Something to ask about CPF allocation

[1982-1994]

the annual interest for OA would be above $20k

Oh salah
OA would have at least $4k of AI instead

 

[hachi]

just check cpf website, 9% is from 65...

My bad, should be 11%. A far cry below 35.

 

[1982-1994]

I am turning 45 next year, so my OA allocation is it 0.5677 or 0.5136?

Weird my allocation is still under 35-45 cohort despite I turned 45 last month 12th

 

[coyote]

Don't loan till 65.. After 55 you might need to pay cash for housing loan...

Don't loan till 65, loan till 75. Max out your leverage.

 

[evildoer]

ask you all something ... you know u can voluntary refund your cpf for the money use for the housing. i am topping up every month to Special account. if i already met the maximum tax rebate of 7k. do you think i can refund the housing loan .. when it get into the OA , i transferred to the SA ? will that lower the money i need to return to my cpf when i sell my house ?

Cause i think if i sell my flat at 55.. the money go into the retirement account. how am i going to afford any flat ? given that the SA ceiling keep getting higher with 3% increase yearly

 

[lifeafter41]

Weird my allocation is still under 35-45 cohort despite I turned 45 last month 12th

I believe cut off point is next month, ie CPF contribution does lags one month against one’s salary.

Gxgx to TS for in another decade, can start withdrawing CPF OA and SA.

 

[1982-1994]

I believe cut off point is next month, ie CPF contribution does lags one month against one’s salary.

Gxgx to TS for in another decade, can start withdrawing CPF OA and SA.

Days are numbered, closer to death

 

[ask_yip]

ask you all something ... you know u can voluntary refund your cpf for the money use for the housing. i am topping up every month to Special account. if i already met the maximum tax rebate of 7k. do you think i can refund the housing loan .. when it get into the OA , i transferred to the SA ? will that lower the money i need to return to my cpf when i sell my house ?

Cause i think if i sell my flat at 55.. the money go into the retirement account. how am i going to afford any flat ? given that the SA ceiling keep getting higher with 3% increase yearly

housing refund to OA -> transfer OA to SA, I think this work

 

[stingray1211]

After your birthday, should still be 0.5677. Because your age is still 45. The "above" only refers to the first age stated in each row.
When you reach 46, then is the next tier.

When you move to the next age group, the change in allocation rates is applied from the first day of the month after your birthday.

Example:

If you turn 35 years old on 13 January 2025,
Your allocation rates for January 2025 will be based on the “35 years and below” age group; and
Your allocation rates for February 2025 will be based on the “Above 35 to 45 years” age group.

amazing how people don't bother to read and just say what they think is right. sometimes people don't open their mouths or give comments , they won't show the world their intellectual level.




Read HWZ Forum Rules!

 

[shodan99]

Cause i think if i sell my flat at 55.. the money go into the retirement account. how am i going to afford any flat ? given that the SA ceiling keep getting higher with 3% increase yearly

SA ceiling does increase annually by about 3.5% but your SA interest rate is 4%. Hence, if you have hit your FRS amount at any year, you dont have to worry anymore as the interest payout annually is sufficient to cover the increase with a small increas as well.

 

[evildoer]

SA ceiling does increase annually by about 3.5% but your SA interest rate is 4%. Hence, if you have hit your FRS amount at any year, you dont have to worry anymore as the interest payout annually is sufficient to cover the increase with a small increas as well.

havent reach.. i am trying to reach by topping up monthly

 

[1982-1994]

When you move to the next age group, the change in allocation rates is applied from the first day of the month after your birthday.

Example:

If you turn 35 years old on 13 January 2025,
Your allocation rates for January 2025 will be based on the “35 years and below” age group; and
Your allocation rates for February 2025 will be based on the “Above 35 to 45 years” age group.

amazing how people don't bother to read and just say what they think is right. sometimes people don't open their mouths or give comments , they won't show the world their intellectual level.




Read HWZ Forum Rules!

Errr....so why the allocation is still the same despite I have turned 45 on 12 march? It's the second CPF contribution since then

 

[8zaoyu]

Don't loan till 65, loan till 75. Max out your leverage.

Your loan specialist aka ah long got to recover from your savings or sell your assets should you default or die w/o HPS insurance.
Usually they will not "eat grass" or "help" you loan long time, they can only add additional interests payable.
If you loan for property from 30 yrs old, usually 25 yrs loan should complete your loan.
Some people max the loan time because of low loan rate interests sometimes zero, just pay the bank spread charge only. For HDB, we are currently paying extra 0.1 % (spread charge) above 2.5% usually only?

 

[coyote]

Your loan specialist aka ah long got to recover from your savings or sell your assets should you default or die w/o HPS insurance.
Usually they will not "eat grass" or "help" you loan long time, they can only add additional interests payable.
If you loan for property from 30 yrs old, usually 25 yrs loan should complete your loan.
Some people max the loan time because of low loan rate interests sometimes zero, just pay the bank spread charge only. For HDB, we are currently paying extra 0.1 % (spread charge) above 2.5% usually only?

Actually I have been getting rather favourable deal and interest rate from a foreign bank. Nothing to do with what ah long. I have more money than I owed the bank so... Little to no chance of default... My bank knew this also, that why they extended me a tailored loan package with favourable rate. Mine is not HDB, so no HPS. I have mortgage protection insurance from private insurance for private bank loan though.

So, what is your question?

 

[rizhal]

ask you all something ... you know u can voluntary refund your cpf for the money use for the housing. i am topping up every month to Special account. if i already met the maximum tax rebate of 7k. do you think i can refund the housing loan .. when it get into the OA , i transferred to the SA ? will that lower the money i need to return to my cpf when i sell my house ?

Cause i think if i sell my flat at 55.. the money go into the retirement account. how am i going to afford any flat ? given that the SA ceiling keep getting higher with 3% increase yearly

Your train of thought is sound.

If you do what you said, you left with lesser cold cash, and your SA grows.

My mother sold her flat after 55, CPF grabbed the sale proceed to fill up FRS RA first. (I could not remember the accrued interest part, maybe they also grabbed it and put into her OA. But no issue, you can withdraw OA anytime when you are above 55). Then the remaining as cash proceed.

 

[8zaoyu]

Actually I have been getting rather favourable deal and interest rate from a foreign bank. Nothing to do with what ah long. I have more money than I owed the bank so... Little to no chance of default... My bank knew this also, that why they extended me a tailored loan package with favourable rate. Mine is not HDB, so no HPS. I have mortgage protection insurance from private insurance for private bank loan though.

So, what is your question?

Ya, life is good if everybody give you favourable loan rates to buy all you need or don't need so as to sell for profits later right.
Which foreign bank or loan specialist - gave you any referral goodies/vouchers?

 

[evildoer]

Your train of thought is sound.

If you do what you said, you left with lesser cold cash, and your SA grows.

My mother sold her flat after 55, CPF grabbed the sale proceed to fill up FRS RA first. (I could not remember the accrued interest part, maybe they also grabbed it and put into her OA. But no issue, you can withdraw OA anytime when you are above 55). Then the remaining as cash proceed.

yeah i will have to think hard about it..

with the FRS keep increasing every each and i am no way near FRS now.

I calculated.. if i don't do cash top up CPF.. if i sell my flat at 55 .. Probably they will move around 100k into retirement account. So i just have to have discipline to top my Special account to FRS before 55. Then when i sold my house.. like i will have all the proceed into my OA.. which can be withdrawn

 

[evildoer]

cause i think the amount that u need to return to cpf with it's accrued interest lost it meaning when ur special account already reach FRS.

 

[rizhal]

yeah i will have to think hard about it..

with the FRS keep increasing every each and i am no way near FRS now.

I calculated.. if i don't do cash top up CPF.. if i sell my flat at 55 .. Probably they will move around 100k into retirement account. So i just have to have discipline to top my Special account to FRS before 55. Then when i sold my house.. like i will have all the proceed into my OA.. which can be withdrawn

Yes, your thoughts are correct.

My 72 yo mother sold her flat, moved into my bro house. She has lots of RA (FRS amount) and get back in form of monthly payout from CPF. She has the support from us, the children.

When you are selling your flat after 55, you must plan it carefully, next house matter etc. I guess you will have more cash proceed when you sell in the future as you are building your SA towards FRS now.

What you plan to do is sound, but left with less cold cash now.

(I wouldn’t do it as I don’t plan to sell my house after 55 [let accrued interest rise, no issue for me], unless my son allow me to live with him)

 

[evildoer]

Yes, your thoughts are correct.

My 72 yo mother sold her flat, moved into my bro house. She has lots of RA (FRS amount) and get back in form of monthly payout from CPF. She has the support from us, the children.

When you are selling your flat after 55, you must plan it carefully, next house matter etc. I guess you will have more cash proceed when you sell in the future as you are building your SA towards FRS now.

What you plan to do is sound, but left with less cold cash now.

(I wouldn’t do it as I don’t plan to sell my house after 55 [let accrued interest rise, no issue for me], unless my son allow me to live with him)

i am in this sad situation.

i want to sell my flat.. but i can't now , i need to rental the cover part of my parents allowance and medicine fee, the rest i will use it to top up into my special account. So i definitely cannot sell now ... but the flat is close to 50 years.. and it will begin to lose value.. i think i will maybe sell once i hit FRS or just hold on the flat and collect rental as long as i live.