Childcare Subsidy: What is it, and Can I Apply?

It can be costly to enroll your child into Childcare in Singapore, even if both parents are working. Although some are fortunate enough to be able to ask their family for assistance, most parents have to carry the financial burden of childcare by themselves.

In hopes of lightening parents' financial woes, the government has enforced several child care subsidies on top of the Baby Support Grants and the Baby Bonus. Here is an overview of the subsidies:

INFANT CARE & CHILD CARE:

Type of Subsidy	Benefits (Per Child)	Restrictions
​Basic Child Care Subsidy (Working Mothers)	Infant Care: $600/month, Child care: $300/month	Only for Children Enrolled in ECDA-Licensed Centres
Basic Child Care Subsidy (Non-Working Mothers)	Infant Care: $150/month, Child Care: $150/month	​Only for Children Enrolled in ECDA-Licensed Centres
​Additional Child Care Subsidy	Infant Care: Up to $710/month, Child Care: $467/month	Income Ceiling: $12,000 per Household OR $3,000 per person (for Larger Families), Applicant: Mothers (or Single Fathers) Who Work at Least 56 Hours per Month
Special Approval (Infant Care)	Basic: $600/month, Additional: Up to $540/month	Applicant: Mothers (or Single Fathers) Who are Not Working OR Non-Parent Caregivers. Offered on a Case-by-Case Basis

KINDERGARTEN

Type of Subsidy	Benefits (Per Child)	Restrictions
Start Up Grant (SUG)	Up to $240/Year	Income Ceiling: $1,900 per Household, $650 per Person
​​​​​Kindergarten Fee Assistance Scheme (KiFAS)	$21 to $170 / Month	Only For Children Enrolled in MOE or Anchor Operator Kindergarten. Income Ceiling: $12,00 per Household, $3,000 per Person (for Larger Families)

Infant Care and Child Care Subsidies

Basic Child Care Subsidy

This subsidy type covers full-day preschool costs for infants (2-18 months) and children (18 months - 6 years old)

The subsidy is not given directly to the parents or guardians, but instead, given to the child's registered center. The parent or guardian then pays the balance (i.e. the total fee - the subsidy)

The rate of subsidy is determined by the child's program type (i.e. whether your child is put under infant care or child care) and the applicant's employment status.

Working applicants can expect a subsidy of $600 per month for full-day infant care, and $300 for full-day child care. As for non-working applicants, the subsidy will be $150 for both infant care and child care.

The Basic Child Care Subsidy is applicable for all families with kids who are Singaporean Citizens, and also enrolled in infant or child care centres licensed by ECDA (Early Childhood Development Agency).

Additional Child Care Subsidy

This subsidy is more for families who are struggling with their finances, and need help affording infant care or child care.

As a means-tested subsidy, it allows parents who have lower incomes to afford infant care and child care, so that they can go to work with ease. The Additional Child Care Subsidy is an additional subsidy on top of the Basic Child Care Subsidy I mentioned earlier.

The subsidy can be anywhere up to $710 for infant care, and $467 for child care, depending on the eligibility of the applicants. To be applicable for this subsidy, both of these requirements need to be met:

1. Gross monthly household income is $12,000 and under, or per capita income is $3,000 and under for larger families (i.e. 5 or more members in the same household, with 3 or more dependents without income)

2. The working applicant is either a single father or a mother (single or married), and works 56 hours or more every month

Special Approval

At times, some unexpected situations may arise, hindering you from working. Under special approval, more subsidies can be given to you. This subsidy is granted on a case-by-case basis, and supporting documents are compulsory.

Single fathers and mothers who are unemployed can get a Basic Child Care Subsidy of $150. If Special Approval is awarded, there will be extra subsidies provided on top of the Basic Child Care Subsidy. This Special Approval subsidy is only temporary, and can only be provided for as long as you circumstance requires you to have it.

Applicants may apply for Special Approval if they are:

1. Caring for younger children, aged 24 months and below, full-time

2. Medically unfit to work as a result of long-term illness, permanent disability or hospitalization

3. incarcerated

4. caring for special needs or ill family members

5. unemployed because they are on a course(at least 56 hours a month), pregnant, studying, training, or looking for a job

Additionally, non-parent caregivers of children can also apply if they are a legal guardian, foster parent or grandparent.

Subsidies for Children Attending Kindergarten

Startup Grant (SUG)

SUG is a annual subsidy that covers the expenses required to enroll a child into kindergarten. These expenses include the kindergarten's school uniform, supplementary fee, education material fee, deposit, registration fee and insurance

The maximum amount of subsidies you can get from SUG is $240 a year, and it is only available for Singaporean Citizens who have a monthly gross household income of $1,900 and under, or a gross per capita income of $650 and below.

Kindergarten Fee Assistance Scheme (KiFAS)

KiFAS is a means-tested subsidy that makes kindergarten fees more accessible for low-middle income families.

Similar to the child care subsidy, KiFAS is given directly to the Kindergarten and you only make payment after the subsidy is applied. The balance can be paid through your child's Child Development Account (CDA).

This subsidy can be anywhere from $21 to $170, with families that have a lower income receiving more subsidies.

Only Singaporean citizens are eligible for KiFAS. Furthermore, your children have to be enrolled in kindergartens operated by Anchor Operators or the Ministry of Education to be applicable.

Only families who have a per capita income of $3,000 (for larger families) or a gross monthly household income of $12,000 and under can apply for this subsidy.

How to Apply for Subsidies?

You can apply for these subsidies through your child's kindergarten centre or preschool. Your relevant supporting documents will be requested and then forwarded to the Early Childhood Development Agency (ECDA).

Remember to update your contact details, because you will receive an email and SMS to confirm that ECDA has received your application. The results of your application will also be sent through text and email.

Other Methods to Finance Child Care Costs

Staring your preparation early is crucial when it comes to starting a family. You will have to save up for the expenses required to raise children almost as soon as you have gotten married.

Consider having a look at the costs of child care in Singapore, and add up all these potential expenses with your other household needs. Afterwards, talk to your partner about the best ways to save up for your future children.

Give Your Child the Best You Can Give

Apart from child care, there are many other expenses that you might consider making preparations for. For example, medical cost is one aspect that can be quite expensive, especially since young children are extremely prone to accidents and sickness.

Let yourself have a peace of mind with Income's Enhanced IncomeShield, a hospital and medical insurance scheme that complements MediShield Life coverage and takes away many of the worries you will have about your child's wellbeing.

You can even go even further with Liberty's PACare Plus - Enhanced , a personal accident insurance plan that can cover not only infectious diseases, but also accidents too.

If you need any assistance with deciding how you can best manage your finances to support your family's needs, feel free to reach out to me at 97901583!