Retirement plans

[purpleberry]

Any good plans to share? Not the high risk investment type ones but more for guaranteed returns like endowment. Any comments on Prudential, Great Eastern and Manulife?

 

[xtwis7]

Perhaps you can share your profile so that we can advise which is more suitable.

 

[boredboiboi]

Any good plans to share? Not the high risk investment type ones but more for guaranteed returns like endowment. Any comments on Prudential, Great Eastern and Manulife?

Retirement plans got a few type. Maybe u ean to describe how u wan your retirement plan be like. All the mentioned have retirement plans.

 

[polyglob]

Any good plans to share? Not the high risk investment type ones but more for guaranteed returns like endowment. Any comments on Prudential, Great Eastern and Manulife?

Retiring planning is more than that. Start with your financial profile - age, marital status, what assets, what liabilities, cash flow, your view of CPF, risk tolerance (low, by your post), insurance coverage, and so on.

 

[ocs_woodlands]

Any good plans to share? Not the high risk investment type ones but more for guaranteed returns like endowment. Any comments on Prudential, Great Eastern and Manulife?

all good retirement plans basically rest on the simple tenet of having sufficient to retire in the first place...

now let's assume you have X dollars that generate an amount of Y dollars which is more than the z dollars per year you/your HH consume per year during retirement

For me, my Y dollars will come from the following sources ie

property rental =0.35X
SA & MA interest = 0.5X
bond, share dividends & annuity (non cpf life) = 0.15X

This is for teh period before 65.

After 65 should be
property rental = 0.35X
CPF life = 0.5X
CPF interests = 0.15X

 

[henrylbh]

Any good plans to share? Not the high risk investment type ones but more for guaranteed returns like endowment. Any comments on Prudential, Great Eastern and Manulife?

Without details, I would summarily say CPF Retirement Scheme is the best in term of returns and surety except you cannot surrender or pledge the policy for loan etc. But got a some flexibility for withdrawal and benefit like AMP with good rates.

 

[zoneguard]

Inflation and longevity are the 2 risks any retirement plan will need to consider and cater for.

 

[henrylbh]

The most scary part in retirement planning is medical expenditure that is difficult to gauge and could even wipe a big portion of retirement assets for draw down. That uncertainty could be cushioned with insurance. But premium keeps spiking that it may become unbearably high that one may have to give at an old age or downgrade to an unbearable level. I can't go ward with no aircon like C ward

 

[BlueRobin]

The most scary part in retirement planning is medical expenditure that is difficult to gauge and could even wipe a big portion of retirement assets for draw down. That uncertainty could be cushioned with insurance. But premium keeps spiking that it may become unbearably high that one may have to give at an old age or downgrade to an unbearable level. I can't go ward with no aircon like C ward

Completely agree. Problem is hospitalisation is only 1 part. There are many other expenses associated with illnesses/diseases before and after hospitalisation that scared me the most. Getting old is really no joke.

 

[SBC]

all good retirement plans basically rest on the simple tenet of having sufficient to retire in the first place...

now let's assume you have X dollars that generate an amount of Y dollars which is more than the z dollars per year you/your HH consume per year during retirement

For me, my Y dollars will come from the following sources ie

property rental =0.35X
SA & MA interest = 0.5X
bond, share dividends & annuity (non cpf life) = 0.15X

This is for teh period before 65.

After 65 should be
property rental = 0.35X
CPF life = 0.5X
CPF interests = 0.15X

Believe your X in the bottom illustration are meant to Y.

I will be planning to use my SRS for period between 55 & 65.
Had built about 100k in my SRS now. Hope to attain 150k to 200k at 55.

 

[mummynew]

The most scary part in retirement planning is medical expenditure that is difficult to gauge and could even wipe a big portion of retirement assets for draw down. That uncertainty could be cushioned with insurance. But premium keeps spiking that it may become unbearably high that one may have to give at an old age or downgrade to an unbearable level. I can't go ward with no aircon like C ward ��

Those with parents who didn't plan well enough (whether due to lack of means or knowledge) may suffer double blow during their 'sandwich' stage when kids still need support and parents also need the same. Double ends burning candle.

Old parents can drain a lot of child's/children's resources at times of illnesses if the child/children care enough.

*currently my kids giving me monthly allowance that I saving up for them. So if one day I cant afford my ISP premium anymore, then will use the amount to fund the premium (funding such is also for their own good).

 

[BBCWatcher]

I will be planning to use my SRS for period between 55 & 65.
Had built about 100k in my SRS now. Hope to attain 150k to 200k at 55.

The minimum tax qualified withdrawal age for SRS accounts is 62. Are you planning to pay the tax penalty from age 55?

 

[ment0smintz]

I bought from someone I knew tm retirement plan.. kinda regret... Anyway don't bother with retirement plan you will be better of with robo advisor..

 

[ocs_woodlands]

Believe your X in the bottom illustration are meant to Y.

I will be planning to use my SRS for period between 55 & 65.
Had built about 100k in my SRS now. Hope to attain 150k to 200k at 55.

yup, you are right. the X is meant to be Y.

between 55 to 65, what is your expected annual post retirement expenditure?

 

[mummynew]

I bought from someone I knew tm retirement plan.. kinda regret... Anyway don't bother with retirement plan you will be better of with robo advisor..

What made you regret?

I am very happy with my TM retirement so far (single pay and has started receiving monthly payout after waited for 5 years accumulation period).

I used part of the proceed to buy two small Aviva 'retirement plans' (coz the proceeds > my expenses every month) under my kids' names with policies assigned to me - pay $3663/year for 15 years, accumulation period 10 years, then payout period 30 years. The guaranteed part is about 2.6% which I find decent enough.

https://imgur.com/a/vqySZbb

*these if I get to live to see them paying out then I will continue to collect the money, if not, will form part of my assets to be given to my kids for their retirement.

Basically for this kind of 'long life' products, need to be patient as time flies and the waiting period will be 'soon' over and the seeds begin to bear fruits.

 

[ment0smintz]

What made you regret?

I am very happy with my TM retirement so far (single pay and has started receiving monthly payout after waited for 5 years accumulation period).

I used part of the proceed to buy two small Aviva 'retirement plans' (coz the proceeds > my expenses every month) under my kids' names with policies assigned to me - pay $3663/year for 15 years, accumulation period 10 years, then payout period 30 years. The guaranteed part is about 2.6% which I find decent enough.

https://imgur.com/a/vqySZbb

*these if I get to live to see them paying out then I will continue to collect the money, if not, will form part of my assets to be given to my kids for their retirement.

Basically for this kind of 'long life' products, need to be patient as time flies and the waiting period will be 'soon' over and the seeds begin to bear fruits.

Mine is a 10 years premium and only can see results thereafter.. so for now no money is good as dumping away. No interest, and no guarantees and no capital if surrender..

 

[purpleberry]

Perhaps you can share your profile so that we can advise which is more suitable.

Retirement plans got a few type. Maybe u ean to describe how u wan your retirement plan be like. All the mentioned have retirement plans.

Perhaps an ideal scenario would be to combine one lump sum of money + possible loan from bank at sibor rates and wait for X number of years for annual payouts. Provided of course that the bare minimum of the annual payout > bank interest rates.

Annual payouts may not be needed now but it will come in handy during the golden years and possible option to pass to your kids, grand kids and so on.

 

[boredboiboi]

Perhaps an ideal scenario would be to combine one lump sum of money + possible loan from bank at sibor rates and wait for X number of years for annual payouts. Provided of course that the bare minimum of the annual payout > bank interest rates.

Annual payouts may not be needed now but it will come in handy during the golden years and possible option to pass to your kids, grand kids and so on.

An example of what u r looking at. Payout as early as 37th month. Allow kids kids to be secondary life insured.

https://www.manulife.com.sg/content/dam/insurance/sg/solutions/our-solutions/signature/signature-income/Signature%20Income%20Brochure%20(English).pdf

 

[mummynew]

Perhaps an ideal scenario would be to combine one lump sum of money + possible loan from bank at sibor rates and wait for X number of years for annual payouts. Provided of course that the bare minimum of the annual payout > bank interest rates.

Annual payouts may not be needed now but it will come in handy during the golden years and possible option to pass to your kids, grand kids and so on.

You are referring to bank leveraged kind.

May have to note that for this kind, the policy will have to be assigned to the bank. If one has the intention to pass it on to the next generation, then it has to be fully redeemed before that someone passes else once passes, the policy will be considered as 'matured' with the remaining value given to the beneficiaries.

Above is my understanding from my memory (from a presentation by a RM some years back) and if you can get a confirmation, appreciate your update here for sharing.

 

[mummynew]

Mine is a 10 years premium and only can see results thereafter.. so for now no money is good as dumping away. No interest, and no guarantees and no capital if surrender..

This part about 'no money is good as dumping away'. Are you referring to as of now you can't see the money or you have no money to pay thru the 10 years?

If you mean can't see the money, then the feature of the product is like this for most if not all insurance products. Insurance products need time (usually 20 years) to see meaningful returns. As said, time flies and so need patience (for me, I have had two 25-year endowment policies matured years ago with the final one maturing next year and so can really feel 'time flies'.)

If you mean no money to support in foreseeable near future, then may consider to cut loss. Any insurance product if one wants to surrender will suffer heavy losses and so must think carefully before entering.