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revhappy 21-12-2018 05:42 PM

Today I took my daughter to Jurong Point mall and there a Prudential insurance lady, gave a toy to my daughter. She loved it. Now it was my turn to pay for it by listening to the agent. The agent quickly understood I am on top of my finances when I mentioned I invest in ETFs and via IB. I also told him I am well covered by my company medical insurance. So nothing much left to sell, I asked him about annuity plans just to make a useful conversation. He showed me some plan that offers 3.5 to 4.5% returns. That's that. :)

SpeedingBullet 21-12-2018 05:58 PM

Quote:

Originally Posted by revhappy (Post 118221392)
Today I took my daughter to Jurong Point mall and there a Prudential insurance lady, gave a toy to my daughter. She loved it. Now it was my turn to pay for it by listening to the agent. The agent quickly understood I am on top of my finances when I mentioned I invest in ETFs and via IB. I also told him I am well covered by my company medical insurance. So nothing much left to sell, I asked him about annuity plans just to make a useful conversation. He showed me some plan that offers 3.5 to 4.5% returns. That's that. :)

You're a nice person. That agent also not pushy, not bad.

BBCWatcher 22-12-2018 09:09 AM

Important 2018 Deadlines
 
Just a friendly reminder that there are some looming 2018 deadlines. Don't wait until the last possible minute, though!

1. CPF: The absolute latest deadline to credit CPF contributions in 2018 (for tax relief in your 2019 IRAS Notice of Assessment) is 10:00 a.m. on Monday, December 31, 2018 -- and that's only if you visit a CPF office with a paper check and contribution form in hand. PayNow QR is the next fastest payment method, but you cannot make MediSave top-ups via PayNow QR. AXS, e-Cashier, and other channels take about 3 business days, typically. It's getting tight now, as I write this, so make your decisions quickly and get the top-ups done. And don't forget your spouse/partner!

Also, every month you have the opportunity to transfer some or all of your Ordinary Account dollars into your Special Account, as long as you are below age 55 and have not yet reached the Full Retirement Sum. You can do that online and instantly, so the practical deadline for OA to SA transfers for this month is December 31, 2018, at 11:00 p.m. If you meet the month end deadline your transferred dollars will earn the higher SA interest rate from the beginning of the month (from December 1 in this case).

Finally, when CPF's offices reopen on January 2, you can head down with a paper check (before 10:00 a.m.) to make another MediSave top-up if you wish, and if your MediSave Account is well stocked. Why rush? Because the Basic Healthcare Sum increases on January 1, and if you can beat your employer's payroll cycle, you can fill the MediSave gap before your paycheck does, for that much more tax relief and a higher SA balance. However, if you think you're going to hit the CPF Annual Limit in 2019, then hold off since any such top-up counts against the Annual Limit and would be refunded without interest if you blow past the limit.

2. Supplementary Retirement Scheme: Also a December 31st deadline, generally with a bank branch closing hour deadline. If you wish to use SRS funds to buy Singapore Savings Bonds (only worth doing if you're getting close to retirement, in my view) then you'll be able to do that starting February 1, 2019 (for the March, 2019, SSB issue). But you need to make your 2018 SRS deposit in 2018, then you can decide later how to invest those funds.

3. Singapore Savings Bond: Speaking of SSBs, the deadline is December 26 at 9:00 p.m. through online and ATM channels at the three major local banks (DBS/POSB, OCBC, and UOB). You need a CDP account to buy SSBs, and at this point it's too late to open a CDP account. But SSBs are sold every month. This month's SSB (the January, 2019, issue) is rather attractive.

4. Medical Insurance Claims: Many employers that offer medical insurance have a January 31, 2019, deadline for submitting claims for medical expenses incurred in 2018.

Also, if you're above your insurance deductible for 2018, have some pending medical care you need, and that medical care is claimable, see if you can pull any appointment forward into 2018. If there's somebody who cancelled an appointment due to the busy holiday season, you might swoop in and claim the appointment -- and pull your claimable medical expense forward into 2018.

Any other financial deadlines in 2018?

hanayorisg 22-12-2018 09:33 AM

If I top up self MA $7000, then top up self SA$7000 under RSTP, what will be the tax relief amount? $7000 or $14000?

BBCWatcher 22-12-2018 10:16 AM

Quote:

Originally Posted by hanayorisg (Post 118229548)
If I top up self MA $7000, then top up self SA$7000 under RSTP, what will be the tax relief amount? $7000 or $14000?

$14,000.

There's no $7,000 tax relief limit with MediSave top-ups, by the way. MediSave top-ups must fit within the CPF Annual Limit of $37,740, must fit within the Basic Healthcare Sum ($54,500 in 2018 and $57,200 in 2019), and are subject to the usual tax relief considerations (you cannot get any more tax relief if you've already dropped down into the 0% tax bracket, and there is a total aggregate tax relief limit of $80,000). Also, MediSave tax relief is for you to you only -- your contribution(*) into your own MA. But there's no $7,000 limit. The $7,000 tax relief limits only apply to SA/RA top-ups.

(*) Although somebody, such as a family member, can give you this money which you then deposit in your MA. There is no gift tax in Singapore.

hanayorisg 22-12-2018 10:33 AM

Quote:

Originally Posted by BBCWatcher (Post 118230112)
$14,000.

There's no $7,000 tax relief limit with MediSave top-ups, by the way. MediSave top-ups must fit within the CPF Annual Limit of $37,740, must fit within the Basic Healthcare Sum ($54,500 in 2018 and $57,200 in 2019), and are subject to the usual tax relief considerations (you cannot get any more tax relief if you've already dropped down into the 0% tax bracket, and there is a total aggregate tax relief limit of $80,000). Also, MediSave tax relief is for you to you only -- your contribution(*) into your own MA. But there's no $7,000 limit. The $7,000 tax relief limits only apply to SA/RA top-ups.

(*) Although somebody, such as a family member, can give you this money which you then deposit in your MA. There is no gift tax in Singapore.

Great answer. Appreciate it.

a4973 22-12-2018 12:27 PM

Is it too late to VC via CPF ecashier?

Sent from Nextbit ROBIN using GAGT

linusz 22-12-2018 02:34 PM

bookmarked

linusz 22-12-2018 02:35 PM

Quote:

Originally Posted by a4973 (Post 118231975)
Is it too late to VC via CPF ecashier?

Sent from Nextbit ROBIN using GAGT

nope - i tried last yr on last day for both cpf topup and srs; and the tax rebate was given.

iamveryguailan 22-12-2018 02:49 PM

Quote:

Originally Posted by BBCWatcher (Post 118229352)
Just a friendly reminder that there are some looming 2018 deadlines. Don't wait until the last possible minute, though!

1. CPF: The absolute latest deadline to credit CPF contributions in 2018 (for tax relief in your 2019 IRAS Notice of Assessment) is 10:00 a.m. on Monday, December 31, 2018 -- and that's only if you visit a CPF office with a paper check and contribution form in hand. PayNow QR is the next fastest payment method, but you cannot make MediSave top-ups via PayNow QR. AXS, e-Cashier, and other channels take about 3 business days, typically. It's getting tight now, as I write this, so make your decisions quickly and get the top-ups done. And don't forget your spouse/partner!

Also, every month you have the opportunity to transfer some or all of your Ordinary Account dollars into your Special Account, as long as you are below age 55 and have not yet reached the Full Retirement Sum. You can do that online and instantly, so the practical deadline for OA to SA transfers for this month is December 31, 2018, at 11:00 p.m. If you meet the month end deadline your transferred dollars will earn the higher SA interest rate from the beginning of the month (from December 1 in this case).

Finally, when CPF's offices reopen on January 2, you can head down with a paper check (before 10:00 a.m.) to make another MediSave top-up if you wish, and if your MediSave Account is well stocked. Why rush? Because the Basic Healthcare Sum increases on January 1, and if you can beat your employer's payroll cycle, you can fill the MediSave gap before your paycheck does, for that much more tax relief and a higher SA balance. However, if you think you're going to hit the CPF Annual Limit in 2019, then hold off since any such top-up counts against the Annual Limit and would be refunded without interest if you blow past the limit.

2. Supplementary Retirement Scheme: Also a December 31st deadline, generally with a bank branch closing hour deadline. If you wish to use SRS funds to buy Singapore Savings Bonds (only worth doing if you're getting close to retirement, in my view) then you'll be able to do that starting February 1, 2019 (for the March, 2019, SSB issue). But you need to make your 2018 SRS deposit in 2018, then you can decide later how to invest those funds.

3. Singapore Savings Bond: Speaking of SSBs, the deadline is December 26 at 9:00 p.m. through online and ATM channels at the three major local banks (DBS/POSB, OCBC, and UOB). You need a CDP account to buy SSBs, and at this point it's too late to open a CDP account. But SSBs are sold every month. This month's SSB (the January, 2019, issue) is rather attractive.

4. Medical Insurance Claims: Many employers that offer medical insurance have a January 31, 2019, deadline for submitting claims for medical expenses incurred in 2018.

Also, if you're above your insurance deductible for 2018, have some pending medical care you need, and that medical care is claimable, see if you can pull any appointment forward into 2018. If there's somebody who cancelled an appointment due to the busy holiday season, you might swoop in and claim the appointment -- and pull your claimable medical expense forward into 2018.

Any other financial deadlines in 2018?

Hi BBCW, can u explain more on the Medisave part in poin1?

Letís say now my MA has 30k, which is below the limit. Assume in 2019, Iím going to receive 25k in CPF contributions from work in total. If I want to max out to the limit of 37740, the difference is 12740. For this case, I should put in only at the end of Jan right? Since I wonít hit the MA ceiling in 2019

BBCWatcher 22-12-2018 04:41 PM

Quote:

Originally Posted by iamveryguailan (Post 118234005)
Letís say now my MA has 30k, which is below the limit. Assume in 2019, Iím going to receive 25k in CPF contributions from work in total. If I want to max out to the limit of 37740, the difference is 12740. For this case, I should put in only at the end of Jan right? Since I wonít hit the MA ceiling in 2019

Yes, that's correct. Late January, early enough to be credited in January, works well. The early January suggestion applies if you're at the Basic Healthcare Sum.

However, if you have any CPF Annual Limit remaining this year (2018) and want some tax relief this year (for Year of Assessment 2019 instead of 2020), then now (December, 2018) is a very good time to do your MediSave top-up.

kent07 22-12-2018 08:44 PM

Quote:

Originally Posted by BBCWatcher (Post 118230112)
$14,000.

There's no $7,000 tax relief limit with MediSave top-ups, by the way. MediSave top-ups must fit within the CPF Annual Limit of $37,740, must fit within the Basic Healthcare Sum ($54,500 in 2018 and $57,200 in 2019), and are subject to the usual tax relief considerations (you cannot get any more tax relief if you've already dropped down into the 0% tax bracket, and there is a total aggregate tax relief limit of $80,000). Also, MediSave tax relief is for you to you only -- your contribution(*) into your own MA. But there's no $7,000 limit. The $7,000 tax relief limits only apply to SA/RA top-ups.

(*) Although somebody, such as a family member, can give you this money which you then deposit in your MA. There is no gift tax in Singapore.

hi BBCW, does VC to parents's RA form part of the CPF Annual Limit?

BBCWatcher 22-12-2018 10:58 PM

Quote:

Originally Posted by kent07 (Post 118238371)
hi BBCW, does VC to parents's RA form part of the CPF Annual Limit?

No, it does not. You can use $1,000,000 of cash to top up (for example) 10 random strangersí CPF Special or Retirement Accounts, and thatís fine, too. Especially for the random strangers. ;)

blue_line 23-12-2018 12:11 AM

Quote:

Originally Posted by BBCWatcher (Post 118229352)
Just a friendly reminder that there are some looming 2018 deadlines. Don't wait until the last possible minute, though!

1. CPF: The absolute latest deadline to credit CPF contributions in 2018 (for tax relief in your 2019 IRAS Notice of Assessment) is 10:00 a.m. on Monday, December 31, 2018 -- and that's only if you visit a CPF office with a paper check and contribution form in hand. PayNow QR is the next fastest payment method, but you cannot make MediSave top-ups via PayNow QR. AXS, e-Cashier, and other channels take about 3 business days, typically. It's getting tight now, as I write this, so make your decisions quickly and get the top-ups done. And don't forget your spouse/partner!

I wanted to top up to my parents CPF on the last day of the year. I will be doing so now instead.
Thanks for the headsup!

linusz 23-12-2018 05:43 PM

Hi BBC Watcher
If OA = SA > 171k, what should be done?
(a) empty OA for mortgage loan about 100k; though the interest rate is lower than 2.5%
(b) move OA to SA?

Your inputs and advice please.


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