CPF Top up questions

[a4973]

No, you still haven't got it

The article is not clear, but there is a sentence that mentioned ' .... the pleged property must be worth at least $88,000 ......' but the writer did not elaborate further

Yes I know for 55@2019 my share of the pledge must be at least 88k so that's why I left 90k outstanding for my OA used for property.

 

[rrr2015]

i think this article explains difference between property pledge vs charge

from what i understand from article, what you doing now is to leave sufficient property charge to withdraw amount above BRS if required in the future.

if property charge is insufficient, then you need to sign a property pledge to provide guarantee that RA will be topup to FRS (not sure if need to include accrued interest though) after selling property.

Yes I know for 55@2019 my share of the pledge must be at least 88k so that's why I left 90k outstanding for my OA used for property.

 

[henrylbh]

Yes I know for 55@2019 my share of the pledge must be at least 88k so that's why I left 90k outstanding for my OA used for property.

You are doing or going to do is not wrong but it is not a must do to opt for BRS.

I have a hdb flat fully paid up by cash i.e. no CPF is used. Can I not opt for to withdraw qualifying RA in excess of BRS? Yes, according to HDB.

 

[a4973]

You are doing or going to do is not wrong but it is not a must do to opt for BRS.

I have a hdb flat fully paid up by cash i.e. no CPF is used. Can I not opt for to withdraw qualifying RA in excess of BRS? Yes, according to HDB.

Thanks for the update, since bank interest so low look like I will refund the 90k. In the event in future if I want to drawdown to BRS then pledge. Don't waste interest currently.

 

[henrylbh]

Thanks for the update, since bank interest so low look like I will refund the 90k. In the event in future if I want to drawdown to BRS then pledge. Don't waste interest currently.

pledge will cost some money compared to charge.

 

[polyglob]

I am thinking of switching out some of my stocks to bonds or cash. I could buy bond funds like A35/MBH, put in FD, or possibly refund my CPF used for housing.

I will be 55 within 24 months. My current OA+SA is above FRS. My thinking wrt refunding to CPF is that it is like a ~24-month FD at 2.5%. But if I place the money into FD instead, very likely I will go for shorter term like 3-9 months and not 24 months.

What other factors should I consider for refunding to CPF? TIA.

 

[henrylbh]

i think this article explains difference between property pledge vs charge

from what i understand from article, what you doing now is to leave sufficient property charge to withdraw amount above BRS if required in the future.

if property charge is insufficient, then you need to sign a property pledge to provide guarantee that RA will be topup to FRS (not sure if need to include accrued interest though) after selling property.

No, the article is more focus on withdrawal of amount above BRS with sufficient property/pledge and failed to explain further what is a charge and a pledge. As long as CPF is used, the property is all the time under charge until money is returned to CPF, whether above or below 55.

 

[a4973]

pledge will cost some money compared to charge.

Can please elaborate why & how pledge will cost more than charge? Thanks

 

[rrr2015]

oops paiseh, i forgot to add the link
https://dollarsandsense.sg/accrued-interest-vs-property-charge-vs-property-pledge-differences/

so for property pledge, we need to pay for property valuation & statutory charges? how much these will costs us?

No, the article is more focus on withdrawal of amount above BRS with sufficient property/pledge and failed to explain further what is a charge and a pledge. As long as CPF is used, the property is all the time under charge until money is returned to CPF, whether above or below 55.

 

[a4973]

https://dollarsandsense.sg/accrued-interest-vs-property-charge-vs-property-pledge-differences/

 

[SkyNinja]

Pledge is a terrible word. Not clear.

 

[henrylbh]

https://dollarsandsense.sg/accrued-interest-vs-property-charge-vs-property-pledge-differences/

This one also lousy article not clear

 

[henrylbh]

Pledge is a terrible word. Not clear.

Why not clear?

Who can give a pledge without honour or integrity or, most importantly, asset?

 

[kks_ng_id]

Anyone already received notice of assessment? I just received mine, but my CPF top up relief only being given half (I top up for myself and my spouse). Anyone faced the same issue with me?

Will call tomorrow to check. First time government service (IRAS) got this kind of issue. Last year it was okay

 

[reddevil0728]

Anyone already received notice of assessment? I just received mine, but my CPF top up relief only being given half (I top up for myself and my spouse). Anyone faced the same issue with me?

Will call tomorrow to check. First time government service (IRAS) got this kind of issue. Last year it was okay

How much did you top up for yourself and your spouse?

For spouse there is criteria you know

 

[fr33d0m]

Anyone already received notice of assessment? I just received mine, but my CPF top up relief only being given half (I top up for myself and my spouse). Anyone faced the same issue with me?

Will call tomorrow to check. First time government service (IRAS) got this kind of issue. Last year it was okay

Your spouse need below $4,000 annual income for you to enjoy tax relief when you top up his/her CPF SA or RA.

 

[kks_ng_id]

Your spouse need below $4,000 annual income for you to enjoy tax relief when you top up his/her CPF SA or RA.

My wife has not been working since 8 years ago. I topped up 7k each, but relief given is only 7k. Last year assessment given was 14k. I am really puzzled.

 

[reddevil0728]

My wife has not been working since 8 years ago. I topped up 7k each, but relief given is only 7k. Last year assessment given was 14k. I am really puzzled.

Have you/your wife hit FRS? cause relief is only given up to FRS

 

[kks_ng_id]

Have you/your wife hit FRS? cause relief is only given up to FRS

No. She has not been working for 8 years and her CPF has been stagnant for quite long. I understand the whole process and still could not figure out why.

Nvm. I will call IRAS tomorrow. But if it is issue with IRAS or CPF, this will be my first time that I encounter a mistake at government service which must be very vary rare

 

[reddevil0728]

No. She has not been working for 8 years and her CPF has been stagnant for quite long. I understand the whole process and still could not figure out why.

Nvm. I will call IRAS tomorrow. But if it is issue with IRAS or CPF, this will be my first time that I encounter a mistake at government service which must be very vary rare

what about yourself?