CPF Retirement Sum Scheme

[Mecisteus]

You mean gov should set up a national retirement plan which requires elders to rent out their rooms for surviving.

As usual, you have such a foul mouth.

 

[assiak71]

Hi my kin is turning 65 and need to decide RSS or CPF Life soon. Wish to seek advice on which to go for. And resources to read up on for comparison. Thanks.

 

[foozgarden]

You may want to share your Excel spreadsheet for some here to take a look (when they are free to do so).
The old RSS must surely give higher payout p.m. than all current CPF Life plans by virtue that it only pays over 20 years and there is no need to pay for annuity insurance premiums.
Don't forget that for the old RSS scheme, as your RA balance reduces, they are still earning 4% p.a. interest every year.
XIRR return value sometimes can be a bit difficult to explain or check.
A better way to check your spreadsheet calculation whether it is correct would be to assume both CPF Life Standard plan and your old RSS scheme get same amount of payout p.m., and you should see that you still have so much higher Bequest at end of 20 years payout for RSS (vs almost $0 for CPF Life Standard plan).

it is to last 26 years. not 20. (as per the cpf letter that we got)

 

[foozgarden]

I am one of those born in 1957 (last cohort on RSS). Yes, the MS was $139k but I subsequently top it up to ERS when the option was available a few years later. Do you think CPF will stretch my payout from 65 to 95, citing the 'extra interest' that was given out as bonuses? I am still on RSS.

hi sir, i think this is quite similar situation to mine.
how much did cpf say you are getting per mth? from the letter sent to you?
our letter says ~ 1012 for 26 years (70-96) for old RSS.
but cpf life is ~1085 , based on the online cpf calculator.
both start from birthday payout.

what are you plans? to stay or change?
and why?

Hi my kin is turning 65 and need to decide RSS or CPF Life soon. Wish to seek advice on which to go for. And resources to read up on for comparison. Thanks.

advice? stay on this thread..

 

[dyland]

Started this thread in April last year.
Checked with CPF then, and was told we can request for 20 years payout so think it would be automatically approved (maybe too naive).

Checked with CPF again this week and was told can request (but it does not mean that they will approve -New rules from the reply seen in another thread).

Looks like we have to ll suck thumb

 

[dork32]

Started this thread in April last year.
Checked with CPF then, and was told we can request for 20 years payout so think it would be automatically approved (maybe too naive).

Checked with CPF again this week and was told can request (but it does not mean that they will approve -New rules from the reply seen in another thread).

Looks like we have to ll suck thumb

this why we all say that garmen can flip prata anytime. secretly some more.

having said that, i am for what the garmen is suggesting, rather than cpf life scheme.

to me, i prefer that it stretches for 35 years. I will be 100 by then. The payout will definitely outlive me. if this is the case, it is as good as cpf life.

better still, there will be guaranteed bequest because i cannot finish the ra.

i actually suggested something like that before. some idiots shot me down saying that it is going to incur higher cost to the garmen.

 

[dork32]

As usual, you have such a foul mouth.

not only does toni has a foul mouth, he does not contribute much here.

 

[ELKYme]

Believe you haven’t opted to join CPF life and the ERS top-up you did is still in your RA account?

It is highly UNLIKELY that CPF will stretch your payouts till you’re 95 as you’re still on the RSS scheme and not CPF life (I’m not sure though).

If the above is the case, it is also a pretty good situation to be in as you have 2 options:

Option 1
Remain status-quo and let the remaining funds in your RA to continue generating 4% interest.

Option 2
Opt to join CPF life (can do it anytime before you turn 80).

Best to make a trip down to CPF board to ask them exactly how much and how long is the monthly payout if you remain status-quo (get a black & white signed by the officer if possible).

Do your sums to see which is more beneficial for you with your own circumstances in mind. ~No need to rush to a decision, discuss with the family as you have plenty of time to decide whether to change to CPF life.

For more info on the differences between the 2 schemes:

https://dollarsandsense.sg/cpf-life-vs-retirement-sum-scheme-whats-difference/

I am one of those born in 1957 (last cohort on RSS). Yes, the MS was $139k but I subsequently top it up to ERS when the option was available a few years later. Do you think CPF will stretch my payout from 65 to 95, citing the 'extra interest' that was given out as bonuses? I am still on RSS.

 

[dork32]

hi sir, i think this is quite similar situation to mine.
how much did cpf say you are getting per mth? from the letter sent to you?
our letter says ~ 1012 for 26 years (70-96) for old RSS.
but cpf life is ~1085 , based on the online cpf calculator.
both start from birthday payout.

what are you plans? to stay or change?
and why?

advice? stay on this thread..

the way that you have been posting shows that you are very lost.

your cpf life is probably standard.

on the surface, you would be an idiot if you choose rss. 1012 for 26 years vs 1085 for life.

you have to compare the bequest value vs the monthly payout to make a fair comparison.

and do not give me the bbc crab that you are an imoortal

 

[Battery Operator]

How I interprete the rules : If u start payout at 65, plus 20 years = 85, plus up to 5 years for the interest payout = 90. If u start payout 70, then it will be up to 95.

Only those who qualify can use the CPF RSS calculator. Login with singpass and use the calculator to check for yourself, then share with us.

As requested, I logged into CPF using SingPass.

Under Calculator>Retirement>Retirement Sum Scheme (RSS) Payout Calculator, appears I cannot access the RSS Calculator. The message I received on clicking:

"Please email CPF Board at retirement@cpf.gov.sg to enquire further about RSS payouts instead"

.any thoughts?

(I just turn 61 in Dec 2018)

 

[Battery Operator]

Believe you haven’t opted to join CPF life and the ERS top-up you did is still in your RA account?

It is highly UNLIKELY that CPF will stretch your payouts till you’re 95 as you’re still on the RSS scheme and not CPF life (I’m not sure though).

If the above is the case, it is also a pretty good situation to be in as you have 2 options:

Option 1
Remain status-quo and let the remaining funds in your RA to continue generating 4% interest.

Option 2
Opt to join CPF life (can do it anytime before you turn 80).

Best to make a trip down to CPF board to ask them exactly how much and how long is the monthly payout if you remain status-quo (get a black & white signed by the officer if possible).

Do your sums to see which is more beneficial for you with your own circumstances in mind. ~No need to rush to a decision, discuss with the family as you have plenty of time to decide whether to change to CPF life.

For more info on the differences between the 2 schemes:

https://dollarsandsense.sg/cpf-life-vs-retirement-sum-scheme-whats-difference/

Thanks for the input.

Yes, have NOT opted for CPF Life Plans, and agree with you that have until 80 should I then decide (but highly likely to remain status quo with the RSS). I shall make a trip down to CPF to make enquiries on the status of my RSS's payout at PEA. A few years ago when I did the cash top up to ERS, I did casually ask them about an estimate monthly payout, the officer just verbally mention a figure. It is a good idea as you suggested, to see if I can get a signed letter to confirm my status quo on my RSS when I am 65, but I doubt they will. See how

 

[maple96]

As requested, I logged into CPF using SingPass.

Under Calculator>Retirement>Retirement Sum Scheme (RSS) Payout Calculator, appears I cannot access the RSS Calculator. The message I received on clicking:

"Please email CPF Board at retirement@cpf.gov.sg to enquire further about RSS payouts instead"

.any thoughts?

(I just turn 61 in Dec 2018)

ok I just checked, to use the calculator, u have to be born before 1957, u born Dec 1957 so cannot use.

U did not opt to join CPF Life?

Looks like u need to email CPF to get info

Based on the rules, if u start payout at 65, it will last u till 85 plus at least 5 more years. If u stay on RSS (my preference if I can), u can still continue to topup RA to earn the interest plus get more payouts. Start payout at 65, dun need the money, topup RA, this will increase your payout one year later, go on and on to increase future payouts, so long there is still gap to ERS. Huat ah!

At 79.5, if u think u will live longer then 95, then rethink whether u want to CPF Life before 80 with the min amt required to join the Basic Plan!

 

[Battery Operator]

hi sir, i think this is quite similar situation to mine.
how much did cpf say you are getting per mth? from the letter sent to you?
our letter says ~ 1012 for 26 years (70-96) for old RSS.
but cpf life is ~1085 , based on the online cpf calculator.
both start from birthday payout.

what are you plans? to stay or change?
and why?

I have yet to reach my PEA at 65 as mentioned a few threads back. Hence, no letter yet from CPF until then.

 

[Battery Operator]

ok I just checked, to use the calculator, u have to be born before 1957, u born Dec 1957 so cannot use.

U did not opt to join CPF Life?

Looks like u need to email CPF to get info

If I am not mistaken, those born 1 Jan 1958 onwards will be under CPF Life. And since I was born Dec 1957 (you are right), I am under the old RSS, the last cohort, so to speak.

 

[maple96]

If I am not mistaken, those born 1 Jan 1958 onwards will be under CPF Life. And since I was born Dec 1957 (you are right), I am under the old RSS, the last cohort, so to speak.

I added more suggestions to my prior post.

There are some born before 1958 who opted to join CPF life to claim the bonus given. There are some who also joined CPF Life later thinking it is better.

So long u did not opt in, u shld be RSS, check your CPF statement which will show if u are on CPF Life as some monies wld have been transferred there.

 

[Battery Operator]

I added more suggestions to my prior post.

There are some born before 1958 who opted to join CPF life to claim the bonus given. There are some who also joined CPF Life later thinking it is better.

So long u did not opt in, u shld be RSS, check your CPF statement which will show if u are on CPF Life as some monies wld have been transferred there.

No premiums deducted for CPF Life since turning 55; and back then, CPF informed me that I will be on RSS and option to join CPF Life plans (If I wish to, anytime from 55 to 80 years of age)

 

[Battery Operator]

I added more suggestions to my prior post.

Agree, as in 'recyling' back the funds back to RA, if thankfully I can afford to live on my other means.

It can be seen that the old RSS scheme has more flexibility, gives the owner (for the lack of a better word) 'autonomous' in managing our own money. I hope I don't speak too soon... with so many changes being introduced, hopefully is for everyone's interest at heart.

Cheers!

 

[ELKYme]

Awesome!

If you believe you have good odds to live long (past 90) than consider to switch, otherwise just remain status-quo.
The major difference between the 2 schemes in my opinion, is the longevity insurance that CPF life has that RSS doesn’t.

Obviously, this insurance doesn’t come free as you’ll be contributing to the life pool....Actually, this contribution is the root cause of many disagreements and arguments in many of the threads here.

Thanks for the input.

Yes, have NOT opted for CPF Life Plans, and agree with you that have until 80 should I then decide (but highly likely to remain status quo with the RSS). I shall make a trip down to CPF to make enquiries on the status of my RSS's payout at PEA. A few years ago when I did the cash top up to ERS, I did casually ask them about an estimate monthly payout, the officer just verbally mention a figure. It is a good idea as you suggested, to see if I can get a signed letter to confirm my status quo on my RSS when I am 65, but I doubt they will. See how

 

[maple96]

Agree, as in 'recyling' back the funds back to RA, if thankfully I can afford to live on my other means.

It can be seen that the old RSS scheme has more flexibility, gives the owner (for the lack of a better word) 'autonomous' in managing our own money. I hope I don't speak too soon... with so many changes being introduced, hopefully is for everyone's interest at heart.

Cheers!

spot on! changes unlikely to affect RA, only if they drop interest rate

 

[Toni90]

Agree, as in 'recyling' back the funds back to RA, if thankfully I can afford to live on my other means.

It can be seen that the old RSS scheme has more flexibility, gives the owner (for the lack of a better word) 'autonomous' in managing our own money. I hope I don't speak too soon... with so many changes being introduced, hopefully is for everyone's interest at heart.

Cheers!

CPF Life designed to help u lah. If 80 and still strong and healthy then quick quick change. Good, right?