What is Earned Income Relief?

Published 1 min read INCOME TAX
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Earned Income Relief is a personal income tax relief for individuals who earn income from work, a trade or a profession, with the amount rising with age.

Key takeaways

  • Earned Income Relief is SGD 1,000 for those below 55, SGD 6,000 for ages 55 to 59, and SGD 8,000 for those 60 and above.
  • The relief is available to tax residents with earned income from employment, trade, business or a profession.
  • If earned income is lower than the relief amount, the relief is capped at the earned income.
  • Higher relief amounts apply for individuals with disabilities.
  • Earned Income Relief counts towards the SGD 80,000 personal income tax relief cap.
In this article How it works Key figures Related terms

How Earned Income Relief works

Tax residents who earn income from employment, a trade, business, profession or vocation qualify for Earned Income Relief. The amount depends on age at the end of the preceding year: SGD 1,000 below 55, SGD 6,000 for ages 55 to 59, and SGD 8,000 for 60 and above. If earned income is lower than the amount, the relief equals the earned income.

Higher relief for disabilities

Individuals with disabilities qualify for higher Earned Income Relief amounts, subject to IRAS conditions.

Earned Income Relief amounts (YA 2026)

ItemFigure
Below age 55SGD 1,000
Age 55 to 59SGD 6,000
Age 60 and aboveSGD 8,000

Figures as at YA 2026. Source: IRAS.

Worked example

A working individual aged 58 qualifies for Earned Income Relief of SGD 6,000, which is deducted from assessable income before tax is calculated, within the SGD 80,000 relief cap.

Personal income tax reliefThe wider set of reliefs, capped at SGD 80,000, that this counts towards. Chargeable incomeThe income reduced by Earned Income Relief. Income taxThe tax that Earned Income Relief reduces. CPF Retirement Sum Topping-Up (RSTU)Another route to tax relief, via CPF cash top-ups.
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Related calculator

Estimate income tax after Earned Income Relief and other reliefs at YA 2026 rates.

Singapore Income Tax Calculator →
Sources: IRAS

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 IRAS and seek independent professional advice before making any financial decisions.