CPF Easy Info Thread. :)

[ZacharyA]

I don’t think that’s the objective of the interest. That’s why you are still contributing via employment.

That was my understanding, or at least I thought the interests was to cover / match the increasing BHS sum y-o-y.

This is not too big an issue for someone who is in employment between 25-55yo.

But for those who are intending to retire / retired, the BHS ceiling is growing at a pace that the 4% cannot match, which can be a problem in the long run for the retirees / unemployed.

 

[reddevil0728]

You mentioned that if one gets chronically ill, there is a possibility of BHS / CPF MA being wiped out.

But my understanding that if you are on an integrated shield plan + rider, you should be capped at a limit for out of pocket expenses, and the rest are taken care of by insurance, no?

insurance also got a max cap. per year at least.

 

[reddevil0728]

That was my understanding, or at least I thought the interests was to cover / match the increasing BHS sum y-o-y.

This is not too big an issue for someone who is in employment between 25-55yo.

But for those who are intending to retire / retired, the BHS ceiling is growing at a pace that the 4% cannot match, which can be a problem in the long run for the retirees / unemployed.

well it depends on how much balance you have also?

the interest rate may keep pace with the absolute dollar increase if your balance already at BHS for that year. if not it might not no?

 

[zoneguard]

well it depends on how much balance you have also?

the interest rate may keep pace with the absolute dollar increase if your balance already at BHS for that year. if not it might not no?

There's premium deductions for Medishield Life/ElderShield/Careshield. Without contributions, even if you reach BHS in a given year and the ~5% BHS growth, the 4% interest can never keep up.

 

[htc_user]

Can confirm if I am self employed (part time adhoc work) and declares $30,000 annual income ($2,500 per month), then I can contribute up to 37% of $30,000 which is $11,100 to my CPF even if my Medisave and special account had already reach the limit. So effectively I will not need to pay any income tax since my assessable income is now $30,000 - $11,100 = $18,900. Any maximum age limit for my contribution to continue if I still do the part time work ?

 

[zoneguard]

Can confirm if I am self employed (part time adhoc work) and declares $30,000 annual income ($2,500 per month), then I can contribute up to 37% of $30,000 which is $11,100 to my CPF even if my Medisave and special account had already reach the limit. So effectively I will not need to pay any income tax since my assessable income is now $30,000 - $11,100 = $18,900. Any maximum age limit for my contribution to continue if I still do the part time work ?

https://www.cpf.gov.sg/members/FAQ/...ployed Matters&folderid=12488&ajfaqid=2188478

 

[ixora2007]

My parent is currently drawing a monthly amount from his CPF (after 65 years old). If i top up his RA this year, will the amount he draw every month be increased or will he draw the same amount but for a longer period?

 

[Value.Matrix]

My parent is currently drawing a monthly amount from his CPF (after 65 years old). If i top up his RA this year, will the amount he draw every month be increased or will he draw the same amount but for a longer period?

The amount will adjust (increase) but depending on how much more. Coz withdrawal should end by 90/95 so check with cpf to confirm.

If its cpf life, the top up amount will form AMP (additional monthly payout) instead.

 

[Okenba]

My parent is currently drawing a monthly amount from his CPF (after 65 years old). If i top up his RA this year, will the amount he draw every month be increased or will he draw the same amount but for a longer period?

This really depends on individual circumstance.
- CPF Life or RSS?
- How much is in RA?

Best way is to consult CPF.

 

[zoneguard]

The amount will adjust (increase) but depending on how much more. Coz withdrawal should end by 90/95 so check with cpf to confirm.

If its cpf life, the top up amount will form AMP (additional monthly payout) instead.

RSS payout age capped at 90:
https://www.cpf.gov.sg/members/abou... Monthly Payouts&folderid=19774&faqid=8619760

Default upon RA top up for those on RSS will be to increase payout amount.
Use the calculator to estimate amount: https://www.cpf.gov.sg/eSvc/Web/Sch...alculator/RetirementSumSchemePayoutCalculator

If on CPF LIFE, besides AMP, can also opt to increase LIFE payout:
https://www.cpf.gov.sg/members/FAQ/...group=CPF+LIFE&ajfaqid=2186413&folderid=11673

 

[ralliart12]

...Default upon RA top up for those on RSS will be to increase payout amount.
Use the calculator to estimate amount: https://www.cpf.gov.sg/eSvc/Web/Sch...alculator/RetirementSumSchemePayoutCalculator

If on CPF LIFE, besides AMP, can also opt to increase LIFE payout:
https://www.cpf.gov.sg/members/FAQ/...group=CPF+LIFE&ajfaqid=2186413&folderid=11673

Hi, regarding this hor, I got a question & actually something happened to 1 of my relative's account. Previously I was asking on his behalf (regarding what will happen to the balance in his RA account), & the reply I got from CPFB was:

We refer to your enquiry dated XX July 2020 concerning the annual payout revision exercise.
You are currently on the LIFE Plus Plan and are receiving a monthly payout of $2XX.XX.
We would like to clarify that if you choose to do nothing and leave the top-up monies in your Retirement Account (RA). We will then take any additional RA monies, including the top-up, into account when we revise your monthly payout during an annual payout revision exercise in the following July. We will let you know your revised monthly payout by May before we revise your monthly payout in July.

I was actually expecting CPFB to wipe out all the $ in my relative's balance and upgrade his CPF Life payout automatically every July (due to the reply abv). But none, come July, the $-amount in his RA was still left untouched. Maybe my interpretation was wrong...so actually now that it's post-July, i.e. we did see the CPFLife payout for him increase by a bit. I was wondering:

Qn1: should we continue to leave the $ in his RA untouched, since ultimately his CPFLife payout really got increase a bit since July...without him doing anything...
Qn2a: if we want to "Purchase an additional annuity", is it like upgrade his CPF Life Plan? Will that jeopardise the terms and conditions of his existing CPF Life Plan?
Qn2b: I think "Purchase an additional annuity" = what you termed as "increase LIFE payout" right? I went to your link, it says, "You can choose to use this withdrawable amount to increase your CPF LIFE premium"...I'm a bit confused...isn't "premium" something I pay (to CPFB)? Why will we wanna increase that? We wanna (consider) increasing the amount that (CPFB) pays to us leh lol...

 

[toBfair]

Hi, regarding this hor, I got a question & actually something happened to 1 of my relative's account. Previously I was asking on his behalf (regarding what will happen to the balance in his RA account), & the reply I got from CPFB was:

We refer to your enquiry dated XX July 2020 concerning the annual payout revision exercise.
You are currently on the LIFE Plus Plan and are receiving a monthly payout of $2XX.XX.
We would like to clarify that if you choose to do nothing and leave the top-up monies in your Retirement Account (RA). We will then take any additional RA monies, including the top-up, into account when we revise your monthly payout during an annual payout revision exercise in the following July. We will let you know your revised monthly payout by May before we revise your monthly payout in July.

I was actually expecting CPFB to wipe out all the $ in my relative's balance and upgrade his CPF Life payout automatically every July (due to the reply abv). But none, come July, the $-amount in his RA was still left untouched. Maybe my interpretation was wrong...so actually now that it's post-July, i.e. we did see the CPFLife payout for him increase by a bit. I was wondering:

Qn1: should we continue to leave the $ in his RA untouched, since ultimately his CPFLife payout really got increase a bit since July...without him doing anything...
Qn2a: if we want to "Purchase an additional annuity", is it like upgrade his CPF Life Plan? Will that jeopardise the terms and conditions of his existing CPF Life Plan?
Qn2b: I think "Purchase an additional annuity" = what you termed as "increase LIFE payout" right? I went to your link, it says, "You can choose to use this withdrawable amount to increase your CPF LIFE premium"...I'm a bit confused...isn't "premium" something I pay (to CPFB)? Why will we wanna increase that? We wanna (consider) increasing the amount that (CPFB) pays to us

Hi, regarding this hor, I got a question & actually something happened to 1 of my relative's account. Previously I was asking on his behalf (regarding what will happen to the balance in his RA account), & the reply I got from CPFB was:

We refer to your enquiry dated XX July 2020 concerning the annual payout revision exercise.
You are currently on the LIFE Plus Plan and are receiving a monthly payout of $2XX.XX.
We would like to clarify that if you choose to do nothing and leave the top-up monies in your Retirement Account (RA). We will then take any additional RA monies, including the top-up, into account when we revise your monthly payout during an annual payout revision exercise in the following July. We will let you know your revised monthly payout by May before we revise your monthly payout in July.

I was actually expecting CPFB to wipe out all the $ in my relative's balance and upgrade his CPF Life payout automatically every July (due to the reply abv). But none, come July, the $-amount in his RA was still left untouched. Maybe my interpretation was wrong...so actually now that it's post-July, i.e. we did see the CPFLife payout for him increase by a bit. I was wondering:

Qn1: should we continue to leave the $ in his RA untouched, since ultimately his CPFLife payout really got increase a bit since July...without him doing anything...
Qn2a: if we want to "Purchase an additional annuity", is it like upgrade his CPF Life Plan? Will that jeopardise the terms and conditions of his existing CPF Life Plan?
Qn2b: I think "Purchase an additional annuity" = what you termed as "increase LIFE payout" right? I went to your link, it says, "You can choose to use this withdrawable amount to increase your CPF LIFE premium"...I'm a bit confused...isn't "premium" something I pay (to CPFB)? Why will we wanna increase that? We wanna (consider) increasing the amount that (CPFB) pays to us leh lol...

did your relative opt or auto into CPFLife? My dad still remain at RSS scheme without any withdrawal.

 

[qhong61]

After 55, can still top up cpf OA without going to MA?

 

[dork32]

this is wat i meant abot the life plus and standard and escalating plan..

you top up your cpf life. you are totally at the mercy of cpf which dictates the how much increase they want to give you. they give you too little or delay the increase, you cow pay cow boo.

if you top up your cpf life basic, and they dont give you an increased payout. your top up value just continues to earn 4% for your kids.

 

[reddevil0728]

After 55, can still top up cpf OA without going to MA?

If your MA hit BHS, you do VC will overflow. Provided you hit FRS also

 

[zoneguard]

Hi, regarding this hor, I got a question & actually something happened to 1 of my relative's account. Previously I was asking on his behalf (regarding what will happen to the balance in his RA account), & the reply I got from CPFB was:

I was actually expecting CPFB to wipe out all the $ in my relative's balance and upgrade his CPF Life payout automatically every July (due to the reply abv). But none, come July, the $-amount in his RA was still left untouched. Maybe my interpretation was wrong...so actually now that it's post-July, i.e. we did see the CPFLife payout for him increase by a bit. I was wondering:

Qn1: should we continue to leave the $ in his RA untouched, since ultimately his CPFLife payout really got increase a bit since July...without him doing anything...
Qn2a: if we want to "Purchase an additional annuity", is it like upgrade his CPF Life Plan? Will that jeopardise the terms and conditions of his existing CPF Life Plan?
Qn2b: I think "Purchase an additional annuity" = what you termed as "increase LIFE payout" right? I went to your link, it says, "You can choose to use this withdrawable amount to increase your CPF LIFE premium"...I'm a bit confused...isn't "premium" something I pay (to CPFB)? Why will we wanna increase that? We wanna (consider) increasing the amount that (CPFB) pays to us leh lol...

Apply to Increase CPF LIFE Premium​

FORM LID-APP(1A)
This form allows you to increase your CPF LIFE premium. The e-Service may take you 5 minutes to complete.

https://www.cpf.gov.sg/eSvc/Web/Schemes/IncreaseLifePremiumApplication/Index
https://www.cpf.gov.sg/members/FAQ/...group=CPF LIFE&folderid=11673&ajfaqid=2186389

CPF LIFE​

Q	I have started receiving my CPF LIFE payouts. Will inflows into my Retirement Account increase my monthly payout?

A

You can get a higher lifelong monthly payout by applying to increase your CPF LIFE premium using the Retirement Account (RA) inflows*. You can do so by following the steps below: Login to my cpf Online Services with your Singpass Click on My Requests > CPF LIFE > Apply to Increase CPF LIFE Premium However, if you choose to leave the inflows in your RA, we will take them into account during the yearly review and stream them out as Additional Monthly Payout (AMP)** until they are depleted. We will send you an e-notification (email/WhatsApp/SMS) before we make any adjustments to your monthly payouts. * Inflows can be from any top-ups, funds transferred from other accounts into the RA, interest earned or refunds from selling property or investments. ** The AMP is a level payout and does not change regardless of CPF LIFE Plan type.

 

[highsulphur]

Apply to Increase CPF LIFE Premium​

FORM LID-APP(1A)
This form allows you to increase your CPF LIFE premium. The e-Service may take you 5 minutes to complete.

https://www.cpf.gov.sg/eSvc/Web/Schemes/IncreaseLifePremiumApplication/Index
https://www.cpf.gov.sg/members/FAQ/...group=CPF LIFE&folderid=11673&ajfaqid=2186389

CPF LIFE​

Q	I have started receiving my CPF LIFE payouts. Will inflows into my Retirement Account increase my monthly payout?

A

You can get a higher lifelong monthly payout by applying to increase your CPF LIFE premium using the Retirement Account (RA) inflows*. You can do so by following the steps below: Login to my cpf Online Services with your Singpass Click on My Requests > CPF LIFE > Apply to Increase CPF LIFE Premium However, if you choose to leave the inflows in your RA, we will take them into account during the yearly review and stream them out as Additional Monthly Payout (AMP)** until they are depleted. We will send you an e-notification (email/WhatsApp/SMS) before we make any adjustments to your monthly payouts. * Inflows can be from any top-ups, funds transferred from other accounts into the RA, interest earned or refunds from selling property or investments. ** The AMP is a level payout and does not change regardless of CPF LIFE Plan type.

I might just leave any increase in RA as AMP to supplement CPF Life

 

[henrylbh]

Hi, regarding this hor, I got a question & actually something happened to 1 of my relative's account. Previously I was asking on his behalf (regarding what will happen to the balance in his RA account), & the reply I got from CPFB was:

We refer to your enquiry dated XX July 2020 concerning the annual payout revision exercise.
You are currently on the LIFE Plus Plan and are receiving a monthly payout of $2XX.XX.
We would like to clarify that if you choose to do nothing and leave the top-up monies in your Retirement Account (RA). We will then take any additional RA monies, including the top-up, into account when we revise your monthly payout during an annual payout revision exercise in the following July. We will let you know your revised monthly payout by May before we revise your monthly payout in July.

I was actually expecting CPFB to wipe out all the $ in my relative's balance and upgrade his CPF Life payout automatically every July (due to the reply abv). But none, come July, the $-amount in his RA was still left untouched. Maybe my interpretation was wrong...so actually now that it's post-July, i.e. we did see the CPFLife payout for him increase by a bit. I was wondering:

Qn1: should we continue to leave the $ in his RA untouched, since ultimately his CPFLife payout really got increase a bit since July...without him doing anything...
Qn2a: if we want to "Purchase an additional annuity", is it like upgrade his CPF Life Plan? Will that jeopardise the terms and conditions of his existing CPF Life Plan?
Qn2b: I think "Purchase an additional annuity" = what you termed as "increase LIFE payout" right? I went to your link, it says, "You can choose to use this withdrawable amount to increase your CPF LIFE premium"...I'm a bit confused...isn't "premium" something I pay (to CPFB)? Why will we wanna increase that? We wanna (consider) increasing the amount that (CPFB) pays to us leh lol...

Any additional RA will remain where it is, unless you use it to apply to increase CPFL Premium. The untouched RA will stream out as level payout (AMP) until the RA is depleted. It is not related to payout under Life Plus Plan.

 

[ralliart12]

Any additional RA will remain where it is, unless you use it to apply to increase CPFL Premium. The untouched RA will stream out as level payout (AMP) until the RA is depleted.

A little bit of correction there: unless the person explicitly instructs CPFB to use the RA balance to stream out as AMP, it will sit untouched in the RA (may be earning interest). This is what happened to my relative's case: we have to explicitly ask to get AMP.

 

[ralliart12]

I might just leave any increase in RA as AMP to supplement CPF Life

Will like to know your thought process as to why go for AMP over increasing your CPFLife payout (man I refuse to call it premium)?