CPF SA

[jnashville]

Nothing to do with age or liquidity tbh.

All to do with investment ability and risk tolerance.

Ppl who are not good at investing should just pump CPF, even if they are young.

Ppl who are good at investing shouldn't pump into CPF, even if they are old.

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well said.

i am not good with investing or have time to learn, thus the SA account for retirement is a good tool for my needs. the thought of it tripling after 30 years is a no brainer.

Will SA account interest rates change or its fixed no matter the economy?

 

[crimsontactics]

well said.

i am not good with investing or have time to learn, thus the SA account for retirement is a good tool for my needs. the thought of it tripling after 30 years is a no brainer.

Will SA account interest rates change or its fixed no matter the economy?

SA interest rate is not fixed...

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[jnashville]

SA interest rate is not fixed...

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knew it..

so not sure should i put money in now or wait ahha..

 

[crimsontactics]

knew it..

so not sure should i put money in now or wait ahha..

Put some lor...

Like invest in stocks, no need to pump everything at once...

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[highsulphur]

Put some lor...


Like invest in stocks, no need to pump everything at once...


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SA rate is supposed to be a function of long term Singapore Government Securities yield which has calculated to be below 4% for the past many years. However G has set the floor to be 4% to be renewed annually. Personally I don't think they will remove the floor given all the debate on the adequacy of CPF for retirement. Plus it would be politically suicide to adjust such a benchmark rate. I'm prepared to take that risk. It's up to individuals.

 

[luei74]

Wonder how the next gen surviving in SG

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[terence2112]

On the contrary, if I’m CPF board, I might be worried that many of us manages to have their FRS/ERS.
This would mean that I need to find a way to commit your LIfE payout for a lifetime.

 

[KnyghtRyder]

my OA is use for housing. so wanna put in cash. i got too much cash that is lying around..but do not know about investments like stocks etc as that comes with risk.

so SA is the best since i dont need the money. able to top up using cash right? what is the max amount

If you are below 55 years old, you can top up the SA with cash up to the prevailing FRS.

 

[KnyghtRyder]

What's the max amount?

You can top up your CPF up to the FRS lor.....

 

[KnyghtRyder]

theres edwmers who condemn cpf as a retirement option.

I think they are being cheeky only.. maybe secretly all are topping up gao gao

 

[bwaysaikryptonite]

On the contrary, if I’m CPF board, I might be worried that many of us manages to have their FRS/ERS.
This would mean that I need to find a way to commit your LIfE payout for a lifetime.

Easy....juz keep increasing minimum sum to lock in more peepur $....

Another 1 just flip a new policy to slow down teh payment rate by dragging and increase population of cpf paying peepur

 

[C_boliao]

Sorry, noob here. How is 300k enough for retirement, assuming you have 300k in sa.

From 55—85 years old. A good 30 years with 300k. Each year only 10k. Every month less than 1k to draw out.

In my case wife not working at all, but that time the 2 of us sure jiak sia one la.

yup. of course i wouldnt put even 25 percent of my current liquid cash to SA. just a good amount so that it can triple up and have a good amount of cpf life payments as allowance as i retire.

 

[KnyghtRyder]

knew it..

so not sure should i put money in now or wait ahha..

Technically true.. but the floor rate is effectively 4%

Can go higher though.. still say no?

 

[KnyghtRyder]

Easy....juz keep increasing minimum sum to lock in more peepur $....

Another 1 just flip a new policy to slow down teh payment rate by dragging and increase population of cpf paying peepur

Actually they have to keep increasing the FRS or else next time your monthly payout will be peanuts.. in order for the monthly payout to be at least a decent amount, the FRS has to increase..

 

[crimsontactics]

Sorry, noob here. How is 300k enough for retirement, assuming you have 300k in sa.

From 55—85 years old. A good 30 years with 300k. Each year only 10k. Every month less than 1k to draw out.

In my case wife not working at all, but that time the 2 of us sure jiak sia one la.

Adjust your living standards lor...

Spend $1k a month should be enough for $300k in CPF...

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[jnashville]

Sorry, noob here. How is 300k enough for retirement, assuming you have 300k in sa.

From 55—85 years old. A good 30 years with 300k. Each year only 10k. Every month less than 1k to draw out.

In my case wife not working at all, but that time the 2 of us sure jiak sia one la.

bro...

u never heard of cpf life?
go google it.

300k in cpf doesnt mean thats the max cap amount that u are withdrawing from. CPF life is a annuity life plan that pays you till death.

And den again, no one says that u are solely to based on your CPF for retirement. if u have 300k in your SA, its more than definite u will have more cash savings than in your cpf.

i treat CPF life as one of my retirement tools to fund my daily meal allowances and bills. definitely will have much more liquid cash in my retirement.

 

[rayleigh]

Hi the interest from OA or SA? Thinking of doing the same.

PLease do s if you can afford. I had done so prior to me reaching 55 and for my home-maker wife too. and continue to do so after 55 (because after 55, I can withdraw anytime, so to me CPF is like my bank now with at least 2.5% per annum). Aiming o collect $20k interest from CPF per year as passive income. Now only about 12k plus.

 

[bossjiaksai]

CPF is generally a function of age

Too much in CPF means you are slowly growing old. In your 30s, 40s and 50s soon. What is that few hundred k when you are at that age

Time is more precious

 

[Prismatic]

Wonder how the next gen surviving in SG

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That's why some people start topping up their kids' CPF once they are born. Give them about 20 years headstart in interest rates before they start work.

No endowment funds can beat the interest rates CPFB pays.

 

[fandango]

This cpf thread is very unique and constructive because some contributed the screenshot of their cpf account within the first few pages.

Very little of the "cpf is not your money" bashing.