Here are 8 possible measures Singaporeans can expect this year

Aside from 1-2ppt tax rates.

According to DBS, with the focus on fostering inclusive and sustainable growth, there will be continued support to the low and middle income Singaporeans to help them cope with the rising cost of living and improve their employability. 

A certain degree of wealth redistribution is expected but an outright cash handout or a generous special transfer package will be visibly lacking in this budget.

Those have been introduced in previous budgets. The focus this time will be on preparing the baby boomers for retirement, catering to an aging population, as well as skills upgrading to mitigate against the side effects of the restructuring.

Here's more from DBS:

Furthermore, the massive public infrastructure expansion in the coming years and potential rise in social expenditure from an aging population are expected to take a toll on the fiscal position.

To finance the higher expenditure, apart from higher utilisation of the investment returns from the fiscal reserves, personal income tax rates are likely to be raised.

The current tax regime will be made more progressive, in line with the aim of fostering inclusive growth. Hikes in the personal income tax rates of about 1%-2%-pt for the top income brackets can be expected.

Measures that households can expect may include:

• Enhancement to the Workfare Income Supplement (WIS) scheme. The wage ceiling may be lifted to benefit more low waged Singaporeans and the amount of subsidies can also be increased to provide more support;

• Enhancement to the Workfare Training Scheme (WTS) to raise skills of the low-waged resident workers;

• A special cross industry/sector training scheme to mitigate against structural unemployment associated with the relocation of SMEs and to facilitate workers’ migration to higher value-added industries;

• Hikes in personal income tax rates for the top income brackets;

• CPF medisave top-ups for aged Singaporeans;

• Top-ups to Eldercare Fund, MediFund, Comcare Fund and other public assistance schemes to help elderly Singaporeans and the needy;

• Incentives to encourage stay-home mothers and retired workers to re-enter the workforce;

• Top-up to the Lifelong Learning Endowment Fund to support the Continuing Education and Training (CET) scheme.