do u do SRS?

[weng0202]

Will you put 15.3k into SRS for 2k tax savings? Or keep the 15.3k liquid and pay the 2k tax instead?

Can put the 15.3k into investments. I'm putting 1k monthly into Amundi World index ETF fund via Poems.

 

[weng0202]

btw, what's the age that can withdraw SRS ah?

Depends on when you opened the account. I think earliest is 62 for those who opened the account in the past. Not sure what is the year now.

You can also withdraw earlier but there will be a penalty plus you need to add it to your assessable income for income tax.

 

[yuzu28]

right.. if kena retrenched can take out

If jobless can take out? Ownself resign no job kind.

 

[standarture]

The irony is if you want to invest your SRS, it is better to invest direct in the fund itself LOL

 

[dev_stg_prd]

If jobless can take out? Ownself resign no job kind.

5% penalty

 

[ringrain_78]

The irony is if you want to invest your SRS, it is better to invest direct in the fund itself LOL

The main use of SRS is to increase tax relief component to reduce some taxes. I feel this will be most suitable for working adults around 30s and above on assumption they are earning an income amount which attracts higher tax brackets, hence, the incentive to reduce some tax and use that SRS to invest.

For those who just started working in their early 20s to late 20s, I assume they shouldn't have much tax burdens and therefore, investing the money directly would be more suitable.

 

[chiokcc]

Set up and top-up at least $1 today to lock in the official retirement age of 63 ......

 

[shodan99]

I would rather put money in a bank where as can withdraw anytime, no tax.
The interest is not attractive for SRS.

the real objective is to invest your srs for better yield

 

[chiokcc]

SRS is a form of tax deferment, not exactly reduction ......

 

[cosmothecat]

I would rather put money in a bank where as can withdraw anytime, no tax.
The interest is not attractive for SRS.

Breaking news: SRS money is placed with a bank.

 

[elmohootbigbird]

SRS is a form of tax deferment, not exactly reduction ......

whether it is deferment or reduction, depends on strategy during withdrawal.

 

[BiG_FisH]

top up SRS or CPF a better move?

 

[moonlighter_sg]

If jobless can take out? Ownself resign no job kind.

If you see yourself jobless soon, think twice before lock your money in SRS.

5% penalty plus entire amount is fully taxable.

 

[samba fan]

Sequent of event
1 Jan - Park $15300 in SRS
10 Jan buyed n21u - 12,600 @ 1.21
Mar div - $252
Jun div - $245.7
Sep div - $253.26
Dec div - S$253.26

Total div earned- S$1004.22
Total tax saving - S$2295
Total saving - S$3299.22
Return - 21.56%

repeat the above in 2026

What is n21u?

 

[divineone]

My thought process is this. I have sg-listed stocks bought hsing cash. Might as well top up srs and if need be convert the cash holdings to srs.

Truth is I didn't sell my cash holdings and just bought more using srs

 

[weng0202]

The main use of SRS is to increase tax relief component to reduce some taxes. I feel this will be most suitable for working adults around 30s and above on assumption they are earning an income amount which attracts higher tax brackets, hence, the incentive to reduce some tax and use that SRS to invest.

For those who just started working in their early 20s to late 20s, I assume they shouldn't have much tax burdens and therefore, investing the money directly would be more suitable.

Yeah, I'm putting my money that I wanna invest into SRS and then use it to buy world index etf. I will save on taxes and get to invest at the same time. Kill two birds with one stone.

 

[weng0202]

I would rather put money in a bank where as can withdraw anytime, no tax.
The interest is not attractive for SRS.

Would be quite silly to leave the money in SRS to earn the interest.

 

[Bam25th]

SRS is a form of tax deferment, not exactly reduction ......

It is tax reduction if you withdraw AFTER you retired and has no employment income.

And it is also a form of forced savings/investment like CPF, though with some benefits like the ability to withdraw money in emergency (but if you do that, then it became an expensive tax deferment).

 

[inmyopinion]

working mothers dont have this issue - tax relief.

can hit $80k tax relief. No need think of SRS

 

[Acetron]

What is n21u?

Maple tree Pan Asia Commercial Trust