T-bills and SSBs are both government-issued, fully backed by the Singapore Government and effectively credit-risk-free. They became household names when yields spiked above 4% in 2022 – 2023, but rates have since fallen sharply: as of June 2026 the 6-month T-bill cut-off yield was about 1.47% and the latest SSB carried a 10-year average return of roughly 2.11% with a first-year coupon near 1.46%. They cover different needs: a T-bill locks in a single short-term yield, while an SSB offers month-by-month liquidity and a step-up coupon schedule that rewards holding longer.
| T-Bill | SSB | |
|---|---|---|
| Tenure | 6 months or 1 year | 10 years (redeemable any month) |
| Yield type | Single fixed cut-off rate | Step-up — increases each year |
| Liquidity before maturity | Sell on secondary market (price varies) | Redeem any month, no penalty |
| Minimum investment | S$1,000 | S$500 |
| Per-investor cap | None (per auction) | S$200,000 total outstanding |
| Issuance frequency | 6M every fortnight, 1Y quarterly | Monthly |
| CPF OA usage | Yes (with 1-month interest gap each side) | No |
| SRS usage | Yes | Yes |
| Recent yield (Jun 2026) | ~1.47% (6-month cut-off) | ~2.11% 10-yr avg, ~1.46% year 1 |
| Bidding mechanism | Auction (competitive / non-competitive) | Quota allocation — no bidding |
| Capital protection | At maturity; price varies if sold early | Always full principal, any month |
| Tax | Tax-exempt for Singapore residents | Tax-exempt for Singapore residents |
Use both, but let the rate environment guide the split. Park 3 – 6 months of essential expenses in SSBs as a redeemable safety net. For cash you won't need short-term, compare the live T-bill cut-off yield against the SSB 10-year average before committing — in the high-rate years of 2022 – 2023 short T-bills paid more, but by mid-2026 the SSB 10-year average (~2.11%) had overtaken the 6-month T-bill (~1.47%), so locking in the longer SSB schedule made more sense for money you can leave alone. Crucially, only use CPF OA for T-bills when the cut-off yield clears the 2.5% OA floor after the two-month interest gap; below that, your CPF OA is better left untouched.
No. CPF OA can be used for T-bills (subject to the 1-month interest gap on each side of the holding period) but not for SSBs. CPF SA cannot be used for either.
Each SSB issue has 10 different coupon rates — one for each year. The rates step up over time so that holding for the full 10 years gives an average yield matching the 10-year Singapore Government Bond yield at issue. Redeeming early gives you the average of the years you held.
Yes — T-bills trade on the SGX secondary market. But liquidity is limited and the price moves with prevailing rates. If rates rise after you buy, your T-bill will sell below par; if rates fall, you can sell above par. Most retail investors hold to maturity.
No. Yields have fallen substantially as the global rate cycle turned. The 6-month T-bill cut-off was around 1.47% in June 2026, down from peaks above 4% in late 2022. The latest SSB carried a 10-year average return of roughly 2.11% with a first-year coupon near 1.46%. Always check the live cut-off (auctioned fortnightly for the 6-month) before assuming the older 3% – 4% figures still apply.
Yes — two caps. There is an individual allotment limit on each monthly issue (it varies per issue and is announced with the offer), and a hard ceiling of S$200,000 in total SSB holdings across all issues at any time. T-bills have no per-investor cap.
A non-competitive bid means you accept whatever the auction cut-off yield turns out to be, and these bids get priority — up to 40% of each issue is set aside for them, so you are far less likely to be scaled down. A competitive bid lets you specify the minimum yield you'll accept, but if you bid too aggressively above the cut-off you get nothing. Most retail investors use non-competitive bids.
T-bills are bought at auction through your bank's ATM or internet banking (cash or SRS) or through your CPF agent bank (CPF OA), submitting a bid before the auction closes. SSBs are applied for through the same channels during the month-long subscription window, in S$500 multiples, with allotment confirmed near month-end. There is no fee to redeem an SSB early; you simply submit a redemption request and receive your principal plus accrued interest the following month.