How much in GST vouchers (cash, U-Save, MediSave) will I be getting in 2019?
PUBLISHED ONOctober 25, 2019 2:08 AMBySim Kang Heong
This article was first published on 22 May 2019 and has been updated to include additional information on the Bicentennial benefits.
While the exact date of the increase of Goods & Service Tax (GST) to 9 per cent has not yet been set, what's certain is the slew of offset measures announced in Budget 2019 to help Singaporeans cope with the rising cost of living.
In addition, this year marks Singapore's Bicentennial year. Along with festivities and celebrations comes expanded GSV Voucher benefits.
Here's everything you need to know about how much you can look forward to receiving later this year when the bulk of GST Voucher benefits are given out.
OVERVIEW OF THE GST VOUCHER SCHEME
GST Voucher (GSTV) was introduced as a permanent scheme in Budget 2012 to provide continuous support to help lower-income Singaporeans cope with living costs associated with GST.
Each year since then, Singaporeans look forward to subsidies and support given under the GST Voucher scheme. The permanent nature of the GST Voucher scheme makes it a sustainable form of support, rather than just a temporary one.
While the cash component understandably gets the most attention, the GST Voucher actually comprises three separate components - namely, Cash, U-Save, and MediSave.
2019 GST VOUCHER - CASH AND GST VOUCHER - CASH (BICENTENNIAL PAYMENT)
The GST Voucher - Cash component is given to lower-income Singaporeans. To qualify, you must fulfil the following criteria:
- You must be a Singapore Citizen currently residing in Singapore
- You must be 21 years of age or above in 2019
- You must not own more than one property
- Your Income Earned in 2017 must not exceed $28,000
- The Annual Value (AV) of your home (as indicated on your NRIC) as at 31 December 2018 must not exceed $21,000
The first 3 criteria is pretty self-explanatory. Let's take a closer look at the latter 2 criteria.
Income Earned in 2017: To meet this criteria, your income earned in 2017 must not be more than $28,000. This is based on your Assessable Income for the Year of Assessment 2018 as declared to IRAS.
Annual Value Of Home (as at 31 Dec 2018): The Annual Value (AV) of your home is the estimated amount of rent you can collect in a year if you were to rent it out. You can find out what's the AV of your property by logging into IRAS myTax Portal or by referring to your yearly property tax bill.
To check if you're eligible, you can log in to GST Voucher website after 1 July 2019. Eligible Singaporeans will also be notified in July.
Just for 2019, those who are eligible to receive GST Voucher - Cash will receive additional money (up to $300) under GST Voucher - Cash (Bicentennial Payment). The regular cash payment will be made in August, while the Bicentennial Payment will be credited in November.
Here's how much those who qualify will stand to receive:
In total, eligible recipients can receive up to $600 in cash in 2019.
2019 GST VOUCHER - U-SAVE
Singaporean HDB households will receive quarterly rebates to help them offset their utilities bills. The GST Voucher − U-Save benefits will be credited to the flat's utilities account in January, April, July, and October.
To qualify, households need to fulfil one of following criteria:
If you own and live in your HDB flat: There must be at least one Singapore citizen owner or occupier in the flat
If you partially rent out the HDB flat that you own and live in: There must be at least one Singapore citizen owner or occupier in the flat
If you rent an entire flat: There must be at least one Singaporean tenant.
In addition, immediate family members living in the same flat must not own or have any interest in more than one property.
On top of the permanent U-Save rebate increase of between $40 to $120 announced in 2017, the government announced in Budget 2018 that there will be an additional U-Save of $20 a year for 3 years, from 2019 to 2021 for eligible HDB households.
This additional support is meant to cover the increase in electricity and gas expenses for HDB households arising from the carbon tax as households adjust and make efforts to reduce their electricity and gas consumption over time.
The amount of rebate your household receives depends on your flat size.
2019 GST VOUCHER - MEDISAVE
The final benefits component of GST Voucher is MediSave top-ups, which will be paid out in August. To qualify, you must meet the following criteria:
- You must be a Singapore Citizen currently residing in Singapore
- You must be 65 years of age or above in 2019
- The Annual Value (AV) of your home(as indicated on your NRIC) as at 31 December 2018 must not exceed $21,000
- You must not own more than one property
The amount of MediSave top-ups depend on your age and AV of your home.
WHEN DO I RECEIVE THE VARIOUS GST VOUCHER PAYOUTS?
The timeline for payments under the 2019 GST Voucher are as follows:
HOW WILL I RECEIVE THE MONEY?
Having a designated bank account for the money to be credited into your account would be the most convenient way for you to receive your GSTV - Cash payout. This will be faster and more convenient compared to the hassle of waiting 2 additional weeks for the cheque to be mailed to you and having to cash it in at the bank.
By default, your designated bank account would be the last account that has been used to receive cash payouts from the government. If you wish to check or change the bank account, you can do so at the GST Voucher website.
If you have already registered to receive GST Voucher payouts in the past, you do not need to do anything and will automatically receive your GST Voucher payouts this year as well.
For those who have not signed up for the GST Voucher scheme or other government payouts, you need to sign up online or through a hard copy forms at community centres.
HOW WILL I BE NOTIFIED?
An SMS notification service has been introduced to provide timely updates to Singaporeans regarding GST Voucher - Cash and Medisave. Citizens with mobile numbers updated with SingPass will receive SMS notifications, while other recipients will receive letter notifications.
Through the SMS notifications, you will be informed if you qualify for the GST Voucher - Cash and Medisave, and when the GSTV - Cash payments have been credited. This is faster and more convenient than having to wait for the notification letters to arrive in your mailbox.
SMS notifications will be sent to the mobile number that you have registered for your SingPass Account.
If you have yet to register your mobile number with SingPass, notification letters will continue to be mailed to you. To be able to receive timely SMS notifications on your GST Vouchers in the future, simply log on to the SingPass website to register your mobile number. Once you have done so, you can enjoy greater convenience and also do your part for the environment by reducing paper usage!
ADDITIONAL BICENTENNIAL BENEFITS
The enhanced GST Voucher payouts for Singapore's Bicentennial was announced in Budget 2019, along with two other Bicentennial benefits:
Workfare Bicentennial Bonus (Cash): Singapore workers who are under the Workfare Income Supplement (WIS) scheme will get an extra 10 per cent in WIS payments for work done in 2018, with a minimum payment of $100.
CPF Top-Ups: Singaporeans aged between 50 and 64 in 2019 will receive a one-off CPF top-up of up to $1,000 if they have less than $60,000 of retirement savings in their CPF accounts.
The Workfare Bicentennial Bonus will be paid out in October while the special CPF Top-Up will be made in November.
This article was first published in Dollars and Sense.
