SINGAPORE - Voluntary top-ups to Central Provident Fund (CPF) accounts may hit a record this year, with Singaporeans setting aside more for their retirement.

More than 200,000 CPF members made voluntary top-ups amounting to a record high of more than $3.5 billion to their own or their loved ones' retirement savings in the first three quarters of the year, said the CPF Board in a statement on Wednesday.

That is $84 million higher than the amount received for the same period in 2021, it said. Last year, such top-ups reached a record total of $4.76 billion, CPF data showed.

Cash top-ups and CPF transfers to the Special Account or Retirement Account were the most popular among Singaporeans who wished to enjoy higher annual returns of up to 6 per cent with zero risk, the Board said.

The higher balances in the account ensure higher CPF Lifelong Income For the Elderly (CPF Life) monthly retirement payouts.

CPF Life is a national longevity insurance annuity scheme that provides those who qualify with monthly payouts no matter how long they live.

One in four who made top-ups for themselves or their loved ones this year has been doing so for at least three consecutive years, according to the statement.

More members are using the general interbank recurring order (Giro) to make top-ups. The top-up amount received via Giro increased by almost 50 per cent in the first three quarters of this year compared with the same period in 2021.

CPF members also have the option to make cash top-ups electronically using PayNow QR and have the top-ups credited immediately. All cash top-ups and CPF transfers can also be made via the CPF website or CPF Mobile app.

The Board said members who made cash top-ups to themselves can benefit from tax reliefs of up to $8,000. They would earn another $8,000 in such reliefs if they made top-ups to their loved ones.

To benefit from tax relief, these top-ups have to be made by Dec 31, 2022.

Ms Ong Woei Jiin, CPF's director of retirement savings department, said: "With CPF as their foundation for retirement, members can pursue their life purpose and retire with greater peace of mind."

The higher interest in retirement savings among Singaporeans comes at a time when interest rates are on the rise globally. This has led to higher borrowing costs, making it harder for locals to service their home and car loans, at a time when inflation is on the rise.