CPF Account Value Thread 2026

[mizarahi]

in your case, you should take CPF LIFE - Basic instead. your money in RA will continue to compound even after CPF LIFE starts, minus the amount your CPF LIFE premium uses

Wanna leave minimum or zero to nominee.

 

[BBCWatcher]

The lost interest accrue too the pool. Once CPF Life commence, there is no more interest from 65yo onwards.

CPF LIFE payouts can start any time from age 65 to age 70. In fact, the default is age 70. In fact, you actually have to do something if you want payouts to start earlier.

I'm simply asking why you would start CPF LIFE payouts earlier than required. By your "logic," wouldn't you want 60 more months of interest? Or, if you don't actually want RA to earn interest, why would you wait until age 65 (or even age 60) to drop your Retirement Account down to the Basic Retirement Sum? Wouldn't you withdraw immediately at age 55 — to minimize the interest you lose to the pool, as you put it?

I have read several posts that the breakeven age based on standard plan is approx 85yo.

"Breakeven" compared to what? Compared to a traditional, liquid, government guaranteed, asset protected, 4.0% p.a. interest earning account...that's a phantom, that doesn't even exist?

If one passed on before that there is an interest lost from the RA balance before 85yo.

For sake of argument, let's suppose what you believe is true. "So what?"

Try it this way: what are you actually trying to accomplish in your golden years? Most elders I know are trying to support at least a basic lifestyle (buy food, pay for electricity, etc. — to the end of their days), stay as healthy as they can, avoid ever being burdens on their younger family members, be generous with their younger family members (pay for a grandchild's university education exactly when they need it, for example), have fun with loved ones, and otherwise enjoy life as best they can.

Do you share those goals? Start with that. Once you figure out what you actually want in life for yourself and for your loved ones, THEN you might figure out whether what you're describing even makes any sense.

 

[laokorkor]

need pledge and withdraw from RA at age of 55. otherwise, just another loophole to earn risk-free interest.

As others have pointed out, your premise and mine are both wrong. Indeed, it looks like a loophole to earn risk-free interest. I thought this loophole is plugged already. I'm 55 next year Jan, I've to give this way of earning 4% risk-free interest some deep thought.

I've learnt something new today!

 

[fr33d0m]

As others have pointed out, your premise and mine are both wrong. Indeed, it looks like a loophole to earn risk-free interest. I thought this loophole is plugged already. I'm 55 next year Jan, I've to give this way of earning 4% risk-free interest some deep thought.

I've learnt something new today!

Don’t beat yourself up.

not for argument purpose. If one can only withdraw the BRS without interest, does it make a different how many times one withdraws? The sum is the same. The interest goes to CPF LIFE anyway.

What’s more important is the actual experience.

 

[PhantomOpera]

Hi, I have a few questions:
1) At age 55 onwards, I can start to top up my CPF RA to ERS amount?
2) Assume i want to start CPF life payout at 65, and i choose the Basic Plan, what happens to the balance of funds in my RA? Can i treat it like at atm, earning 4% and take out as and when i want?

 

[trave1er]

Hi, I have a few questions:
1) At age 55 onwards, I can start to top up my CPF RA to ERS amount?
2) Assume i want to start CPF life payout at 65, and i choose the Basic Plan, what happens to the balance of funds in my RA? Can i treat it like at atm, earning 4% and take out as and when i want?

I can answer question 1.
At 55 your SA will be closed and you will be given an RA. The RA limit is the ERS, which double of FRS, or quadruple of BRS. So yes, you can top up to ERS at age 55.

Note that the ERS increases yearly. So it's a moving target.
Source: https://www.cpf.gov.sg/service/article/what-is-the-enhanced-retirement-sum-ers

 

[highsulphur]

Hi, I have a few questions:
1) At age 55 onwards, I can start to top up my CPF RA to ERS amount?
2) Assume i want to start CPF life payout at 65, and i choose the Basic Plan, what happens to the balance of funds in my RA? Can i treat it like at atm, earning 4% and take out as and when i want?

Basic plan only affects the payout schedule. It doesn't free up any funds for withdrawal

 

[fr33d0m]

Hi, I have a few questions:
1) At age 55 onwards, I can start to top up my CPF RA to ERS amount?
2) Assume i want to start CPF life payout at 65, and i choose the Basic Plan, what happens to the balance of funds in my RA? Can i treat it like at atm, earning 4% and take out as and when i want?

your RA will be 0 after you start CPF LIFE, whatever plan you choose.

The difference is how much you get monthly and how much you leave when you die.

 

[BBCWatcher]

Hi, I have a few questions:
1) At age 55 onwards, I can start to top up my CPF RA to ERS amount?

Just to add to @trave1er's comments, transfers from OA into your RA are also allowed (from yourself and/or from qualified family members) starting when your RA is created on your 55th birthday. Also, any amount is allowed as long as it fits within the current Enhanced Retirement Sum. (Transfer limits may apply to loved ones when they do not already have sufficient CPF savings.)

Cross-spousal OA to RA transfers are quite popular. For example, if you turn 55 while your spouse is still 52, and if you're trying to decide between transferring your OA dollars to your RA or transferring your spouse's OA dollars to your RA, the second choice is better (assuming your spouse agrees). The reason is that your OA dollars are liquid from age 55 onward in this scenario, and your spouse's aren't since he/she is still under 55. Tapping the less liquid dollars first makes better financial sense for the household.

As @trave1er mentioned, if you reach the ERS at any point in time, you can still keep adding funds to your RA (through cash top ups and/or transfers from OA) every time the ERS is raised.

2) Assume i want to start CPF life payout at 65, and i choose the Basic Plan, what happens to the balance of funds in my RA? Can i treat it like at atm, earning 4% and take out as and when i want?

your RA will be 0 after you start CPF LIFE, whatever plan you choose.

Well, the CPF Board doesn't handle CPF LIFE Basic Plan accounting that way. If you select the CPF LIFE Basic Plan, there will still be an RA balance after the premium is deducted. But...

The difference is how much you get monthly and how much you leave when you die.

Right, in practice the CPF Board's quirky accounting doesn't inherently indicate anything. Choosing the Basic Plan won't make your RA any more liquid. The Basic Plan offers a permanently lower monthly payout compared to the Standard Plan, but when you die your CPF nominee(s) might receive a higher residual (compared to the other 2 payout plans). Or might not. If you merely live long enough, or longer, they won't. The Escalating Plan is essentially identical to the Standard Plan except that a 2%/year payout escalation slope is added. Monthly payouts initially start lower than both the Basic and Standard Plan, but payouts rise 2% per year. It's the only payout plan that even attempts to combat inflation, to try to keep your real retirement lifestyle relatively stable instead of eroding.

 

[compro_1975]

That’s like indirectly asking how much user has been earning historically lol.

Average edmwer earns 20k monthly

 

[reddevil0728]

Average edmwer earns 20k monthly

here not EDMW

 

[compro_1975]

The lost interest accrue too the pool. Once CPF Life commence, there is no more interest from 65yo onwards.

I have read several posts that the breakeven age based on standard plan is approx 85yo. If one passed on before that there is an interest lost from the RA balance before 85yo.

Therefore, my objective is to find out the variance between CPF Life payout vs self investment based on minimum sum required for CPF Life.

Yes go for basic.... else every year 1 Jan cant hao lian the interest you've earned

 

[wutawa]

your RA will be 0 after you start CPF LIFE, whatever plan you choose.

The difference is how much you get monthly and how much you leave when you die.

negative, your Ra won't be 0 but 80~90% under basic plan.

 

[fr33d0m]

negative, your Ra won't be 0 but 80~90% under basic plan.

but none withdrawable, pure accounting only as earning the 4% interest rate.

There should not be any illusion that the money is actually there to be withdrawn.

 

[sellbuyboy]

when reach 55, top up to RA, 65 can draw out or not? or die die is cpf life liaoz.

 

[BBCWatcher]

when reach 55, top up to RA, 65 can draw out or not? or die die is cpf life liaoz.

Let's summarize:

1. Dollars added to an RA are never lost.(*) The dollars you add to a CPF Retirement Account, plus accrued interest on those dollars, go toward higher CPF LIFE monthly payouts for life — plus a higher residual paid to your CPF nominee(s) if a residual remains when you pass.
2. Dollars added to an RA may immediately unlock other dollars.
   (a) If you have not met at least the Full Retirement Sum (or at least the Basic Retirement Sum with property pledge/charge) in your CPF RA, adding funds to your RA to raise it at least to this level can "unlock" other CPF dollars in your OA and/or RA for lump sum withdrawal.
   (b) If you have not met at least the FRS (or at least the BRS with property pledge/charge) in your CPF RA, and if your CPF MediSave Account is at the Basic Healthcare Sum, adding funds to your RA to raise it at least to the FRS (or BRS) will result in the MediSave portion of compulsory contributions landing in your Ordinary Account. OA dollars can then be withdrawn whenever you wish.
3. You never reduce what you can withdraw from your RA unless and until you actually withdraw from your RA (including starting CPF LIFE payouts which can start as late as age 70). Adding funds to your RA never reduces your preexisting lump sum withdrawal options. For example, if you celebrate your 55th birthday in 2026, the CPF Board automatically funds your new RA at $220,400 (the 2026 FRS), and you've never previously topped up your CPF Special Account, you can make a property pledge/charge and withdraw up to $110,200 from your RA. If you don't withdraw but instead add $78,000 to your RA, you can still withdraw up to $110,200. If you don't withdraw but add yet another $39,236, you can still withdraw up to $110,200. If you wait until age 62, you can still withdraw up to $110,200. In fact, adding funds to your RA makes possible future lump sum withdrawals more tolerable because they won't reduce your CPF LIFE monthly income as severely, into poverty levels (or into deeper poverty levels).

(*) Not unless the Government of Singapore ceases to exist as a functioning entity.
[On edit: revised #3 to use more precise, clearer language.]

 

[fr33d0m]

Let's summarize:

1. Dollars added to an RA are never lost.(*) The dollars you add to a CPF Retirement Account, plus accrued interest on those dollars, go toward higher CPF LIFE monthly payouts for life — plus a higher residual paid to your CPF nominee(s) if a residual remains when you pass.
2. Dollars added to an RA may immediately unlock other dollars.
   (a) If you have not met at least the Full Retirement Sum (or at least the Basic Retirement Sum with property pledge/charge) in your CPF RA, adding funds to your RA to raise it at least to this level can "unlock" other CPF dollars in your OA and/or RA for lump sum withdrawal.
   (b) If you have not met at least the FRS (or at least the BRS with property pledge/charge) in your CPF RA, and if your CPF MediSave Account is at the Basic Healthcare Sum, adding funds to your RA to raise it at least to the FRS (or BRS) will result in the MediSave portion of compulsory contributions landing in your Ordinary Account. OA dollars can then be withdrawn whenever you wish.
3. Existing lump sum withdrawal options are never reduced. If you have met at least the Full Retirement Sum (or at least the Basic Retirement Sum with property pledge/charge) in your CPF RA, adding funds to your RA never reduces your preexisting lump sum withdrawal options. For example, if you celebrate your 55th birthday in 2026, the CPF Board automatically funds your new RA at $220,400 (the 2026 FRS), and you've never previously topped up your CPF Special Account, you can make a property pledge/charge and withdraw up to $110,200. If you then add $78,000 to your RA, you can still withdraw up to $110,200. If you add another $39,236, you can still withdrawal up to $110,200. In fact, adding funds to your RA makes possible future lump sum withdrawals more tolerable because they won't reduce your CPF LIFE monthly income as severely, into poverty levels (or deeper poverty levels).

(*) Not unless the Government of Singapore ceases to exist as a functioning entity.

CPF pre-dates the Government of Singapore, if I am not wrong. It started during colonial time. It may continue to function even after the Government of Singapore ceases to exist.

CPF should make it clearer by having CPF LIFE account instead of RA after CPF LIFE starts. maybe only for those continuing to have RA contribution only, but that can be simplified by purchasing additional CPF LIFE premium instead.

 

[highsulphur]

CPF pre-dates the Government of Singapore, if I am not wrong. It started during colonial time. It may continue to function even after the Government of Singapore ceases to exist.

CPF should make it clearer by having CPF LIFE account instead of RA after CPF LIFE starts. maybe only for those continuing to have RA contribution only, but that can be simplified by purchasing additional CPF LIFE premium instead.

CPF places its funds with MAS in exchange for Special Singapore Government Securities. In other words, it's guaranteed by MAS. CPF will fail only if MAS goes under

 

[BBCWatcher]

CPF pre-dates the Government of Singapore, if I am not wrong. It started during colonial time. It may continue to function even after the Government of Singapore ceases to exist.

The Central Provident Fund Board only predates Singapore's independence. It doesn't predate the Government of Singapore, not really. It's fair to date the "modern" Government of Singapore to 1946 when Singapore became a separate Crown Colony (split from the Straits Settlements) and then held its first general election on April 1, 1948, to create the Legislative Council of Singapore. The CPF Board was founded in 1953 (via an act passed in the Legislative Council) and started collecting contributions from July 1, 1955 (several weeks after the Legislative Assembly of Singapore was founded).

Read on for why I phrased that footnote as I did. I was/am trying to be reasonably precise in choosing those words.

CPF places its funds with MAS in exchange for Special Singapore Government Securities. In other words, it's guaranteed by MAS. CPF will fail only if MAS goes under.

There are a few "Black Swan" scenarios when the MAS continues to exist but with catastrophic loss of Singapore dollar purchasing power. That's why I phrased it as "ceases to exist as a functioning entity," to include unlikely combinations of notional institutional survival and catastrophic mission failure. [Other country example: the Reserve Bank of Zimbabwe (RBZ).]

But I didn't cite the Monetary Authority of Singapore (MAS) specifically in my footnote because there are scenarios when the MAS "ceases to exist as a functioning entity" but without any consequences to the health of the CPF Board, a Government of Singapore statutory board, and its assets. As a simple example, the MAS's various responsibilities could be (re)apportioned to new/different institutions. As another example, Singapore could hypothetically join the Eurozone as an official or de facto member, whereupon the MAS no longer has any currency-related roles (and CPF balances would presumably get converted from SGD to EUR balances on a specific date). It doesn't particularly matter which arm of the Government of Singapore maintains its explicit and implicit CPF-related promises as long as some arm does.

To be clear, I'm predicting the Government of Singapore will continue to exist as a functioning entity indefinitely. I don't think any of these "Black Swan" scenarios are likely at all. That's why it's a short footnote.

 

[fr33d0m]

CPF places its funds with MAS in exchange for Special Singapore Government Securities. In other words, it's guaranteed by MAS. CPF will fail only if MAS goes under

There is no obligation for CPF Board to invest in SSGS. It is a convenience provided by the Government of Singapore for the benefit of both.

FWIW, it would not harm the CPF members that CPF board invests part of its SA in high-quality equity.

Barring a calamity, hardly for CPF member to lose all.