Share your retirement strategy

[Seannie]

toto is my primary strategy.

my backup plan is to save as much as i can and invest in stocks with moderate risk for now. still too young and too many other milestones to clear before i can come up with anything more concrete.

More or less same strategy. But toto not my primary one only my secondary one. My primary one is hdb flat and putting 20% of my lifetime savings in a penny stock (abt few cents) and waiting for it to pump to 20c. Much better than putting in noble shares i think. If my 20% penny doesnt work out i still have 80% cash. And my monthly cpf contribution just abt enough to pay monthly hdb loan even if my wife has no job. Im only able to save only at best half of my monthly salary. Keyima?

 

[highsulphur]

I discussed with moi colleagues and they told me im stoopid to think of pumping cash into SA account. Reason is no liquidity and if need monies to use we cant take out from SA until 65 yrs old then pay us back little by little. Scolded me for being naive leh. Wah piang. Regret voicing out. Now they think im really stupid naive boy. My coleagues is in their 40s 50s already and the one scolded me supports WP go to their rallies one.

For moi i think rent out the paid-off hdb is ok then the rent use to hire a maid or reinvest in another sg property. Sg properties still da best. Rent jb hse not say no good but the $2.2k rent converts to MYR 6.6k nia. In jb needs buy a car, maintainance already ard RM1k. Food not cheap. One meal outside coffeeshop at least RM6 also jiak not ba. Sg cai png $3 eat full alry. Jb internet v slow. Basically must sleep at 10pm. No life leh. Unless you are one waiting for time to die can go nursing hme in jb. One month RM6k VIP room. Jin sakti. Got personal nurse to assist you. Personal toilet. Big tv screen etc. I saw many sg old ple staying at the one at ECON perling branch. Big and new. The kids from sg come visit all look like well to do.

Ignore your colleagues. People prob say I'm silly to top up SA when I first started work. But now if things go to plan, I'm certain my cpf balance at 55 will be more than most without me worrying much....

 

[mummy1234]

Ignore your colleagues. People prob say I'm silly to top up SA when I first started work. But now if things go to plan, I'm certain my cpf balance at 55 will be more than most without me worrying much....

Yes, if you can spare the cash, topping up SA early and letting it compound is a good idea as it can work out to a sizeable amount a at 65 years old as shared by yyhwin..unless of course you need the cash...

 

[Seannie]

Ignore your colleagues. People prob say I'm silly to top up SA when I first started work. But now if things go to plan, I'm certain my cpf balance at 55 will be more than most without me worrying much....

U serious? My colleagues say until v sure they are right like that i also paiseh to say anymore in front of the old birds liao. Hmmm but if u say take out at 55 maybe ok lar but 65 yrs old too long already. Just scared govt suddenly change the 55yrs to 60yrs old then tio stuck liao. According to moi colleagues govt has power to say and change anything. Not up to us. Even said that one of her fren father no monies to eat want to withdraw cpf monies but no exception allowed. They were pretty bitter abt it.

 

[koxinga]

I guess a question would be how does one (including TS) view long term geo-political risks.

I spent a few years working overseas in places where political instability is normal. Opened my eyes to such risks. I am currently vested in Singapore only and this is something that has been bothering me. I see in the long term (50 yrs), there will be political instability in the region resulting from the festering issues (e.g TW, SCS, NK).

 

[cscs3]

Some doctor is very free one. Once went to OPD at Geylang east. At enter of door. The door is surfing internet!

 

[mummy1234]

Some doctor is very free one. Once went to OPD at Geylang east. At enter of door. The door is surfing internet!

I am on my annual leave mah but then when no patients, also surf Internet...

 

[mummy1234]

The RTS or Rapid Transit System an mrt from BukitChagar in JB to Woodlands to future Thomson Line still on as reported in CNA 2 days ago. LTA is conducting a ridership study next year...thinktheywill gauge from Tebrau shuttle train now...imagine how fast it will be to travel into Sg from JB next time....looking forward to it...

 

[highsulphur]

U serious? My colleagues say until v sure they are right like that i also paiseh to say anymore in front of the old birds liao. Hmmm but if u say take out at 55 maybe ok lar but 65 yrs old too long already. Just scared govt suddenly change the 55yrs to 60yrs old then tio stuck liao. According to moi colleagues govt has power to say and change anything. Not up to us. Even said that one of her fren father no monies to eat want to withdraw cpf monies but no exception allowed. They were pretty bitter abt it.

The risk of policy changes is very real. For me I just have to take the following in good faith regardless the cynics.

1) CPF will always have changes due to circumstances but the plans will be fair relative to private plans. That is to say the minimum sum will definitely increase but the cpf life will not be worse than private annuities.

2) The rate of return will have a floor as current rates.

3) The money in cpf belongs to me. This is the trickiest part as it requires you to believe in the "credit worthiness" of CPF in the span of your working life.

Anyway I'm almost 40. I was affected by cpf life as I planned my cpf according to the old minimum sum scheme but nonetheless given there's only 15 years till 55, my "risk" will be considerably lower than yours if you only start work recently

 

[Seannie]

I am on my annual leave mah but then when no patients, also surf Internet...

Jin sakti doctor.

 

[mummy1234]

When the RTS is up, coming back to Sg for work and school should be a Breeze...

 

[ahsheng312]

Ignore your colleagues. People prob say I'm silly to top up SA when I first started work. But now if things go to plan, I'm certain my cpf balance at 55 will be more than most without me worrying much....

Your right. SA gives good interest without any risk. You made a good move.

 

[havetheveryfun]

U serious? My colleagues say until v sure they are right like that i also paiseh to say anymore in front of the old birds liao. Hmmm but if u say take out at 55 maybe ok lar but 65 yrs old too long already. Just scared govt suddenly change the 55yrs to 60yrs old then tio stuck liao. According to moi colleagues govt has power to say and change anything. Not up to us. Even said that one of her fren father no monies to eat want to withdraw cpf monies but no exception allowed. They were pretty bitter abt it.

even if that fren's father was allowed to withdraw the cpf monies, it still doesn't solve his problem in the long term. If he was allowed to withdraw the cpf monies to eat, then what happens when he finishes drawing the cpf monies? Isn't it back to square one ?

If the life expectancy suddenly increases from ~80-90 to 100-120 yrs , would you think changing from 55 yrs to 60 yrs would still be unreasonable ?

 

[Seannie]

even if that fren's father was allowed to withdraw the cpf monies, it still doesn't solve his problem in the long term. If he was allowed to withdraw the cpf monies to eat, then what happens when he finishes drawing the cpf monies? Isn't it back to square one ?

If the life expectancy suddenly increases from ~80-90 to 100-120 yrs , would you think changing from 55 yrs to 60 yrs would still be unreasonable ?

I see many died at 60plus. Not likely many can live above even 90 at present time.

My colea fren father if he able to take out cpf monies to eat likely to last him for some time. Probably he might not even outlast his cpf monies. So whats the point he has cpf monies but cant use his own monies at all when he needs them? I think thats the point my colea is driving across. I think quite true to an extent also lar.

 

[Broadwalk]

I will be getting property to hedge all these and hopefully I can get capital gain from the condo.

 

[w1rbelw1nd]

I guess a question would be how does one (including TS) view long term geo-political risks.

I spent a few years working overseas in places where political instability is normal. Opened my eyes to such risks. I am currently vested in Singapore only and this is something that has been bothering me. I see in the long term (50 yrs), there will be political instability in the region resulting from the festering issues (e.g TW, SCS, NK).

This kinda risk affects asset classes differently, but I think it probably hits property worst.

There is a hundred and one ways the government can mess up with property prices that investors (especially if we are investing in overseas properties). For example, just to gain popular votes, a politician may impose a heavier stamp duty for foreign investors, leading to lower demand for property.

 

[mcylo]

My plan is transfer all my OA into SA. I reckon i will hit the cpf min sum (using my SA) in 1.5 years time

 

[mummy1234]

My plan is transfer all my OA into SA. I reckon i will hit the cpf min sum (using my SA) in 1.5 years time

How old r u? Dun need the OA for property or kids education? If you r young and can spare the money, it is a good idea as 4% compounded over the years will snowball quite fast..

 

[koxinga]

This kinda risk affects asset classes differently, but I think it probably hits property worst.

There is a hundred and one ways the government can mess up with property prices that investors (especially if we are investing in overseas properties). For example, just to gain popular votes, a politician may impose a heavier stamp duty for foreign investors, leading to lower demand for property.

I had faced contract suspended due to changes in government, repatriation of money issues (China). Political risks was one of our due diligence in assessing deals. Thought it should also apply to personal investments.

In the case of Malaysia, internal political risks is always there; but i don't see it getting worst for now. It's just part of the ebb and flow there.

But i see external events as more high risks. While we have more or less resolved major issues between Sin-Mal, Mal-Indo (Ambalat) and Mal-Phil(Sabah, SCS) remains medium risk. The elephant in the room is China and possibly, the Philippines reaction to them.

 

[tiny]

I discussed with moi colleagues and they told me im stoopid to think of pumping cash into SA account. Reason is no liquidity and if need monies to use we cant take out from SA until 65 yrs old then pay us back little by little. Scolded me for being naive leh. Wah piang. Regret voicing out. Now they think im really stupid naive boy. My coleagues is in their 40s 50s already

CPF Special Account compounds at 4% pa but you must remember that these money are only withdrawable at age 55 IF you have met the minimum sum of YOUR COHORT. If you cannot meet the criteria, the amount will snowball to age 65 and will be broken into smaller pieces and be given to you as monthly CPF LIFE payouts.