The CPF Ordinary Account (OA) receives the largest share of a younger member’s contributions and is the account that can be spent: on a home, approved investments, insurance and education. It earns 2.5% a year, with 1% extra interest on the first SGD 20,000.
Key takeaways
- OA savings earn 2.5% a year, the legislated floor, plus 1% extra interest on the first SGD 60,000 of combined balances — of which at most SGD 20,000 can come from the OA.
- At 35 and below, 62.2% of each contribution goes to the OA; the share falls to 40.6% from above 50 to 55 as more is steered to the Special Account.
- OA savings can pay for an HDB flat or private home, the HDB loan (whose rate is pegged at 2.6%, 0.1% above the OA rate), approved insurance, education and CPFIS investments above a SGD 20,000 set-aside.
- OA money used for housing accrues interest at the OA rate that must be refunded on sale — SGD 100,000 used today becomes about SGD 128,008 to refund after 10 years.
- At 55 OA savings are transferred to the Retirement Account after the Special Account, up to the FRS; the rest stays in the OA and is withdrawable.
What the Ordinary Account is for
The OA is the flexible account. Its rate is the lowest of the four because its money can leave for a home or an investment; the Special and MediSave Accounts earn more precisely because they cannot. The OA rate is pegged to the 3-month average of major local banks’ interest rates with a 2.5% floor, and has sat on that floor since 1999.
Because extra interest on OA money is credited to the SA or RA, the effective 3.5% on the first SGD 20,000 shows up in a different account. CPF Board publishes the current quarter’s rates about two weeks before each quarter starts.
How a SGD 5,000 salary is split, by age
On a SGD 5,000 monthly wage the combined contribution is SGD 1,850. The OA share is what is available for housing each month.
| Age band | OA share | To OA | To SA | To MediSave |
|---|---|---|---|---|
| 35 and below | 62.2% | SGD 1,150 | SGD 300 | SGD 400 |
| Above 35 to 45 | 56.8% | SGD 1,050 | SGD 350 | SGD 450 |
| Above 45 to 50 | 51.4% | SGD 950 | SGD 400 | SGD 500 |
| Above 50 to 55 | 40.6% | SGD 750 | SGD 575 | SGD 525 |
Accrued interest on SGD 100,000 of OA used for a home
The refund goes back into the OA (or the RA after 55) before any cash proceeds are paid out. The accrued interest calculator handles monthly instalments.
Where the OA is spent
Five things people get wrong
- CPF Board — CPF interest rates, Q4 2026 — quarterly OA and SMRA rates, floor extension, extra interest tiers
- CPF Board — How much CPF contributions to pay — contribution rates by age, wage ceilings, allocation
- HDB — HDB housing loan interest rate — concessionary rate pegged to the OA rate
Official statistics for general information only. Not financial advice.
This page is provided for educational and informational purposes only. It does not constitute financial advice. All figures and worked examples are estimates for illustrative purposes, are subject to change, and do not reflect any individual’s circumstances. Always refer to the CPF Board and HDB and seek independent professional advice before making any financial decisions.