Facing Rising Costs: A Young Family’s Journey in Singapore
The Goods and Services Tax (GST) hike to 8% this year has left many families in Singapore feeling the pinch. For Yap Ning, a graphic designer and mother of an 8-month-old daughter, the struggle is real. In a candid chat with AsiaOne on February 14, she opened up about the challenges of raising her little one while managing soaring living expenses.
Balancing Work and Family
At just 31 years old, Ning finds herself at a crossroads. After her maternity leave, she had to decide whether to return to work and send her daughter to nursery or stay home as a full-time mum. With financial pressures mounting, she chose to continue working, knowing that both incomes were crucial for their family’s well-being.
Ning has made significant lifestyle changes to cope with the rising costs. She’s cut back on entertainment and shopping, focusing instead on essentials like feeding her family. To save money, she’s also switched to using reusable diapers and wet wipes, which are much more budget-friendly compared to disposable options. While these changes have helped, Ning knows that if their income doesn’t grow, they may still face challenges down the road.
Government Support for Young Families
Fortunately, Ning isn’t alone in her struggles. The government, led by Deputy Prime Minister Lawrence Wong, has rolled out various support programs aimed at helping young families like hers. Ning is set to benefit from the Assurance Package, which includes a $400 boost to her child’s Child Development Account (CDA) and additional support measures announced recently.
Her family will also receive more Community Development Council (CDC) vouchers and U-Save rebates, providing much-needed relief. “I will survive,” Ning confidently states, echoing the resilience of many Singaporean families.
Looking Ahead: More Support on the Horizon
In more encouraging news, Wong announced that the GST voucher will increase from $500 to $700 for households valued at $13,000 or less in 2023, with a further increase to $850 in 2024. Additionally, the cash portion of the Assurance Package will rise by $300 to $650 for eligible Singaporeans. Over five years, this could mean an extra $1,550 for each Singaporean.
For families with multiple children, the benefits are even greater. If Ning and her husband decide to have another child, they will receive additional support. The Baby Bonus Cash Gift has also been enhanced, offering $3,000 for any child born after February 14, with first and second-born children receiving $11,000 each, and the third child’s bonus increasing from $10,000 to $13,000. These funds will be distributed over a longer period, extending up to six and a half years.
Additional Measures for Families
The Working Mother’s Child Relief has also been revamped. Instead of a percentage of the mother’s income, it will now provide dollar-based relief for adopted children.
These initiatives are a breath of fresh air for families with young children, helping them navigate the rising cost of living. The government’s commitment to supporting families is evident, and it’s clear that they are taking steps to ensure that parents can focus on what truly matters: raising their children.
For more information on government support for families, visit MSF.
How do you think these measures will impact families in Singapore?