RA (CPF question)

[cupidsux]

I understand that the current situation is minimum sum $155,000 and Medisave $43,500

A quick question would be payout will start at age 65, if the person have $355,000 . Then 1 year later at age 66, he choose to voluntarily withdraw $200k out ? Is it possible ?

+ how do they tabulate the monthly payout ?

Sorry for the inconveniences . Appreciated.

 

[Perisher]

Not a cpf pro, bump for you and see who can answer you.
Otherwise, call cpf is a better solution.
https://www.cpf.gov.sg/Members/Contact/call-us

 

[lb95010]

Source:
https://www.cpf.gov.sg/Members/Schemes/schemes/retirement/cpf-withdrawals-at-55-years-old

 

[peacefulday]

I understand that the current situation is minimum sum $155,000 and Medisave $43,500

A quick question would be payout will start at age 65, if the person have $355,000 . Then 1 year later at age 66, he choose to voluntarily withdraw $200k out ? Is it possible ?

+ how do they tabulate the monthly payout ?

Sorry for the inconveniences . Appreciated.

I not a cpf pro too, but I think there are 3 options something like basic retirement plan - approx.80k, full retirement - approx.161k, enhanced retirement - approx. 241k as of current years.

thus $355,000 - his option retirement plan chosen (minimum sum need to maintain in RA that year) = eligible sum can take out bah?

can someone correct me if wrong

 

[cupidsux]

Thank you . Didn't know there is so many plan for CPF =_= scary . Think later I will browse the cpf Web site again then call them to enquire . Thank you all for you kind assistance . Appreciated

 

[hwmook]

I understand that the current situation is minimum sum $155,000 and Medisave $43,500

A quick question would be payout will start at age 65, if the person have $355,000 . Then 1 year later at age 66, he choose to voluntarily withdraw $200k out ? Is it possible ?

+ how do they tabulate the monthly payout ?

Sorry for the inconveniences . Appreciated.

Min sum is already higher at $161k, your figure is outdated. The min sum or retirement sum as they call it now is a figure you need to meet at 55, you can withdraw any excess anytime.

 

[rrr2015]

useful infographics for understanding CPF life
https://www.areyouready.sg/YourInfo...--CPF-Life/CPF-LIFE-Infographic_Final_150.jpg

i feel this is easier to understand
https://www.areyouready.sg/Pages/default.aspx

 

[cupidsux]

Yup , I went to see , it's 161k

Cause my intention was to mass top up my mom's RA account (limit to 241k)

Just in case, she wanna withdraw at age 70 cause she feels like traveling around but it seems that it's not possible or only possible withdrawal is 20% above minimum sum , if Im not wrong .

The bequest difference for both standard and basic is a difference of 10 years , both payout are for life, interest rate estimated are around 3.75-4.25 % per annum .

Just out of curiosity sake , do you guys think this cpf life annuity is better then endowment plan or insurance annuity given the same factor that it's a lump sum top up.

 

[chopra]

I understand that the current situation is minimum sum $155,000 and Medisave $43,500

A quick question would be payout will start at age 65, if the person have $355,000 . Then 1 year later at age 66, he choose to voluntarily withdraw $200k out ? Is it possible ?

+ how do they tabulate the monthly payout ?

Sorry for the inconveniences . Appreciated.

Pls take note that they have revamped medisave this yr. Now is 49500 and is called basic healthcare sum

 

[NewInvestor]

I understand that the current situation is minimum sum $155,000 and Medisave $43,500

A quick question would be payout will start at age 65, if the person have $355,000 . Then 1 year later at age 66, he choose to voluntarily withdraw $200k out ? Is it possible ?

+ how do they tabulate the monthly payout ?

Sorry for the inconveniences . Appreciated.

Hi. Where is your 355K now? I mean how much in each OA, SA and MA?

 

[dork32]

i dont think you can take out from ra once you start the drawdown.

if you choose standard, there is nothing left in your ra. so there is nothing for you to take out

also the drawdown is based on the amount you have at the ra from the start. if your ra amount is reduced, are they going to reduce your monthly payout?

 

[chopra]

i dont think you can take out from ra once you start the drawdown.

if you choose standard, there is nothing left in your ra. so there is nothing for you to take out

also the drawdown is based on the amount you have at the ra from the start. if your ra amount is reduced, are they going to reduce your monthly payout?

New rule. Can take 20%+5k

Sent from ew line is so sloooow using GAGT

 

[henrylbh]

I understand that the current situation is minimum sum $155,000 and Medisave $43,500

A quick question would be payout will start at age 65, if the person have $355,000 . Then 1 year later at age 66, he choose to voluntarily withdraw $200k out ? Is it possible ?

+ how do they tabulate the monthly payout ?

Sorry for the inconveniences . Appreciated.

I don’t quite understand what you asking and I am not familiar with CPF Life.

You are trying to say that at age 65 you have 355k in SA or RA or CPF Life in future?

My understanding is, at age 55, whatever you have in SA, an amount = FRS will be freezed in CPF Life and the balance in SA is withdrawable anytime.

At age 65, you are allowed to withdraw 20% from the FRS and the amount of monthly life payout will be then be adjusted. As CPF Life is not transparent, there is no way to tabulate the monthly payout from now when you turn 65 later, even if you know what’s the FRS by the time you turn 55

 

[lushiris]

how can i help to increase my mum cpf payout?

she's on minimum sum scheme and 66yo this year.

she's drawing out ~$300/month with ~$42k in RA.

Oddly, she's still under employment (~$60/mth contribution to OA+SA) but it still doesn't increase her monthly payout

 

[henrylbh]

how can i help to increase my mum cpf payout?

she's on minimum sum scheme and 66yo this year.

she's drawing out ~$300/month with ~$42k in RA.

Oddly, she's still under employment (~$60/mth contribution to OA+SA) but it still doesn't increase her monthly payout

Her monthly payout is based on what she have in her RA. Monthly payout will continue at the same amount until the RA is exhausted and there will be no more payout.

She can't have more than what she have. The only way to increase her payout is to top up her RA.

As she is still working, monthly employer and employee contribution will go into OA, SA and MA. I think from 2016, no more will go into her MA. She can move her OA and SA to RA, but that may be a silly move.

To enhance her payout, she can choose to withdraw whatever amount she wants from OA and SA anytime. But better to leave it in the respective accounts to earn respectable interest instead of taking it out and putting it in the bank. Only withdraw what she really need and no more. But the amount of withdrawal will be from what is in SA followed OA.

 

[lushiris]

well she empties her OA+SA every year.. may i ask how can i make use of her current setup to help her get the most outta her acct

 

[henrylbh]

well she empties her OA+SA every year.. may i ask how can i make use of her current setup to help her get the most outta her acct

Be a good boy and take action to top up her RA every year and she draw out from there. But the top-up would not increase her payout much as it will spread to about age 85. Only and better way is for you to give her cash to complement her fixed payout. Forget about the CPF system as she has not much in it.

 

[lushiris]

i tot the payout will be adjusted according such that the payout duration ends ~20 years.. cant find any online calculators to do the sums..

i was hoping to make use of her RA to generate 5% risk free interest for her.. is it still not worthwhile to do topup to her RA?

 

[cupidsux]

i tot the payout will be adjusted according such that the payout duration ends ~20 years.. cant find any online calculators to do the sums..

i was hoping to make use of her RA to generate 5% risk free interest for her.. is it still not worthwhile to do topup to her RA?

OA = 2.5%
SA = 4.0%
Medisave = not sure
RA = 4.0%

*1st 30k (Age 55 - 65) additional 1%
*1st 60k additional 1%

You can try using the CPF Life calculator to get a rough estimate.

*I'm not sure the additional bonus interest applies to all account or only RA/SA account but I assume it's only for this account only.

The payout are for life but the bequest amount will be affected as to which plan your mom is intending to take up.

Take note** once the payout starts at the age of 65 years old or start at the delay age of 70, the interest rate change to average annuity interest rate of 3.75-4.25% per annum instead of the interest stated above .

 

[cupidsux]

I don’t quite understand what you asking and I am not familiar with CPF Life.

You are trying to say that at age 65 you have 355k in SA or RA or CPF Life in future?

My understanding is, at age 55, whatever you have in SA, an amount = FRS will be freezed in CPF Life and the balance in SA is withdrawable anytime.

At age 65, you are allowed to withdraw 20% from the FRS and the amount of monthly life payout will be then be adjusted. As CPF Life is not transparent, there is no way to tabulate the monthly payout from now when you turn 65 later, even if you know what’s the FRS by the time you turn 55

Hi, I think if I'm not wrong, SA + RA Account will auto be converted to CPF Life(Annuity) upon age 65 which the payout will take effect. I think the funds in SA unable to withdraw unless it's above minimum sum of current 161k when you withdraw at age 55 or 20% max after attaining minimum sum when CPF Life starts the payout .


I'm sorry I didn't phrase my question more accurately cause I wasn't sure about the CPF Life also lol ~

My question was

1) currently my mom 60yo has 50k in her SA/RA account. Would like to top up cash to hit the 241k(maximum allowed to top up) ; in the event she wanna withdraw at the age of 70Yo Which the CPF Life starts paying . Is it possible .

It seems not possible as the maximum withdrawal is 20% max after attaining minimum sum when CPF Life starts the payout.

Coincidentally, another question come into my mind, doing a direct comparison, will the CPF Life outperform private insurance company annuity ? If yes then I don't need to do the top up and could just buy her a annuity