During the Singapore Budget 2025 announcement, the government introduced the Large Families Scheme (LFS) to support married couples in Singapore who have, or plan to have, three or more children. This initiative demonstrates the government’s clear intention not only to encourage couples to start families but also to inspire them to consider having three or more children.
The Large Families Scheme consist of three components.
#1 Enhanced CDA First Step Grant Of An Additional $5,000
Currently, all eligible Singaporean children receive a First Step Grant (FSG) of $5,000, which is deposited into their Child Development Account (CDA). Additionally, the government provides a dollar-for-dollar matching on savings deposited into the CDA, up to a cap that varies depending on the child’s birth order.
Under the Large Families Scheme, the third and subsequent children will receive an additional FSG of $5,000, increasing the total FSG to $10,000. This amount will be credited to their CDA. Funds in the CDA can be used for approved child-raising expenses, such as preschool fees and healthcare costs incurred by the child or their siblings.
#2 Large Family MediSave Grant
Parents will receive a Large Family MediSave Grant of $5,000 for each third and subsequent Singaporean citizen child born. This initiative is designed to ease the financial burden on parents as they expand their families.
The MediSave grant will be credited directly into the mother’s MediSave Account. It can be used to offset a range of expenses, including pregnancy and delivery costs. Additionally, the grant can be utilised for approved dependants’ medical bills and hospitalisation fees, providing families with greater financial flexibility and support in managing healthcare expenses.
#3 Large Family LifeSG Credits
Under the Large Families Scheme, each third and subsequent child will receive $1,000 annually in Large Family LifeSG Credit for every year from the age of one to six. This initiative aims to provide consistent financial support during the early childhood years, helping parents manage the costs associated with raising a growing family.
Families with existing third and subsequent Singapore citizen children who are six years old or younger in 2025 will also receive this annual $1,000 LifeSG Credit.
The LifeSG Credit can be used at a wide range of online and physical merchants that accept payments via PayNow UEN QR and/or NETS QR. This flexibility allows parents to conveniently offset everyday household expenses, including groceries, utilities, pharmacy purchases and transport services.
Read Also: Singapore Budget 2025: 5 Major Announcements That Will Benefit The Average Singaporean
It’s important to look beyond the immediate benefits announced in the Singapore Budget 2025, and to consider the long-term vision that the Large Families Scheme aims to achieve. The government’s intention is not only to provide financial support but also to kickstart a sustained whole-of-society movement to celebrate and better support large families. This includes having corporate partners provide a broad range of privileges and deals for large families in the future.
In other words, the Large Families Scheme is not just about the benefits introduced during Budget 2025. Instead, it marks (hopefully) the beginning of a larger initiative designed to create a more supportive environment for families with three or more children. As the scheme evolves, we can expect continued efforts from both the government and the private sector to enhance support for large families in Singapore.
It’s also crucial to note that the benefits from the Large Families Scheme are in addition to other schemes and announcements made during the Singapore Budget 2025. For example, parents will receive a one-off Child LifeSG Credit of $500 for each Singapore citizen child aged 0 to 12 in 2025.
To illustrate the impact, consider a family with three children under the age of 12, one of whom is six or younger this year. They would receive a total of $1,500 in one-off Child LifeSG Credits ($500 per child), along with an additional $1,000 in Large Family LifeSG Credits for their third child. This brings their total LifeSG Credits to $2,500 for 2025.
By combining these benefits, the government aims to ease the financial burden on larger families while fostering a more inclusive and supportive community for parents raising three or more children.
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