CPF Easy Info Thread. :)

BBCWatcher

BBCWatcher

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ralliart12 said:
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.
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Well, that depends on the member's age I believe. At least for the younger cohorts receiving CPF LIFE payouts the "do nothing" default is that AMPs will start automatically the next July after the top up. Check that detail with the CPF Board if it matters, please, but that's my understanding of the current rules.

Older members, especially those on the classic Retirement Sum Scheme who still aren't required to start payouts from age 70 (or current age), probably operate under different rules in this respect, too.

A few members were upset about this rule change, thinking that they'd hang onto their RAs earning 4+% and never touch them. Then leave them behind so someone could pay for a big funeral, I guess. :) Well....
 
henrylbh

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ralliart12 said:
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.
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He borned before 1950?

The answer he received clearly stated -
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.
 
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ralliart12

ralliart12

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henrylbh said:
He borned before 1950?

The answer he received clearly stated -
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.
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Yup, 1944. I mistook "...into aaccount..." as wipe out.
 
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vsvs24

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For those who turn 55 and hit FRS, what did you do to shares in CPFIS ? Is it better to transfer them to CDP ?
 
reddevil0728

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vsvs24 said:
For those who turn 55 and hit FRS, what did you do to shares in CPFIS ? Is it better to transfer them to CDP ?
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why not keep the shares in CPFIS. then any dividends continue to be deposited into CPF OA earning 2.5%?
 
highsulphur

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vsvs24 said:
For those who turn 55 and hit FRS, what did you do to shares in CPFIS ? Is it better to transfer them to CDP ?
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You probably can't do that. Shares bought with cpf and SRS monies are ring-fenced
 
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vsvs24

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reddevil0728 said:
why not keep the shares in CPFIS. then any dividends continue to be deposited into CPF OA earning 2.5%?
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For retiree with no income. Moving to CDP will avoid the quarterly charge by bank. Get dividends in cash will reduce need to draw down cash from CPF after 55 which comes from SA first. Also easier for corporate action if in CDP than CPFIS.

Still need to pay to transfer to CDP ?
 
reddevil0728

reddevil0728

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vsvs24 said:
For retiree with no income. Moving to CDP will avoid the quarterly charge by bank. Get dividends in cash will reduce need to draw down cash from CPF after 55 which comes from SA first. Also easier for corporate action if in CDP than CPFIS.

Still need to pay to transfer to CDP ?
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then depends on circumstances lor.
 
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vsvs24

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zoneguard

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vsvs24 said:
Based on this, planning to withdraw say once a year, it is better to withdraw in Dec than in Jan following year.
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One of henrylbh's more recent posts mentioned you can actually do monthly withdrawals. Feb to withdraw Jan's accrued interest, Mar likewise for Feb and so on. Jan will withdraw last Dec's interest. Every year, only the first 11 months of interest for that year (and previous year's Dec) are added to principal in Dec because interest is earned on the lowest monthly balance each month.
 
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Moonwalker0921

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zoneguard said:
One of henrylbh's more recent posts mentioned you can actually do monthly withdrawals. Feb to withdraw Jan's accrued interest, Mar likewise for Feb and so on. Jan will withdraw last Dec's interest. Every year, only the first 11 months of interest for that year (and previous year's Dec) are added to principal in Dec because interest is earned on the lowest monthly balance each month.
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wonder does we get the interest on top of the CPF interest which are not credit to our CPF account monthly ?
 
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