CPF SA

[Ace King]

to illustrate what i mean:

eg i have 200k oa and 200k sa at 54 and brs is 90k.
i shield 150k oa and 160k sa
so i have oa 50k and sa 40k
ra formed with 90k left.
i choose brs.
i unshield. so i have 150k in oa, 160k in sa and 90k in ra.
oa and sa can be completely after this.

Using this eg., do we need to shield oa? Is brs with property pledge a choice and thus only 50K is taken from oa even when it is not shielded?

 

[RoLanTo]

So, in the end, what is the best combo ah? to squeeze every drop of my money out of it? preferable payout start 65, irregardless i die young or old age (>70), the combo gives me best value.

I got 200k in OA, and 200k SA.

Should i:
1) shield SA, RA form with remaining OA+SA to FRS, then standard plan payout at 65
2) shield SA, RA form with remaining OA+SA to FRS, then basic plan payout at 65
3) shield OA n SA, RA form with remaining OA+SA to BRS, then standard plan payout at 65
4) shield OA n SA, RA form with remaining OA+SA to BRS, then basic plan payout at 65

option 3 and 4 above can choose standard/basic plan? i am not sure.
benefit is withdraw the balance in OA and use for personal investment?
can this be done? wont the withdrawal drawdown from SA first?
Unless, it is possible to explore unshield OA, withdraw, then unshield SA ??

 

[Andrew833]

So, in the end, what is the best combo ah? to squeeze every drop of my money out of it? preferable payout start 65, irregardless i die young or old age (>70), the combo gives me best value.

I got 200k in OA, and 200k SA.

Should i:
1) shield SA, RA form with remaining OA+SA to FRS, then standard plan payout at 65
2) shield SA, RA form with remaining OA+SA to FRS, then basic plan payout at 65
3) shield OA n SA, RA form with remaining OA+SA to BRS, then standard plan payout at 65
4) shield OA n SA, RA form with remaining OA+SA to BRS, then basic plan payout at 65

option 3 and 4 above can choose standard/basic plan? i am not sure.
benefit is withdraw the balance in OA and use for personal investment?
can this be done? wont the withdrawal drawdown from SA first?
Unless, it is possible to explore unshield OA, withdraw, then unshield SA ??

I plan for (1), but I also use OA for investment. So before 55, I will shield SA, unshield OA (investment).
After 55, withdraw OA, then unshield SA.
Therefore, SA est. 100k RA FRS.

 

[RoLanTo]

added your idea and come out another option 5... maybe not same like yours.

1) shield SA, RA form with remaining OA+SA to FRS, then standard plan payout at 65. Withdraw yearly interest earn in OA+SA remaining.
2) shield SA, RA form with remaining OA+SA to FRS, then basic plan payout at 65. Withdraw yearly interest earn in OA+SA remaining.
3) shield OA n SA, RA form with remaining OA+SA to BRS, then standard plan payout at 65. Withdraw yearly interest earn in OA+SA remaining.
4) shield OA n SA, RA form with remaining OA+SA to BRS, then basic plan payout at 65.Withdraw yearly interest earn in OA+SA remaining.
5) shield OA n SA, RA form with remaining OA+SA to FRS. Unshield OA, withdraw OA, then unshield SA keep inside. standard plan payout at 65. Withdraw yearly interest earn in SA remaining.

3 & 4 dont know can be done or not, because it is BRS

 

[Andrew833]

added your idea and come out another option 5... maybe not same like yours.

1) shield SA, RA form with remaining OA+SA to FRS, then standard plan payout at 65. Withdraw yearly interest earn in OA+SA remaining.
2) shield SA, RA form with remaining OA+SA to FRS, then basic plan payout at 65. Withdraw yearly interest earn in OA+SA remaining.
3) shield OA n SA, RA form with remaining OA+SA to BRS, then standard plan payout at 65. Withdraw yearly interest earn in OA+SA remaining.
4) shield OA n SA, RA form with remaining OA+SA to BRS, then basic plan payout at 65.Withdraw yearly interest earn in OA+SA remaining.
5) shield OA n SA, RA form with remaining OA+SA to FRS. Unshield OA, withdraw OA, then unshield SA keep inside. standard plan payout at 65. Withdraw yearly interest earn in SA remaining.

3 & 4 dont know can be done or not, because it is BRS

3 & 4 cannot, cos after 55, withdraw will from SA first.
I understand it from members here.

 

[celtosaxon]

added your idea and come out another option 5... maybe not same like yours.

1) shield SA, RA form with remaining OA+SA to FRS, then standard plan payout at 65. Withdraw yearly interest earn in OA+SA remaining.
2) shield SA, RA form with remaining OA+SA to FRS, then basic plan payout at 65. Withdraw yearly interest earn in OA+SA remaining.
3) shield OA n SA, RA form with remaining OA+SA to BRS, then standard plan payout at 65. Withdraw yearly interest earn in OA+SA remaining.
4) shield OA n SA, RA form with remaining OA+SA to BRS, then basic plan payout at 65.Withdraw yearly interest earn in OA+SA remaining.
5) shield OA n SA, RA form with remaining OA+SA to FRS. Unshield OA, withdraw OA, then unshield SA keep inside. standard plan payout at 65. Withdraw yearly interest earn in SA remaining.

3 & 4 dont know can be done or not, because it is BRS

I think it depends on your overall investment mix (equities vs. bonds or bond-like) including CPF as bond-like.

If low on the equity side, shield OA and withdraw and invest OA into equities. If low on the bond side, let OA flow to RA, consider ERS if still low on the bond side.

 

[cal3135]

(2) will be a good option. Clean n simple.

I got 200k in OA, and 200k SA.

Should i:
2) shield SA, RA form with remaining OA+SA to FRS, then basic plan payout at 65
?

xs HardwareZone Forums app

 

[Kaypohji]

I thought regardless BRS or FRS

As long as u r withdrawing from ur sa or oa, money will have to come from sa first.

Even u take up frs, then u wanna withdraw money from oa or sa, u still have to finish sa first before u can start to drawdown on oa

3 & 4 cannot, cos after 55, withdraw will from SA first.
I understand it from members here.

 

[dork32]

this shield of oa for brs is people like me.

1. oa is to be used for property repayment so i dont want it to be swept into the ra. i still have an substantial outstanding loan.

2. i am not willing to top up to frs, ers using my cash

3. though i may not withdraw immediately, i want to retain the option withdrawing it anytime in the future.

 

[Andrew833]

I thought regardless BRS or FRS

As long as u r withdrawing from ur sa or oa, money will have to come from sa first.

Even u take up frs, then u wanna withdraw money from oa or sa, u still have to finish sa first before u can start to drawdown on oa

Yes, your are correct. That's why I need to shield SA, withdraw OA then unshield SA.

 

[dork32]

Yes, your are correct. That's why I need to shield SA, withdraw OA then unshield SA.

rich guy like you will have no problem withdrawing at 55.

i may not be as rich. i have a substantial property loan. i will not want to risk a big loan at 55 without backup money. my stash of oa is to counter this risk. i dont want to risk gambling my oa when i have this loan.

 

[dork32]

Yes, your are correct. That's why I need to shield SA, withdraw OA then unshield SA.

i see some contradictions here as well.

if cpf is good, why not use oa to top up to ers?

if cpf is no good, why not just keep brs. you can withdraw more from your oa.

 

[Tiger9119]

Yes, your are correct. That's why I need to shield SA, withdraw OA then unshield SA.

How to shield SA after 55?
The first 40k cannot be invested. Any withdrawal after 55 will come from this 40k in SA first.

From CPF:

Q. Can I continue to invest under the CPF Investment Schemes beyond age 55?

A. You can continue to invest even after age 55, as long as you have set aside your Full Retirement Sum (FRS) in the Retirement Account. The FRS can be set aside fully with cash, or with cash (i.e. at least the Basic Retirement Sum) and property. In addition, you will not be able to invest the first $20,000 in your Ordinary Account and the first $40,000 in your Special Account.

https://www.cpf.gov.sg/members/FAQ/... to invest,Basic Retirement Sum) and property.

 

[polyglob]

i see some contradictions here as well.

if cpf is good, why not use oa to top up to ers?

if cpf is no good, why not just keep brs. you can withdraw more from your oa.

Possible scenario: One has a 60-40 stock-bond portfolio. CPF is counted as part of bond component. Going up to ERS or down to BRS throws the allocation ratio off.

 

[crimsontactics]

Dunno why but I'm starting to regret pumping $100k into my CPF...

Scared Gov change policy again...

Sent from . using GAGT

 

[dork32]

Dunno why but I'm starting to regret pumping $100k into my CPF...

Scared Gov change policy again...

Sent from . using GAGT

Not surprised with this. you pumped up your cpf when you are in your twenties. at this stage of life, you are still living with your parents. usually you do not need a lot money. spare cash is being placed into cpf to earn the higher interest.

when you are in your thirties and early forties, there may be a lot of big ticket items to be bought. expenses is also high during this stage. cash is important in this stage. you may regret pumping your cpf as the money can be put to better use.

in your late forties and fifities, you will be close to your withdrawal age. you can start to smell the cpf money now. your 100k would have doubled by then. you would be very glad to have pumped in when you were young.

do worry. if you wait long enuf, you will get into this happy stage again.

 

[Kaypohji]

I agree with dork32

I feel there is nth to regret. U can just stop doing that for now. Divert ur future cash to other uses

Ur 100k will roll into a lot of amount in the future when u r 55 onwards

With such a large I think u have nth to worry... even they raise the frs amount, u can still meet it easily. And have surplus to withdraw

 

[crimsontactics]

Not surprised with this. you pumped up your cpf when you are in your twenties. at this stage of life, you are still living with your parents. usually you do not need a lot money. spare cash is being placed into cpf to earn the higher interest.

when you are in your thirties and early forties, there may be a lot of big ticket items to be bought. expenses is also high during this stage. cash is important in this stage. you may regret pumping your cpf as the money can be put to better use.

in your late forties and fifities, you will be close to your withdrawal age. you can start to smell the cpf money now. your 100k would have doubled by then. you would be very glad to have pumped in when you were young.

do worry. if you wait long enuf, you will get into this happy stage again.

Is there still time to repent Bro dork32?

Sent from . using GAGT

 

[crimsontactics]

I agree with dork32

I feel there is nth to regret. U can just stop doing that for now. Divert ur future cash to other uses

Ur 100k will roll into a lot of amount in the future when u r 55 onwards

With such a large I think u have nth to worry... even they raise the frs amount, u can still meet it easily. And have surplus to withdraw

I no scared minimum sum, but I scared withdrawal age increase.

Sent from . using GAGT

 

[culture_counter]

20k FD just matured. Current FD interest rate only 0.75% very low. Is it wise to topup cpf OA for 2.5% interest?