Discussn CPF : Anyone alredy reached ERS ($450k) or topping up FRS to ERS ?

[inmyopinion]

Knn liao...moi need to hv $600K for ERS !

And do you know why i will only top up to FRS from 55 yo onwards instead of ERS?

Eg. In 2026, FRS is $220,400 and ERS is $440,800

You can top $7,400 (cash) into RA
You can tax relief of $7,400

You do this every year... you get tax relief.

But once you top up ERS in 2025, it exceeds the FRS max limit for 2026. You cannot top up and no tax relief,

If you dont need tax relief, you can dont care.

 

[KnyghtRyder]

I have reached FRS liao, after 55 the CPF contribution will go into OA and RA? If into RA, how will it affect my cpf life payout at 65 since its increasing?

If you have already set aside FRS then CPF contribution does not go to RA. Only OA and MA.

 

[jeffong]

I might be wrong but according to my understanding. FRS or BRS interests from 55-65 will credited to your RA. That means it's your money. Only from 65 onwards interests from your RA will only going into the CPFLife pool. Correct me if I'm wrong. Thanks!

That's only if you choose to start CPF Life payout at 65 and selected the Standard Plan. You have the option to delay the start of CPF Life payout up till 70. If you selected Basic Plan, then only 10% to 20% of your RA will be used as the premium to join CPF Life. Interests earned on the balance of your RA will continue to remain in your RA.

https://www.cpf.gov.sg/service/article/how-does-the-cpf-life-basic-plan-work

 

[fandango]

Yes. Compounding interest is shiok.

But, we try to provide info for forumers to decide what is good for themselves.

For me, it's FRS and Basic plan as of today. I may change my mind.

I encourage everyone to hit FRS as soon as possible. Best is before 40 years old.

 

[semiret]

That's only if you choose to start CPF Life payout at 65 and selected the Standard Plan. You have the option to delay the start of CPF Life payout up till 70. If you selected Basic Plan, then only 10% to 20% of your RA will be used as the premium to join CPF Life.

My bad. I always assume most of us here are BBFA. As such most of them should choose payout at 65 and standard plan. Haha

 

[Oldnerd79]

My OA+SA more than ERS when I was 45, but most likely I will choose FRS only.

 

[inmyopinion]

I encourage everyone to hit FRS as soon as possible. Best is before 40 years old.

Yes. I did not top up my SA when i was younger.

Only when i understand more about topping up SA, my SA has already hit FRS.

 

[fandango]

Yes. I did not top up my SA when i was younger.

Only when i understand more about topping up SA, my SA has already hit FRS.

Alot of young people lazy to ready about cpf until it's too late. My awakening was when I bought my hdb flat and read up on payments from cpf and the consequences.

 

[Guojing88]

Nice, did you get this from a website, or your own creation?

 

[moonlighter_sg]

The genes plays an important factor. Note down the ages of your ancestors passed away. From there can do a calculation to see if ERS worth it or not.

 

[inmyopinion]

Nice, did you get this from a website, or your own creation?

The yellow highlighted - published by CPF Board. (2025-2027)

The rest is just based on 3.5% increase (estimation)

 

[socratesg]

And do you know why i will only top up to FRS from 55 yo onwards instead of ERS?

Eg. In 2026, FRS is $220,400 and ERS is $440,800

You can top $7,400 (cash) into RA
You can tax relief of $7,400

You do this every year... you get tax relief.

But once you top up ERS in 2025, it exceeds the FRS max limit for 2026. You cannot top up and no tax relief,

If you dont need tax relief, you can dont care.

Thanks, that's really useful info to know.

 

[carey]

4% is the floor rate. They can't go lower without getting permission from Parliament

You do know that the incumbent got super majority in Parliament right now hor

 

[qhong61]

Yes. I did not top up my SA when i was younger.

Only when i understand more about topping up SA, my SA has already hit FRS.

Cos u plan to upgrade to condo

 

[carey]

If you have hit FRS and reached 55, CPF contribution will only go to your OA or MA. It will not be contributed to your RA unless you manually trf from OA to RA.

Correct - I already passed 55 and my monthly contributions only go to OA as my MA is maxed out (unless I have to pay premium for Medishield)

 

[fandango]

The genes plays an important factor. Note down the ages of your ancestors passed away. From there can do a calculation to see if ERS worth it or not.

No such thing lar.

 

[KnyghtRyder]

You do know that the incumbent got super majority in Parliament right now hor

Regardless, to me the 'threat' of CPF SA interest rates dropping below 4% is a paper tiger

 

[HushiePuppies]

Just crossed 40 milestone.

Though I have reached CPF FRS and a biz owner, I am wondering if I shd continue to contribute or top up my FRS to ERS of $450K. The interest for ERS is not bad, I think annual 4% rite ? Also completely risk free. So after 65yo, it will becum CPF Life and I can get min $3K/mth payout for life.

Anyone alredy reached ERS ?

wait how you know your ERS how much? thought they only announce year by year, for the particular age?

 

[KnyghtRyder]

wait how you know your ERS how much? thought they only announce year by year, for the particular age?

FRS (and by extension BRS and ERS) are easy to project

 

[socratesg]

wait how you know your ERS how much? thought they only announce year by year, for the particular age?

I googled for ERS and out came $450K. I didn't realize that was for 2025 and is a moving target which increases by the year. How to keep up with the ERS ??