CPF interest rates for 1 October to 31 December 2026 are 2.5% a year on the Ordinary Account (OA) and 4% a year on the Special Account (SA), MediSave Account (MA) and Retirement Account (RA). On top of that, the first S$60,000 of your combined balances earns extra interest of 1%, or up to 2% from age 55.
Both headline rates are floors. Here is how the rates are worked out, how extra interest is counted, and when the money appears in your accounts.
CPF Interest Rates at a Glance
| Account | Rate, Oct to Dec 2026 | Formula | Floor |
|---|---|---|---|
| Ordinary Account | 2.5% a year | 3-month average of major local banks’ interest rates | 2.5%, the legislated minimum |
| Special, MediSave and Retirement Accounts | 4% a year | 12-month average yield of 10-year Singapore Government Securities, plus 1% | 4%, extended to 31 December 2027 |
Source: CPF Board. Rates are reviewed every quarter.
How the Rates Are Set and Reviewed
Each account’s rate comes from a formula tied to market rates. When the formula produces a number below the floor, the floor applies.
Ordinary Account. The formula is the three-month average of major local banks’ interest rates. For this quarter, CPF Board’s calculation gives 0.32%, using May to July 2026. That is well under 2.5%, so the OA pays the 2.5% minimum.
Special, MediSave and Retirement Accounts. The formula is the 12-month average yield of 10-year Singapore Government Securities plus 1%. For this quarter it works out to 3.06%, using August 2025 to July 2026. That is below 4%, so the 4% floor applies.
The two floors are not the same kind of promise. The OA’s 2.5% minimum is written into law. The 4% floor is a Government decision that has been renewed a year at a time. On 22 September 2026 it was extended to 31 December 2027.
The HDB concessionary loan rate is linked to the OA rate. It is 2.6% a year this quarter, which is the OA rate plus 0.1%.
The short version: The OA pays 2.5% and the SA, MediSave and RA pay 4%, both floors that sit above what the formulas currently produce. Extra interest is paid on your first $60,000. Interest is worked out monthly but only shows up in your accounts once a year.
Extra Interest on Your First $60,000
The Government pays extra interest on the first $60,000 of your combined CPF balances. No more than $20,000 of that can come from the OA.
| Below 55 | 55 and above | |
|---|---|---|
| Extra interest | 1% a year on the first $60,000 | 2% a year on the first $30,000, then 1% on the next $30,000 |
| Order in which balances are counted | OA (up to $20,000), then SA, then MA | RA, then OA (up to $20,000), then MA |
| Where extra interest on OA savings goes | Your SA | Your RA |
This is why CPF Board describes interest of “up to 5%” for members below 55 and “up to 6%” from 55.
A worked example, below 55
Take an illustrative member aged 40 with $50,000 in the OA, $30,000 in the SA and $25,000 in MediSave.
- Base interest for a year: $1,250 on the OA, $1,200 on the SA and $1,000 on MediSave. That is $3,450.
- Extra interest: the first $60,000 is made up of $20,000 from the OA, $30,000 from the SA and $10,000 from MediSave. At 1%, that is $600.
- Total: about $4,050 for the year.
The $200 of extra interest earned on OA savings is paid into the SA, not the OA.
A worked example, 55 and above
Take an illustrative member aged 60 with $150,000 in the RA and $30,000 in the OA. The RA is counted first, so it covers the whole $60,000.
- Extra interest: 2% on $30,000 is $600, and 1% on the next $30,000 is $300. That is $900.
- Base interest: $6,000 on the RA and $750 on the OA.
Both examples are illustrations using this quarter’s rates held for a full year. They are not a guarantee of future rates.
When Interest Is Computed and Credited
CPF Board’s rules are short:
- Interest is computed monthly.
- It is credited to your accounts and compounded once a year.
- Contributions and refunds received in a month start earning interest the next month.
- Withdrawals and deductions made in a month earn no interest for that month.
Two things follow from this.
First, your balance will not tick up with interest each month. The year’s interest arrives in one go, and that is when it starts earning interest itself.
Second, timing matters a little. A top-up received in January earns interest from February, so it earns 11 months of interest that year. A top-up received in December earns nothing until January. On an $8,000 top-up at 4%, the gap between those two is about $290, a figure we work through in cash top-ups versus OA-to-SA transfers.
The same rule cuts the other way when money leaves. Taking OA savings out for a six-month investment can cost seven months of OA interest. See T-bills and fixed deposits with OA money.
What the Rates Mean Over Time
The gap between 2.5% and 4% looks small in one year and large over decades.
As an illustration only, not a guarantee: $10,000 left for 20 years with interest compounded yearly grows to about $16,400 at 2.5% and about $21,900 at 4%. This assumes today’s floor rates stay unchanged for the whole period and ignores extra interest.
The price of the higher rate is access. OA savings can be used for housing and other approved purposes. SA and RA savings are for retirement, and moving money into them cannot be undone. Our CPF interest projector lets you test your own balances, and the OA rate against inflation looks at what 2.5% means in real terms.
What To Do Next
- Check the current quarter’s rates on CPF Board’s interest rates page. They are announced before each quarter starts.
- Look at your balances to see how much of your first $60,000 is earning extra interest.
- If you are planning a top-up, remember that money received this month earns interest from next month.
- Read CPF accounts explained if you are unsure what each account is for.
- For the full list of moves that affect your interest, see CPF strategies by age.
