CPF Account Value Thread 2023

[s0crates]

CPF interests coming next week, I think my cpf interests likely not much diff from last year. I invested all investable CPFOA.
This is my 2nd year investing CPFOA monthly.
For now, my total returns is +9.78%.

I'm guessing the returns looks kinda okayish compared to staying in CPFOA for 2 years.

What you invest in?

 

[BBCWatcher]

This is my 2nd year investing CPFOA monthly.
For now, my total returns is +9.78%.
I'm guessing the returns looks kinda okayish compared to staying in CPFOA for 2 years.

Sure, a ~+9.78% net gain after 2 years is substantially better than OA's natural/default ~+5.06% (=2.5% p.a. interest compounded annually). "Past performance is not necessarily indicative of future results," but these 2 years of (now) history are good ones.

 

[compro_1975]

basically CPF is trying to make u greedy and wanna work more for money..... like boomer cohort these days still tell me adhoc job no cpf where got good... actually i rather not cpf... i work hard enough and got my FRS and BHS, i am happy already... they should allow ppl who met BHS to have the interest included in the MA so that it will continue to keep MA meeting BHS even if i dont work till retirement.

 

[reddevil0728]

basically CPF is trying to make u greedy and wanna work more for money..... like boomer cohort these days still tell me adhoc job no cpf where got good... actually i rather not cpf... i work hard enough and got my FRS and BHS, i am happy already... they should allow ppl who met BHS to have the interest included in the MA so that it will continue to keep MA meeting BHS even if i dont work till retirement.

but some ppl prefer they don't so they can top up for tax relief.

cannot please everybody 1

 

[ahnyaahnya]

The ERS increases for everyone with a Retirement Account. If you’re age 103 with a Retirement Account the ERS increases for you, too.

I have topped up my RA to the max ERS.
Last night I checked my statement for 2022.
The current balance of my RA ( already at max) is LESS than last year's balance.
So clearly, it is not true that everyone's max ERS increases every year. Decreased instead.

 

[RedsYWNA]

Waiting for CPF interest and CPF from year-end bonus to come in. Then dump the excess OA and MA interest into S&P 500 again. haha

 

[henrylbh]

I have topped up my RA to the max ERS.
Last night I checked my statement for 2022.
The current balance of my RA ( already at max) is LESS than last year's balance.
So clearly, it is not true that everyone's max ERS increases every year. Decreased instead.

If you are receiving payouts, how to expect this year ending RA (after topping up to the max of ERS at beginning of year) to be higher of previous year ending RA.

 

[ahnyaahnya]

If you are receiving payouts, how to expect this year ending RA (after topping up to the max of ERS at beginning of year) to be higher of previous year ending RA.

You misread my post.
I do not expect the balance to be higher at all!
I was not comparing the balance on the different dates.
I was talking about the max ERS allowed. So was comparing the difference in max ERS

 

[BBCWatcher]

I have topped up my RA to the max ERS.
Last night I checked my statement for 2022.
The current balance of my RA ( already at max) is LESS than last year's balance.
So clearly, it is not true that everyone's max ERS increases every year. Decreased instead.

What does one have to do with the other (in particular)? The ERS only caps inflows to Retirement Accounts. It does not limit outflows. If your outflows are more than your inflows then your RA balance will decrease.

If you’re on CPF LIFE it’s a little more complicated. On the Basic Plan there should be an additional premium deduction in or about July if you’ve added dollars to your RA in the year before that. If you’re on the Standard or Escalating Plan then you wouldn’t have a RA balance (except temporarily), so I assume you’re not.

Were you under the impression the rising ERS lets you fill your RA back up, and more? No, it does not. The ERS caps inflows, period. Outflows are effectively subtracted from the ERS. Interest is not counted against the ERS.

 

[ahnyaahnya]

What does one have to do with the other (in particular)? The ERS only caps inflows to Retirement Accounts. It does not limit outflows. If your outflows are more than your inflows then your RA balance will decrease.

If you’re on CPF LIFE it’s a little more complicated. On the Basic Plan there should be an additional premium deduction in or about July if you’ve added dollars to your RA in the year before that. If you’re on the Standard or Escalating Plan then you wouldn’t have a RA balance (except temporarily), so I assume you’re not.

Were you under the impression the rising ERS lets you fill your RA back up, and more? No, it does not. The ERS caps inflows, period. Outflows are effectively subtracted from the ERS. Interest is not counted against the ERS.

Where I complaining about outflows!
I'm just replying to the comment about ERS is increased for everybody every year!
Not complaining about not enough outflows !
I want more inflows to be allowed!
I'd rather they reduce outflows or even zero, let it all remain there until I decide to start the outflows, like it used to be !

Don't read properly, distort what I said .
I give up !
No need to talk anymore.

 

[BBCWatcher]

I'm just replying to the comment about ERS is increased for everybody every year!

Whenever the ERS is raised it’s raised for every CPF member age 55+ (i.e. has or eligible to have a Retirement Account). That’s a simple fact.

The ERS is not your RA balance. That’s why the ERS has a different name.

I want more inflows to be allowed!

Even more than the current ERS then. OK, try asking your MP.

I'd rather they reduce outflows or even zero, let it all remain there until I decide to start the outflows, like it used to be !

The government doesn’t want to pay above market interest rates on such high amounts. I can understand the government’s point of view.

 

[henrylbh]

The government doesn’t want to pay above market interest rates on such high amounts. I can understand the government’s point of view.

That's what you think. CPF is not an investment vehicle. Anyone who wants more, are free to invest their CPF in the manner provided or take out the eligible amount out of CPF.

 

[henrylbh]

Where I complaining about outflows!
I'm just replying to the comment about ERS is increased for everybody every year!
Not complaining about not enough outflows !
I want more inflows to be allowed!
I'd rather they reduce outflows or even zero, let it all remain there until I decide to start the outflows, like it used to be !

Don't read properly, distort what I said .
I give up !
No need to talk anymore.

Talk somemore also not clear That's why I give up.

 

[ahnyaahnya]

Whenever the ERS is raised it’s raised for every CPF member age 55+ (i.e. has or eligible to have a Retirement Account). That’s a simple fact.

The ERS is not your RA balance. That’s why the ERS has a different name.

Even more than the current ERS then. OK, try asking your MP.

The government doesn’t want to pay above market interest rates on such high amounts. I can understand the government’s point of view.

ERS is the maximum amount of the RA.

 

[BBCWatcher]

ERS is the maximum amount of the RA.

No, it is not. (And who claimed that? The CPF Board doesn’t.) The ERS does not count interest. For example, if you have a Retirement Account maxed out to the current ERS, have never had any distributions from your Retirement Account, and have had at least one round of interest credited then your RA balance will exceed the current ERS.

 

[BBCWatcher]

That's what you think. CPF is not an investment vehicle. Anyone who wants more, are free to invest their CPF in the manner provided or take out the eligible amount out of CPF.

Aren’t we agreeing on this point?

 

[gold_eagle36]

Waiting for CPF interest and CPF from year-end bonus to come in. Then dump the excess OA and MA interest into S&P 500 again. haha

Interesting. Do you intend to derisk when near 55 or 65? Or 100% equities CPFIS account all the way.

 

[RedsYWNA]

Interesting. Do you intend to derisk when near 55 or 65? Or 100% equities CPFIS account all the way.

Considering to derisk from CPFIS to ERS nearing 60-65, since we are living longer. I dont have a lot of OA, only around $100k+, as the bulk is used for house loan servicing.

I do expect to grow CPFIS to around $300k+ by the time i retire, which coupled with 4% SA, should be sufficient I hope...

 

[gold_eagle36]

Considering to derisk from CPFIS to ERS nearing 60-65, since we are living longer. I dont have a lot of OA, only around $100k+, as the bulk is used for house loan servicing.

I do expect to grow CPFIS to around $300k+ by the time i retire, which coupled with 4% SA, should be sufficient I hope...

If u keep doing this OA MA interest straight to CPFIS move. I'm sure it will be more than 300k