CDA Singapore: how the Child Development Account works
In Singapore, CDA means the Child Development Account, a bank account for your child that the Government tops up. You get a First Step Grant of $5,000 for a first or second child, or $10,000 for a third or later child born from 18 February 2025, without depositing anything. The Government then matches every dollar you save, up to a cap of $4,000 for a first child, $7,000 for a second, $9,000 for a third or fourth and $15,000 from the fifth. You can spend the money only on approved preschool, medical and early intervention bills, never as cash. From April 2027 the SG Child Support Package changes the grant and caps, so if your child's cap is above $5,000, save up to it by 30 September 2027.
What the CDA is
The CDA is part of the Baby Bonus scheme. It is a savings account in your child's name, run through DBS/POSB, OCBC or UOB, with two Government top-ups: the First Step Grant, which arrives on its own, and co-matching on whatever you deposit, up to a cap. LifeSG describes it as money for your child's education and healthcare that can only be used at Approved Institutions.
How much you get, by birth order
Here is what LifeSG lists for children enrolled in the Baby Bonus Scheme today, and what the SG Child Support Package gives babies born from 1 April 2027.
| Child | First Step Grant | Co-matching cap until 30 Sep 2027 | Most the Government can put in |
|---|---|---|---|
| First child | $5,000 | $4,000 | $9,000 |
| Second child | $5,000 | $7,000 | $12,000 |
| Third and fourth child | $10,000 if born from 18 Feb 2025 ($5,000 if born earlier) | $9,000 | $19,000 |
| Fifth and later child | $10,000 if born from 18 Feb 2025 ($5,000 if born earlier) | $15,000 | $25,000 |
| Any child born from 1 Apr 2027 | $5,000 | $5,000 from the start | $10,000 |
The co-match is dollar for dollar. Put in $10 and the Government adds $10, usually within 2 weeks. A first child whose parents save the full $4,000 ends up with $13,000 in the account: the $5,000 grant, your $4,000 and the Government's $4,000. From 1 October 2027 every child's cap becomes $5,000, so a family with a higher cap should save up to it before then. Our free CDA calculator works out how much to put in each month to get there.
What you can pay with the CDA
CDA money can only be spent at Baby Bonus Approved Institutions, and it cannot be withdrawn as cash. LifeSG lists five kinds:
- Childcare centres and kindergartens: registration fees, programme fees, deposits and the approved incidental charges. Since 1 May 2025 that includes enrichment run by the preschool, such as speech and drama.
- Childminding operators: childminding fees, though not diapers, deposits or meals.
- Medical institutions: treatment and prescribed medicine from a doctor working at an approved hospital, polyclinic or GP clinic.
- Special education schools and early intervention centres: the approved fees.
- Assistive technology providers: buying, renting or repairing devices a health or social care professional has recommended.
You can also use it for your child's siblings. Optical shops and retail pharmacies, such as those in malls, stopped taking CDA on 1 January 2026, after audits found money being spent on adults; pharmacies inside hospitals and polyclinics are not affected. MSF says preschools and healthcare made up 97.1% of CDA spending in 2024, so for most families the account pays preschool fees and clinic bills. Our CDA spending tracker shows what is allowed and how long your child's account has left.
When the account closes
Under the Baby Bonus rules, the CDA closed on 31 December of the year a child turned 12, and LifeSG's CDA page still shows that. The SG Child Support Package extends it: for Singapore citizen children born from 1 January 2015, the CDA stays open until the end of the year they turn 16. That gives you four more years to collect co-matching and pay bills from it.
When it closes, unused money moves to your child's Post-Secondary Education Account (PSEA) with MOE, up to the PSEA cap. Anything above the cap is refunded to your child's own bank account through PayNow, so set that up early. The Package also adds a one-off $10,000 PSEA top-up in the year your child turns 17.
How to open and use it
- Enrol your child in the Baby Bonus Scheme, usually while registering the birth on LifeSG.
- Wait for the email and LifeSG notification, then open the CDA and the Child Savings Account together in your bank's app or website. DBS/POSB, OCBC and UOB all do this online, though foreigners and some parents without a local address have to go to a branch.
- The First Step Grant lands within 2 weeks of the account opening.
- Deposit by bank transfer whenever you like; each deposit is matched within 2 weeks until you reach the cap.
- Pay bills at Approved Institutions from the CDA, and check the balance and the cap you have left in Family View on the Parent Portal, with Singpass.
The parent who registers the birth or applies for Baby Bonus becomes the CDA trustee. Check any figure on the official LifeSG CDA page and the SG Child Support Package page before you plan around it.
For the cash side of the scheme, see your payouts with the Baby Bonus calculator, put real numbers to the first years with the baby cost & Baby Bonus estimator, and read the full picture in our Baby Bonus & government support guide. For preschool fees after subsidies, try the childcare subsidy calculator.
Sources
- LifeSG - Baby Bonus Child Development Account (CDA): grants, caps, approved uses, opening and closure, read 11 October 2026
- LifeSG - SG Child Support Package: 2027 grant and caps, CDA extension to 16, PSEA top-up, read 11 October 2026
- Made for Families - National Day Rally 2026 support for families: CDA extended to the end of the year a child turns 16, read 11 October 2026
- MSF - CDA use discontinued at optical shops and retail pharmacies from January 2026: published 30 September 2025, read 11 October 2026
- MSF - Baby Bonus Approved Institutions: read 11 October 2026
Frequently asked questions
How much is the CDA First Step Grant?
It is $5,000 for a first or second child, paid into the CDA within 2 weeks of the account opening, with no deposit needed. A third or later child born from 18 February 2025 gets $10,000 under the Large Families Scheme. Every Singapore citizen baby born from 1 April 2027 gets $5,000, whatever their birth order.
How does CDA co-matching work?
The Government adds a dollar for every dollar you deposit, up to your child's cap, within 2 weeks of each deposit. Until 30 September 2027 the cap is $4,000 for a first child, $7,000 for a second, $9,000 for a third or fourth and $15,000 from the fifth. From 1 October 2027 every cap is $5,000. You only get the match on money you actually put in.
What can I spend CDA money on?
Only approved expenses at Baby Bonus Approved Institutions: preschool and kindergarten fees, registration fees and deposits, approved incidental charges such as enrichment run by the preschool, childminding fees, medical bills and prescribed medicine at approved hospitals, polyclinics and GP clinics, early intervention and special education fees, and assistive devices. It can pay for a sibling too. Optical shops and retail pharmacies stopped taking CDA on 1 January 2026, and you can never withdraw it as cash.
When does the CDA close?
For children born from 1 January 2015, the CDA stays open until 31 December of the year your child turns 16, under the SG Child Support Package. The old rule closed it at the end of the year a child turned 12. Unused money moves to your child's Post-Secondary Education Account, up to its cap.
Is the CDA changing in 2027?
Yes. The SG Child Support Package replaces the Baby Bonus Scheme from April 2027. Babies born from 1 April 2027 get a $5,000 First Step Grant and a $5,000 co-matching cap. For children born earlier, the current caps hold until 30 September 2027 and every cap becomes $5,000 from 1 October 2027.
How do I open a CDA?
Enrol your child in the Baby Bonus Scheme, usually as part of registering the birth on LifeSG. You then get an email and a LifeSG notification telling you to open the CDA and the Child Savings Account together at DBS/POSB, OCBC or UOB. The parent who registers the birth or applies for Baby Bonus becomes the CDA trustee.
