Update to CPF Basic Healthcare Sum (BHS) Projection for 2026

This Opinion post first appeared in my blog here: https://pwlcm.wordpress.com/2025/12/15/update-to-cpf-basic-healthcare-sum-bhs-projection-for-2026/

Refer to the list of acronyms on CPF in the following blog post:
https://pwlcm.wordpress.com/2022/01/06/acronym-cpf/

I am a CPF Volunteer. If you find this blog post providing useful information about CPF matters and it leads you to using CPF online services, you may fill in my full name “Tan Choong Hwee” in the “Referrer Name” field in some selected CPF online services.

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Today (15 December 2025) CPF Board announced that the Basic Healthcare Sum (BHS) for 2026 is $79,000:
https://www.cpf.gov.sg/member/infohub/news/news-releases/cpf-interest-rates-from-1-january-to-31-march-2026-and-basic-healthcare-sum-for-2026

The announced 2026 BHS amount is $1,500 less than what I had projected in my blog post:
https://pwlcm.wordpress.com/2024/12/11/update-to-cpf-basic-healthcare-sum-bhs-projection-for-2025/

When I made my projection last year, the % increase of BHS was rounded to 4%, 4.5% and 5.5%. I made the assumption that the rate of increase would continue its upwards trend and projected an increase of 6.5% in 2026 BHS. It turns out that the actual BHS inflation announced is set at 4.64%. CPFB not only didn't increase the BHS inflation rate, they dial it back to around 4.5% as in 2024.

I supposed the government recognized that a rapid increase in BHS could cause tremendous anxiety with the people, and this round they slow down the BHS inflation rate despite medical cost inflation projected to reach 16.9% in 2026 according to the 2026 Global Medical Trends Survey by WTW as reported by Singapore Business Review in November 2025:
Singapore medical inflation to hit 16.9% in 2026

With this change in tone, I am going to maintain subsequent BHS inflation rate at 4.5% till 2030. Below is the revised BHS projection table:

I won't be surprised to be proven wrong again on the BHS projection from 2027 onward. There are way too many factors that the government would be considering in determining the next BHS amount.