He doesn't get satisfaction from his work. He gets satisfaction in being paid for it. He said it himself that getting paid is the most important part. He's a bean counter. Like to see his bank account go up.
Just like to know. After 65 years old and started CPF Life payout .Do the CPF member still receive any interest in his own RA account from 65 to about 90 years old.
Whichever CPFL plan you choose, as long as you still have RA, it will keep earning interest until RA is exhausted is zeroed.
but if on basic plan and CPFL started, no point to top up the RA account anymore right?
there are contradictions in your post.Comparing with other people is bad for your mental health
Your target should be for your passive income > current expenses, in order to reach financial independence. Whether you want to Retire Early after achieving FI, everyone is different, depends on your job and personality.
I also see no reason to criticise someone with large amounts in OA. And what is large to some may be small to others. If they have 'enough', what reason is there for them to put in effort to get 'more'?
Any advantage for you to do Topping up RA at 65 years old and CPF life start withdraw?
Sure, there's a point/advantage to topping up a Retirement Account: higher monthly CPF LIFE payouts for the rest of your life (and higher residuals if/when there are residuals). That's true regardless of the payout plan.
If you choose Basic Plan, your RA account will continue to earn 4% plus extra interest. If u choose the other 2, all interest goes to the pool.
It is simple common sense, I just answer this question: Can I earn more than 4% pa interest risk free with my monies outside RA? We are living in a different "short term era" of rising interest rates which CPF cannot catch up!
very good. while we are in this short term era, enjoy it while it last. next time when rates drop, then you top up your ra with cash
Top up can wait. Make hay while the sun shines.
im talking about topping up the RA acc after the CPFL has already started and not before start of CPFL, are u sure the payout would increase ?
Any top up would increase payout the month after. But why top up why money outside RA is earning more.
...which is factored into your (higher) CPF LIFE monthly payout.
Since even 6 month T-bills are currently yielding >4%, yes. But that doesn't necessarily mean you should withdraw dollars from RA to chase T-bills or other securities. That's because you may not be able to put RA dollars back when market interest rates are lower.
Of course! Where do you think those dollars go? Pluto?
Actually, no, at least not by default. The CPF Board automatically recomputes every July. I think you can ask the CPF Board to recompute sooner, but I'm not sure about that. If the CPF Board can recompute sooner the increase will be slightly less.
Inflows from Nov 2021 go straight to increase life payout and no more amp. So what default you referring to?
They do, but in that event the CPF Board (by default anyway) recomputes CPF LIFE payouts once per year, in July. That's also when any actuarial adjustments are made (if they're made).
What you saying is not what CPF saying. Those were under amp. From 2021 no more amp.
After CPFL is started, you can still topup RA but these monies go to increase your CPFL premium to trigger a revision in your monthly payout. Effective 2022 (not sure when it started), all topups will go to CPFL premium (depending on the plan you joined), CPF will trigger the change in your CPFL policy, I think is every July, which in turn will trigger the revised monthly payout. Now the website is useless, cannot find what I want!
