Higher income ceiling for pre-school and childcare subsidies to benefit more than 60,000 families

Singapore will raise income ceilings for pre-school and childcare subsidies, benefiting more than 60,000 families, and is investing in its early childhood education workforce. The changes to the Kindergarten Fee Assistance Scheme (KiFAS) and the Infant and Childcare Additional Subsidy will take effect in January 2027.

Increased Subsidies for Lower- and Middle-Income Families

To ensure affordability, the gross monthly household income ceiling for KiFAS and the Infant and Childcare Additional Subsidy will be raised from $12,000 to $15,000. This adjustment is expected to benefit over 60,000 families with children enrolled in pre-schools.

For example, a household earning a median income of $12,500 with two children in anchor-operator childcare will see their total out-of-pocket fees reduced by 35 percent, from $730 in 2026 to $470 in 2027.

Updates to Student Care Fee Assistance Scheme

The Student Care Fee Assistance (SCFA) scheme will also be updated from January 2027, to ensure continued support for lower and lower-middle income families. The monthly income threshold to qualify for these subsidies will increase from $4,500 to $6,500, with higher caps across all subsidy tiers. This is expected to benefit around 13,000 students and their families.

The maximum SCFA period will also be extended from 24 months to 36 months.

Current Subsidy Usage and Pre-School Access

In 2025, approximately 80,000 children received additional subsidies for infant care and childcare, and 8,900 children were under KiFAS. Around 7,500 children received SCFA in 2025.

Singapore has achieved its goal of ensuring that 80 percent of pre-schoolers have a place in a Government-supported pre-school. The country is also on track to add more than 40,000 full-day pre-school places in anchor operator pre-schools (AOPs) by 2029.

Childcare Fees and Workforce Development

Since January 1, full-day childcare fees at AOPs and partner operator pre-schools have been reduced to $610 and $650 respectively. The early education workforce is expected to grow by another 3,500 educators by 2030.

Minister of State for Social and Family Development Goh Pei Ming acknowledged the challenges faced by educators, including limited time for lesson planning and upskilling. The Ministry of Social and Family Development (MSF) is reviewing educators’ working conditions and workload, and will embark on a sector-wide job redesign project.

Addressing Educator Workload and Digital Transformation

The Government is working to formalize measures to protect educators’ time outside of work hours, starting with the co-creation of a parent-pre-school charter. More details will be provided at a later date.

The Early Childhood Industry Digital Plan (IDP) will be refreshed in 2021 to encourage digital transformation and raise productivity. IDP 2.0 will be rolled out in the second half of 2026, requiring operators to meet baseline technology requirements, starting with larger operators in June 2027.

A new innovation seed funding initiative will support pilot projects and the testing of new digital solutions. The Early Childhood Development Agency (ECDA) will also collaborate with academic and industry partners to accelerate the adoption of technology, including AI-enabled tools for tasks like curriculum planning and CCTV footage review.