There are currently three types of CPF nomination – Cash, Enhanced Nomination Scheme and Special Needs Savings Scheme. For the CPF Enhanced Nomination Scheme, members can choose to allocate their funds to their nominees’ Special Account, MediSave Account and Retirement Account for those above 55 years old.

Funds in the Special Account and Retirement Account will not be accessible until the beneficiaries are at least 55 years old.  Funds in MediSave are restricted in usage to healthcare needs.

The CPF Board should restructure both the Cash nomination and Enhanced Nomination Scheme.

Members should be allowed to distribute their CPF funds to nominees across their multiple accounts, such as the Ordinary Account, Special Account, MediSave Account and Cash Account. This would offer a more comprehensive and tailored approach to legacy planning.

The CPF Board should introduce a percentage allocation feature which would let its members specify the percentage distribution of their CPF funds across these accounts based on beneficiaries’ preferences. 

With this feature, members are empowered to align their allocations more closely with their nominees’ goals and specific needs. The funds in their nominees’ Ordinary and MediSave accounts could be utilised for purposes such as housing, education and healthcare.

I understand that any modification to existing systems requires careful consideration and evaluation. However, such a change would contribute significantly to the overall effectiveness of the CPF Nomination Scheme and further cater to the diverse needs of CPF members.

Celine Ng Sout San