Highlights of Budget 2020

Supporting workers

More support for Singaporeans to acquire new skills in the midst of major structural change in the global economy.

Three key thrusts of the Next Bound of SkillsFuture:
1. Enabling the individual
2. Enhancing the role of enterprises in developing their staff; and
3. Focusing specially on mid-career workers.

The new *SkillsFuture Mid-Career Support Package* will assist local workers in their 40s and 50s by:
• Increasing the capacity of reskilling programmes
• Providing a hiring incentive for employers that hire and reskill jobseekers over 40 who have gone through a reskilling programme
• Providing a special SkillsFuture Credit top-up of $500 for every Singaporean aged 40 to 60 in 2020
• Giving peer-level support and career guidance through a group of volunteer Career Advisors

Supporting Households

For Singaporeans ready to start a family and own a home, we will make sure that there is good access to quality and affordable housing.

To help all Singaporeans with their household expenses during this period of uncertainty, we will provide a Care and Support Package for households, amounting to about $1.6 billion.

i. All Singaporeans aged 21 and above in 2020 will receive a one off cash payout of $300, $200 or $100, depending on their income.

ii. We will double the amount of U-Save rebates through a one-off GST Voucher – U-Save Special Payment to all eligible HDB households. This will help to free up cash for other household expenses.

iii. In addition, we will extend the Service and Conservancy Charges Rebate by another year. Eligible HDB households will receive rebates of between 1.5 to 3.5 months.


One-off cash payout of S$100 to S$300 for all Singaporeans aged 21 and above as part of a S$1.6 billion Care and Support Package.

What Housing Loan Tenure Should You Choose When Buying Your First Home?

What Housing Loan Tenure Should You Choose When Buying Your First Home? https://omh.sg/blog/post/what-housing-loan-tenure-should-you-choose-when-buying-your-first-home

What is Term Life Insurance and How Does it Affect Me? 💃🏼
https://www.plannerbee.co/learn-personal-finance/what-is-term-life-insurance-and-how-does-it-affect-me

SINGAPORE
The MAS: Measures to help individuals include allowing them to defer either principal payment or both principal and interest payments on their residential property loans until Dec 31. Interest will accrue only on the deferred principal amount, and no interest will be charged on the deferred interest payments.

Banks around the world are suspending loan repayments as coronavirus hits borrowers
https://www.straitstimes.com/asia/se-asia/banks-around-the-world-are-suspending-loan-repayments-as-coronavirus-hits-borrowers

SINGAPORE: Updates on insurance premium deferment

AVIVA

Who’s eligible?
Policyholders of any Aviva Life and/or Health policy(ies), whose premium due date is between 1 April 2020 and 30 September 2020, and during this period:

· Have lost their job due to COVID-19;

· Experience a sustained income drop due to COVID-19 (such as for small business owners, private hire drivers, etc);

· Are put on indefinite/extended no-pay leave due to COVID-19 (such as for airline staff, entertainment venue staff, etc); and/or

· Are hospitalised due to COVID-19 and/or are paying for COVID-19 related hospitalisation bills for immediate family members. This is provided the hospitalised patient has not travelled out of Singapore since 27 March 2020.


How does the deferment work?

Premiums will be deferred for 6 months from the date the deferment is approved. Payment only needs to be made at the end of the deferment period. There will be no interest charged for the deferment.


Example 1: A policyholder with a monthly premium payment of S$100 has a premium payment due on 30 April. He applies for and is approved for premium deferment on 15 April 2020. In September 2020, he’ll receive a notification for the premium for the past 6 months (April - September). There will be no interest charged. Upon collection of full premium payments in arrears, his monthly premium cycle will resume from 30 October.

Example 2: A policyholder has an annual premium due on 1 May 2020. He applies for and is approved for premium deferment on 20 April. His premium due date will now be shifted to 1 November 2020. There will be no interest charged. The following year, his premium cycle will revert to 1 May.

To apply: complete the “Aviva COVID-19 Premium Deferment Form”. You can then email the form to cs_life@aviva-asia.com via the registered email address you have with or mail in a hardcopy.

Note: If the premiums remain unpaid at the end of the deferment period, policy terms will be applied. That is, the policy(ies) will lapse, be converted to paid-up, or an automatic premium loan will be applied.

GREAT EASTERN

Who’s eligible?

a. Policyholder’s monthly income has been reduced or loss of job due to COVID-19.
b. Individual policy with premium due date or policy renewal date falls on any date between 1 April and 30 September 2020 inclusive. 
c. Policyholder has a history of good payment, that is policy premiums have been paid up-to-date and there is no outstanding premium as of application date.

How does the deferment work?

• What happens at the end of the deferment period?
The outstanding premiums(s) due during the deferment period are to be paid within 30 days from the expiry of the DPP Programme. 

• If I have more than 1 policy with Great Eastern, do I have to submit multiple applications?
That is not necessary. Policyholder can list the policy numbers in a single application form.

To apply: to apply, Policyholder may email DPP-sg@greateasternlife.com

Tokio Marine

Who is eligible?

a. Policyholders undergoing financial hardship 
b. Policies must be in-force as at 31 March 2020

How does the deferment work?

Assistance provided through a 6 months extension of grace period for premiums due between 1 April 2020 to 30 September 2020. No further details mentioned.

To apply:
Email customercare@tokiomarine-life.sg

What You Need To Know About MAS’ Newly-Announced Bank Loan And Insurance Premium Payment Deferments
Loan payment deferments are not without costs, so consider carefully if you really need them – and for how long

https://dollarsandsense.sg/need-know-mas-newly-announced-bank-loan-insurance-premium-payment-deferments/

Updated with Manulife and Prudential’s announcements

https://www.plannerbee.co/learn-personal-finance/Covid-defer-insurance-premiums

Updated with AXA’s announcements

https://www.plannerbee.co/learn-personal-finance/Covid-defer-insurance-premiums