Assessment of Household Income
Overview
Your household income is determined based on either:
- Gross monthly household income (HHI), which is the default computation method, or
- Per Capita Income (PCI)
HHI | Combined average gross monthly income of both parents (or the applicant only, for single-parent household) |
PCI | Total average gross monthly household income of all family members in the household Number of family members in the household |
Note: For married couples, the parents and child are considered as a family nucleus by default. Both parents’ income will be considered in the total income computation, even if the parents’ registered residential addresses differ.
HOusehold Means Eligibility System (HOMES)
All preschool subsidy applications are means-tested through HOMES. HOMES will verify your household composition and determine your HHI and PCI (if applicable).
About PCI computation
PCI computation is applicable for households with at least 5 family members who are related by blood, marriage, and/or legal adoption, and who share the same registered residential address.
All family members (including dependants and non-dependants) residing at the same NRIC address as the main applicant must be included in the PCI computation. This includes, but is not limited to, grandparents, and other family members sharing the same registered residential address as the main applicant.
How gross monthly income is determined
Your gross monthly income will be determined via HOMES as part of the means-test.
Please note that household or personal expenses are not considered in the assessment of subsidy eligibility.
For salaried employees, gross monthly income refers to the average income over a 12-month period, as derived by the Central Provident Fund (CPF) Board or based on the latest available assessment by the Inland Revenue Authority of Singapore (IRAS) within the last 2 calendar years. It includes bonuses, commissions, overtime pay, allowances, cash rewards and employee CPF contributions.
Where such data is unavailable, you may be required to provide relevant supporting documents to the HOMES Ops' team or ECDA for our assessment.
Example
I am a salaried employee with a fixed monthly gross income of $5,000 and received a bonus of $8,000 in the last 12 months. What will be considered as my average gross monthly income?
Answer:
|
$5,000 x 12 + $8,000 12 |
= | $5,666.67 |
For self-employed persons, gross monthly income refers to the average trade income over a 12-month period based on the latest available assessment by IRAS within the last 2 calendar years, or the income declared to the CPF Board or assumed under the CPF legislation.
Where such data is unavailable, you may be required to provide relevant supporting documents to the HOMES Ops' team or ECDA for our assessment.
Example
I am a financial advisor and received a trade income of $100,000 over the last 12 months. What will be considered as my average monthly income?
Answer:
$100,000 12 | = | $8,333.33 |
Calculate your child's preschool subsidy
You may use the preschool subsidy calculator or refer to the subsidy tables available to find out the amount of preschool subsidy your child may be eligible for based on your HHI or PCI.
The amount of subsidies reflected is an estimate. The actual subsidy amount will be determined based on verified details, such as screened income.
Note:
- The approved preschool subsidies are valid until the next fixed point of subsidy assessment or until your child withdraws from the preschool, whichever comes first. Learn more about the fixed points of subsidy assessment.
- Your child must attend preschool for at least one day in the month to be eligible for the subsidies in that month.
- The subsidies will be paid directly to the preschool, and you are only required to pay the infant or childcare fees nett of subsidies.