Which is the best bank for Indian expats in Singapore?

DBS is the most popular for daily banking with the Multiplier account earning up to 4.1% p.a. OCBC 360 is excellent for savings. UOB One offers up to 6% but requires a branch visit for foreigners. For global ties to India or UK, HSBC Premier links accounts across countries.

How do I open a bank account in Singapore as an Indian?

You need a valid passport, Employment Pass or S Pass, and proof of Singapore address. DBS and OCBC allow fully digital opening via Singpass. UOB requires foreigners to visit a branch in person. Accounts are activated within 1-3 business days.

What is the cheapest way to send money from Singapore to India?

Use a specialist remittance service. Banks charge S$15-50 in fixed fees plus 2-4% FX markup. Wise, Instarem, and SingX charge 0.25-0.6% with mid-market rates. Compare live rates at sgdtoinr.com before every transfer.

Can I send money to an NRE or NRO account from Singapore?

Yes. Wise, Instarem, SingX, Remitly, and DBS Remit all support transfers to both NRE and NRO accounts in India.

CPF & SRS Guide for Indians in Singapore

👤Who CPF Applies To

CPF is for Singapore Citizens and Permanent Residents only. If you hold an Employment Pass or S Pass, CPF does not apply to you — neither you nor your employer makes CPF contributions. You may, however, voluntarily contribute as a PR in your first two years.

The SRS (Supplementary Retirement Scheme) is different — it is open to all Singapore residents including EP and S Pass holders, and it offers meaningful tax savings every year.

Pass Type	CPF Mandatory?	SRS Eligible?	SRS Annual Cap
Singapore Citizen	✅ Yes	✅ Yes	S$15,300
Permanent Resident (PR)	✅ Yes (graduated rates yr 1–2)	✅ Yes	S$15,300
Employment Pass / S Pass	❌ No	✅ Yes	S$35,700
Dependent Pass / LTVP	❌ No	❌ No (no taxable income)	—

💡 EP Holders — Read This

Even without CPF, you have a powerful tax-saving tool: the SRS. Contributing S$35,700 to your SRS account before 31 December each year reduces your taxable income by S$35,700. At a 15% marginal tax rate, that is S$5,355 saved per year. Over a 5-year posting, that compounds significantly.

🏦The Four CPF Accounts

Your CPF savings are split across four accounts, each serving a specific purpose. When your employer deducts CPF from your salary, the money is automatically allocated across these accounts based on your age.

Ordinary Account (OA)

2.5% p.a.

The most flexible account. Used for housing (HDB flat purchase or mortgage), CPF-approved investments, education and insurance.

Key rule: You can use OA savings to pay for your HDB flat — but money used for housing must be returned with accrued interest when you sell.

Special Account (SA)

4.0% p.a.

Higher interest, locked for retirement. Cannot be used for housing. Invested in conservative government securities by default.

Key rule: Once SA reaches the Full Retirement Sum (FRS — S$213,000 in 2025), it cannot receive further transfers from OA.

MediSave Account (MA)

4.0% p.a.

Funds healthcare: hospitalisation, approved outpatient treatments and MediShield Life premiums.

Key rule: Capped at the Basic Healthcare Sum (BHS — S$75,500 in 2025). Excess contributions flow to SA (or RA at 55).

Retirement Account (RA)

4.0% p.a.

Created automatically at age 55. CPF transfers your OA and SA savings here up to the Full Retirement Sum (FRS). This funds your CPF LIFE monthly payouts from age 65.

Key rule: You cannot use RA savings for housing or investments.

ℹ️ Interest Bonuses

An extra 1% p.a. is paid on the first S$60,000 of combined CPF balances (capped at S$20,000 from OA). From age 55, an additional 2% is paid on the first S$30,000 of combined balances. These bonuses make CPF's effective returns significantly higher than the headline rates.

📊CPF Contribution Rates 2025

Contribution rates depend on your age and, for PRs, how long you have held PR status. The rates below apply to the ordinary wages (OW) ceiling of S$7,400/month — rising to S$8,000 from January 2026 — and an annual salary ceiling of S$102,000.

Citizens and PRs (3rd year onwards), age ≤ 55:

Who Pays	Rate	On monthly wages up to
Employee contribution	20%	S$7,400 (rising to S$8,000 in Jan 2026)
Employer contribution	17%	S$7,400 (rising to S$8,000 in Jan 2026)
Total CPF	37%	Annual cap: S$37,740

PR Graduated Rates — First Two Years:

PR Year	Employee	Employer	Total
Year 1 (1st Jan–Dec of first full calendar year)	5%	4%	9%
Year 2	15%	9%	24%
Year 3 onwards (full rates)	20%	17%	37%
⚠️ Reduced rates apply only to ordinary wages. Additional wages (bonus) may have different treatment. Verify at cpf.gov.sg

Rates change with age (Citizens/3rd-year PRs):

Age Group	Employee	Employer	Total
Up to 55	20%	17%	37%
Above 55 to 60	15%	15%	30%
Above 60 to 65	9.5%	11.5%	21%
Above 65 to 70	7%	8.5%	15.5%
Above 70	5%	7.5%	12.5%

⚠️ Common Misconception

CPF is not a tax — it is your own savings. The employee contribution (20%) comes from your gross salary, and the employer adds another 17% on top. You are not losing 37% of your salary — you are having 20% saved in your name, and your employer contributes a further 17%.

🏠Using CPF for Housing

Singapore Citizens and PRs can use their OA savings towards purchasing an HDB flat or a private property (subject to rules). This is one of the most significant ways CPF affects everyday financial planning.

1

HDB Flat Purchase (Citizens only)

Citizens can use OA savings for the down payment, stamp duty and monthly mortgage instalments on an HDB flat. PRs cannot buy a new HDB BTO flat — they may buy resale HDB flats subject to Ethnic Integration Policy quotas.

2

Private Property (Citizens and PRs)

OA savings can be used to purchase a private condominium or apartment, subject to the CPF Withdrawal Limit (typically tied to the property's Valuation Limit). A minimum OA balance must be maintained if you are below 55.

3

The Accrued Interest Rule

When you sell a property purchased with CPF, you must return the CPF amount used plus accrued interest (at 2.5% p.a.) back to your OA. This money does not go to the buyer — it goes back into your own CPF account. You keep the cash profit above this amount.

💡 For Renters on EP

If you are on an EP and renting, CPF housing rules do not apply to you. When you eventually obtain PR or Citizenship, you can then consider using OA savings. Until then, your priority should be the SRS for tax savings.

🏥MediSave — Healthcare Savings

MediSave automatically funds your MediShield Life premiums (Singapore's mandatory basic health insurance). Any surplus in MediSave can be used for approved outpatient treatments, hospitalisation and certain specialist visits.

What MediSave Covers	Notes
MediShield Life premiums	Automatically deducted from MediSave monthly
Hospitalisation (Class B2/C ward)	Can use MediSave up to daily withdrawal limits
Approved outpatient treatments	Includes chemotherapy, dialysis, certain chronic conditions
Integrated Shield Plan (IP) premiums	Partial use of MediSave for private ward coverage upgrades
Basic Healthcare Sum (BHS)	S$75,500 in 2025 — excess contributions overflow to SA/RA

ℹ️ What Indian Expats on EP Should Know

Without CPF, you will not have MediSave. This means you pay 100% of your MediShield Life premiums in cash, and you have no MediSave buffer for hospitalisation. This makes comprehensive private health insurance (via your employer or personally) essential. Do not rely on the public healthcare system without checking your coverage.

💰Voluntary Top-Ups & Tax Relief (RSTU)

Citizens and PRs can make voluntary cash top-ups to their CPF SA (Retirement Sum Top-Up scheme, or RSTU) and claim income tax relief. This is one of the most underutilised tax-saving tools in Singapore.

Top-Up Recipient	Max Tax Relief	Interest Rate
Your own SA (or RA if above 55)	S$8,000 per year	4% p.a.
Parent, grandparent, spouse, sibling (Singapore Citizen/PR)	S$8,000 per year	4% p.a.
Combined maximum relief	S$16,000 per year	—

Important conditions: the top-up is irreversible (you cannot withdraw it before 55), the SA must not have reached the Full Retirement Sum (S$213,000 in 2025), and relief is only claimable if the recipient is not already earning CPF contributions above the annual limit.

💡 Tax Saving Example

A Citizen earning S$150,000 p.a. at a 15% marginal tax rate tops up S$8,000 to their own SA. Tax saving: S$1,200. The S$8,000 now earns 4% p.a. (S$320 annually) in CPF, tax-free. Over 10 years, the combined benefit is significant — and the principal is still yours at retirement.

✈️Leaving Singapore — CPF Withdrawal

If you are a PR who is leaving Singapore permanently and renouncing your PR status, you can withdraw your full CPF savings (OA + SA + MA + RA) in cash. This is one key difference from Singapore Citizens, who have more restricted withdrawal options tied to retirement ages.

1

Renounce PR / Give up Singapore Citizenship

You must formally renounce your PR or citizenship. For PRs, this means your Re-Entry Permit (REP) must expire or be cancelled. You need to leave Singapore permanently.

2

Apply to CPF Board

Submit your withdrawal application online at cpf.gov.sg with supporting documents (travel document, renunciation certificate, bank details for remittance).

3

Funds Remitted

CPF will remit your balance to your nominated bank account. You can choose a foreign bank account, including an Indian NRE/NRO account. Processing typically takes 2–4 weeks.

⚠️ Do Not Leave Without Checking Your CPF Balance

Many Indians leave Singapore after years of PR without withdrawing their CPF. These funds sit dormant. CPF Board does attempt to contact members, but balances go to the Unclaimed Monies Fund after years of inactivity. If you have returned to India after giving up PR, check cpf.gov.sg for any unclaimed balance.

📈SRS — Supplementary Retirement Scheme

The SRS is a voluntary retirement savings scheme open to all Singapore tax residents, including EP and S Pass holders. It offers an immediate, guaranteed benefit: every dollar you contribute reduces your taxable income by one dollar, up to the annual cap.

Unlike CPF, SRS contributions can be invested in a wide range of instruments — Singapore stocks, ETFs, bonds, unit trusts, endowment plans and fixed deposits — through your SRS account with DBS, OCBC or UOB.

📊 Why SRS Matters for EP Holders

You pay Singapore income tax on your employment income. The SRS is the most direct way to reduce it:

Contribute S$35,700 before 31 Dec → Taxable income drops by S$35,700

At a 15% marginal tax rate: saves S$5,355 per year
At a 18% marginal tax rate: saves S$6,426 per year
At a 22% marginal tax rate: saves S$7,854 per year

This is money you keep by doing nothing other than moving savings into an account in your own name.

💵SRS Contribution Limits & Tax Savings

Contributor Type	Annual SRS Cap	Tax Relief
Singapore Citizens & PRs	S$15,300	Up to S$15,300 per year
Foreigners (EP / S Pass holders)	S$35,700	Up to S$35,700 per year

Tax savings at different income levels (EP holders at S$35,700 cap):

Annual Income (SGD)	Marginal Tax Rate	Estimated Tax Saving
S$80,001 – S$120,000	15%	~S$5,355
S$120,001 – S$160,000	18%	~S$6,426
S$160,001 – S$200,000	19%	~S$6,783
S$200,001 – S$240,000	19.5%	~S$6,962
S$240,001 – S$280,000	20%	~S$7,140
Above S$320,000	22%+	~S$7,854+
⚠️ Illustrative only. Your actual tax saving depends on all deductions and reliefs. Verify at iras.gov.sg

📉Investing Your SRS Savings

SRS money sitting uninvested earns 0.05% p.a. in the default account. The real power of SRS comes from investing it. Here are the main options available through the three SRS operators (DBS, OCBC, UOB):

Singapore Stocks & ETFs

SGX-listed

Buy SGX-listed shares, REITs and ETFs (e.g. Nikko AM STI ETF, Lion-Phillip S-REIT ETF) directly through your brokerage linked to SRS. Popular with long-term investors.

Unit Trusts

Diversified funds

A wide range of SRS-approved unit trusts across equity, bond and balanced funds. Available through the bank's investment platform. Suitable for investors who prefer managed exposure.

Fixed Deposits & SSBs

Capital-safe

Place SRS funds in fixed deposits or Singapore Savings Bonds (SSBs) for capital-guaranteed returns. Lower growth but zero risk. Good for those nearing the SRS statutory retirement age.

Endowment Plans & Annuities

Insurance-linked

SRS-approved insurance endowment plans that grow your savings with guaranteed and non-guaranteed bonuses. Some offer guaranteed regular payouts at retirement — structurally similar to CPF LIFE for those without CPF.

💡 The Low-Effort SRS Strategy

Open the SRS account in Year 1, contribute the maximum before 31 December, and invest in a low-cost Singapore-listed ETF (e.g. the SPDR STI ETF or Nikko AM STI ETF). This takes 30 minutes to set up and runs on autopilot. The tax saving is immediate — the investment returns compound over time.

🔓SRS Withdrawal Rules

Understanding the SRS withdrawal rules is critical — this is where many people get surprised. The tax advantage at contribution is real, but early withdrawal comes with a penalty.

Scenario	Tax Treatment	Penalty
Withdrawal at statutory retirement age (63+)	50% of amount withdrawn is taxable income	None
Withdrawal over 10-year window from age 63	Spread withdrawals to keep annual taxable amount low	None
Early withdrawal (before age 63)	100% of amount withdrawn is taxable income	5% penalty on amount withdrawn
Leaving Singapore permanently	100% of amount is taxable	5% penalty (waived in certain cases — check with bank)
Statutory retirement age for SRS withdrawal is 63. Once you begin withdrawals at 63, you have 10 years to draw down all funds.

ℹ️ The 50% Concession at Retirement

At retirement, only 50% of each withdrawal is taxable. This is the key design feature. If you withdraw S$40,000 per year from your SRS after 63, only S$20,000 is added to your taxable income. If you have no other Singapore income, this S$20,000 may fall within the zero or lowest tax bracket — meaning you effectively pay little to no tax on your SRS withdrawals.

⚠️ Early Withdrawal is Expensive

If you leave Singapore before reaching 63 and withdraw your SRS, you pay 100% tax on the full withdrawal plus a 5% penalty. This means the net benefit of SRS for someone who leaves Singapore early may be reduced or eliminated. SRS is best suited for those who expect to remain Singapore tax residents for at least 5–7 years.

🔑How to Open an SRS Account

You can only open one SRS account, with one of three banks: DBS, OCBC or UOB. Choose the bank where you already have a salary crediting account for simplicity. Opening takes 10 minutes online.

1

Choose your SRS operator

DBS, OCBC or UOB — these are the only three. If you already bank with one of them, choose that bank. If not, DBS offers the widest investment options through DBS Vickers.

2

Open online via internet banking

Log into your bank's internet banking portal → search for "SRS" → complete the application. You will need your FIN number and a Singapore bank account with the same bank. Takes under 10 minutes.

3

Transfer funds before 31 December

Contributions must be credited by 31 December to count for that year's tax relief. Do not leave it to the last day — bank processing can take 1–2 days. Set a calendar reminder for mid-December.

4

Invest your SRS balance

Money sitting in SRS earns 0.05%. Link your SRS account to a brokerage (e.g. DBS Vickers, OCBC Securities, UOB Kay Hian) and invest in ETFs, stocks or unit trusts. This step is separate from opening the account.

5

Claim your tax relief

Your SRS contribution is automatically reported to IRAS by your bank. When you file your income tax return (March–April), the SRS relief will appear pre-filled. Verify the amount and submit. Tax is assessed by November.

🔗Related Guides

❓ Frequently Asked Questions

No. CPF is mandatory only for Singapore Citizens and Permanent Residents. On an Employment Pass or S Pass, neither you nor your employer makes CPF contributions. However, you are eligible to open an SRS account and claim tax relief — this is the primary retirement/tax planning tool available to EP holders.

You can withdraw your full CPF balance — all four accounts — once you have formally renounced your PR status and left Singapore permanently. Apply through cpf.gov.sg. CPF can remit funds to your nominated foreign bank account, including an Indian NRE account. Processing typically takes 2–4 weeks.

As an EP holder, you can contribute up to S$35,700 per year to your SRS account. This reduces your taxable income by S$35,700. At a 15% marginal rate, you save S$5,355. At 18%, you save S$6,426. Over a 5-year posting, this can amount to S$25,000–S$40,000 in tax saved — money that remains yours, invested and growing in your SRS account.

Yes, but it comes at a cost. Early withdrawal (before age 63) means 100% of the amount is added to your taxable income, plus a 5% penalty. Whether this still results in a net gain depends on how many years of tax relief you received. For someone who contributed for 3+ years and invested well, it may still be worthwhile. For someone with only 1 year of contributions, the maths may not work out. Run the numbers or consult a tax advisor before leaving.

DBS, OCBC and UOB are the only three SRS operators in Singapore. Choose the bank where your salary is already credited — this keeps fund transfers simple. For investment access, DBS Vickers offers the widest range of SRS-eligible investment products. OCBC and UOB also offer solid options through their respective brokerages.

Both offer tax relief but work very differently. CPF SA top-up (RSTU): available to Citizens and PRs only, earns a guaranteed 4% p.a., money locked until retirement, maximum S$8,000 relief per year. SRS: available to all Singapore residents including EP holders, money can be invested (or withdrawn with penalty), higher annual cap (S$35,700 for foreigners), more flexible but requires active management. Most Citizens/PRs should consider both if their income is high enough.

31 December of each calendar year. Contributions must be credited (not just initiated) by 31 December to count for that year's tax relief. Given bank processing times, aim to transfer by 27–28 December. Contributions after 31 December count for the next tax year.

The Ordinary Wage (OW) ceiling is S$7,400/month in 2025, rising to S$8,000 in January 2026. This is the maximum monthly salary on which CPF contributions are calculated. If you earn S$10,000/month, CPF is calculated only on S$7,400 (or S$8,000 from Jan 2026) — not on the full S$10,000. The annual salary ceiling is S$102,000. This ceiling protects higher earners from having a disproportionate share of salary locked in CPF.

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What’s Inside This Guide

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Join the Community — No Charges

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Your Indian Community
in Singapore Starts Here