citizen,
b. was born alive,
c. was born from lawfully married parents, and
d. was born on or after September 1, 2016 from unwed parents.

After careful examination, you found out that you eligible to reap the benefits of the Baby Bonus Scheme. Congratulations! Remember that it has two distinct forms – the cash gift and the CDA.

The cash gift, as the name suggests, is given in the form of tangible dollars. The purchasing power belongs to you as you can do anything you desire with it. Use it responsibly to cushion the hefty newborn costs. You shall receive a cash gift of S$8,000 for your 1st and 2nd child. While, your 3rd and 4th child shall receive S$10,000 each. This only pertains to babies born on or after January 1, 2015. The cash gift will be given to you within 7-10 working days or after completing the online form.

CDA is a special savings account that can only be opened at the government approved banks. You may use it to shoulder the costs of childcare, kindergartens, medical procedures, and private integrated shield plans. Upon opening the CDA, you will receive the Dollar-for-Dollar matching contributions and CDA First Step grant.

Image Credits: pixabay.com

The ultimate purpose of the BBS is to provide financial assistance to parents who will help build a brighter future for Singapore. For more information, go to the official website at babybonus.msf.gov.sg.

Sources: 1 & 2

Search the site