CPF ERS and FRS Question

[yanfxl]

Hi,

When you turn 55, assuming you have enough CPF, the FRS will be created by default.

If you wish for higher payout with ERS instead, when should you top up the FRS to ERS? Right when you turn 55 or when you turn 65? Or any other time?

Thx.

 

[zeroX26]

Hi,

When you turn 55, assuming you have enough CPF, the FRS will be created by default.

If you wish for higher payout with ERS instead, when should you top up the FRS to ERS? Right when you turn 55 or when you turn 65? Or any other time?

Thx.

When u r 55 and above.

 

[BBCWatcher]

If you wish for higher payout with ERS instead, when should you top up the FRS to ERS? Right when you turn 55 or when you turn 65? Or any other time?

The best you can do is to raise your new Retirement Account to the Enhanced Retirement Sum at the end of your birthday month (but within your birthday month). Then you'll earn interest on the added dollars starting from the next month.

You can also continue adding funds to your Retirement Account every time the ERS is raised. And you can do that for the rest of your life if you wish.

Finally, starting CPF LIFE payouts at age 70 (the default) results in the highest attainable monthly payout amounts whichever payout plan you pick.

 

[magicming]

Hi,

When you turn 55, assuming you have enough CPF, the FRS will be created by default.

If you wish for higher payout with ERS instead, when should you top up the FRS to ERS? Right when you turn 55 or when you turn 65? Or any other time?

Thx.

Once your RA is created, the CPF website will tell how much u can top up to reach the current ERS. They will tell u this forever. So u can top up immediately or do bit by bit. Or wait till 65 or 70. Or later. Or never. All your choice. But once the $ is in RA, got to take some efforts to take it out as a lump sum. So, think carefully before u top up.

 

[BBCWatcher]

But once the $ is in RA, got to take some efforts to take it out as a lump sum. So, think carefully before u top up.

You cannot make a lump sum withdrawal of the specific dollars you add to your CPF Retirement Account, or of the interest on those specific dollars. But adding funds to a Retirement Account doesn't change any existing lump sum withdrawal options you have. In fact, since adding funds to a Retirement Account boosts your CPF LIFE payouts it may make a lump sum withdrawal (if you need one) more palatable than otherwise.

 

[chong18]

Once your RA is created, the CPF website will tell how much u can top up to reach the current ERS. They will tell u this forever. So u can top up immediately or do bit by bit. Or wait till 65 or 70. Or later. Or never. All your choice. But once the $ is in RA, got to take some efforts to take it out as a lump sum. So, think carefully before u top up.

Will they tell you how much is the estimated CPF life payouts every time you top up?

 

[Guojing88]

Hi,

When you turn 55, assuming you have enough CPF, the FRS will be created by default.

If you wish for higher payout with ERS instead, when should you top up the FRS to ERS? Right when you turn 55 or when you turn 65? Or any other time?

Thx.

Ideally, use cash to top up the FRS to ERS at 55, and leave the remaining SA inside.