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Saving Schemes For Seniors

by | Feb 26, 2024 | A Better Tomorrow, Financial Services/Grants

As a senior living in one of the most expensive cities in the world, rising costs of living would be on the top of the minds for many as it eats away at one’s savings. This warrants a greater need for sound planning of finances. 

Since our working years, we are made to “save” through schemes such as Central Provident Fund (CPF) contributions. This comprehensive social-security system helps one set aside funds for retirement. 

However, there is more one can do to ensure a comfortable retirement – a sound approach to selecting saving schemes can help one stretch their money and live the life they want. Insufficient awareness of saving schemes puts one at risk of not being able to live that post retirement lifestyle that one aspires for. Here are some saving schemes for seniors to consider to achieve greater financial freedom:

Supplementary Retirement Scheme (SRS)

SRS is a voluntary retirement scheme that the Singapore government offers. Singaporeans and PRs can contribute a maximum of $15,300 per year to their SRS accounts.

SRS gets us tax savings and when investing SRS funds, one can earn potentially higher interest. One can use a range of investment products to grow the SRS funds:

  • Bonds
  • Singapore Government Securities (SGS)/Singapore Savings Bonds (SSB)
  • Fixed Deposit Rate
  • Foreign Currency Fixed Deposit
  • Shares
  • Single Premium Insurance
  • Unit Trusts
Using your SRS in your golden years

Enjoy the full benefit of your SRS savings and investment when you make withdrawals upon reaching the statutory retirement age. SRS gives you the flexibility to withdraw your SRS funds in cash or investments.


Singapore Government Treasury Bills (T-Bill)

Amidst rising interest rates, treasury bills have been a popular investment option for investors who are looking at an investment horizon of six months to a year without taking on much investment risk.

These are debt obligations issued by the government which are typically lower in risk and higher in liquidity with predictable returns. For seniors who wish to save and put their money to work, treasury bills are a good option to consider. 


Fixed Deposits 

Fixed deposits are offered by banks and financial institutions and these typically offer higher interest rates on your savings rather than leaving your money in a savings account. 

While the interest rate offered may vary depending on the tenure and amount of the deposit, fixed deposits are typically considered a low risk way of boosting your savings by earning interest on the deposits. 

For a start, check out the fixed deposit rates across banks and what the minimum deposit and tenure is before making a decision if fixed deposits (having your money locked up for that period of time) is the way to boost your savings. 


Singapore Savings Bond

Singapore savings bonds are debt securities issued by the government. How this works is simple, the longer you hold this investment, interest rates get higher. What we love about this for seniors is that it can be redeemed in any month with no penalty. Upon redemption, one would get back the initial investment amount and any interest accrued upon redemption 

The flexibility that SSBs offer is a good option for seniors who want to make their savings work for them at a relatively low risk level. 


Insurance Savings Plans

An insurance savings plan allows you to save small amounts for a long period or large amounts for a shorter duration. It is an insurance savings plan with capital guaranteed at maturity, hence you’ll have peace of mind knowing your savings are safe.

Here are some saving plans to check out

  1. PRUActive Saver III
  2. AIA Retirement Saver (IV)
  3. Income insurance savings plans and investment linked plans
  4. Manulife Savings Insurance Plans
  5. Great Eastern GREAT Wealth Multiplier 3



Allocating your funds into saving schemes can help you maximise your savings and bring you a step closer to living that post retirement life you envision. To better help you in your planning, check out retirement calculators online such as the ones from DBS, Great Eastern, and Standard Chartered to get a better idea on how much you’ll need to save up. As a last piece of advice, do seek professional advice if you need help and always be wary of scammers!

About Growing Needs

About Growing Needs

Growing Needs grew out of our own encounters with caring for our aging parents and reflecting on the Growing Needs that we ourselves would face as we advance in years. We hope to build a community that will learn, share and contribute towards caring for the growing needs of our loved ones.

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