Retirement

Savings

Asked by Anonymous

Updated on 18 Apr 2019

What is the best way to use SRS to reduce tax in Singapore?

SRS is a well known way to relief taxes - how to best leverage this?

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The only way to use SRS for tax relief is to deposit cash into your SRS account.

If you have maxed out all other avenues of efficient tax relief, then SRS can be an alternative.

There is still a limit to SRS contribution.

When you decide to start withdrawing from SRS, you get subjected to enjoy 50% discount on income tax applied to the withdrawn amount.

https://www.iras.gov.sg/irashome/Individuals/Locals/Working-Out-Your-Taxes/Special-tax-schemes/Supplementary-Retirement-Scheme--SRS-/Tax-on-SRS-withdrawal/

Withdraw 20k a year, you will be in the lowest income tax bracket

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