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Old 11-04-2019, 04:18 PM   #1153
Junior Member
Join Date: Dec 2018
Posts: 40
Hi BBCW, really appreciated your detailed explanation, ive tried to study the CPF website but found the cpf rules to be very complicated.

May I summarize my understanding as this:

1. I can top up my mums RA up to the enhanced retirement sum at any time, although tax relief for me is capped at 7k contribution/year.

2. At any point before 79 years and 10 months old, she can choose to join CPF life (even with RA < BRS). But to do so, i assume she has to inform CPF specifically about it, otherwise she will not be automatically put to CPF life even her RA hits the BRS before 65?

2. At any time, on top of the RA top up, I am also allowed to make "all three" cpf top up to her OA/SA/MA at $37,740 per year, earning 2.5%/4%/4% interest (assuming I've placed more than FRS in her RA), although without any tax benefits.

3. At any time after her RA balance is more than FRS, she will be able to "withdraw" cash from her OA/SA freely, although any deposits will have to be made to "all three" accounts (up to $37,740/yr) and MA money can only be used for designated medical purposes. (Not sure when u said her OA/SA can be used like a bank account, does it mean that cash deposits can be made only to SA account, therefore earning 4% interest and nothing will flow into her MA?)

May I know if you think my understanding is correct?
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