CPF Minimum Sum Scheme

[Sgnick]

exactly my sentiments.

 

nowadays many people use most of their cpf to buy housing to stay, leaving little in their cpf accounts for retirement. with the increasing minimum sum, which stands at 120k now, most people when retire cannot withdraw much , or at all, from their cpf account. imagine if this trend increases, then in say twenty years time, the minimum sum could well be $200k, and most of us will retire with no money withdrawable from cpf. and we will have to work for another 20 years as god knows what , for survivial. thats why i find this scheme deplorable. the logic for this scheme is that retirees may not know how to handle the money well, and may squander it, hence the safe keeping of it under the scheme. but this logic is flawed as a person by the age of 55, most will be financially sensible and prudent already. However ff the whole scheme is just to keep more money for the gahment to invest, then i think a law suit is called for. the question is, who dares to be the first to challenge the legitamacy of the law ?

 

Give up citizenship when u retire then. Then go to the press and tell your story to the rest of Singapore why u r being forced to quit Singapore when u have contributed all your life to this country. Become a martyr for the rest of us peasants.

 

CPF is becoming more and more like a form of tax than a retirement plan.

 

Btw, is unused CPF RA $ transferable to my children when i die?

Edited August 25, 2009 by Sgnick

[Dumb]

Btw, is unused CPF RA $ transferable to my children when i die?

 

 

Why care about that? That will only make beneficiaries hoping that you die earlier. Got a friend whose only child migrated after conning parents' cpf saying he need it for business.

[Sgnick]

Why care about that? That will only make beneficiaries hoping that you die earlier. Got a friend whose only child migrated after conning parents' cpf saying he need it for business.

 

U may not care, but i care.

 

I care because I don't want the $ to go to Ah Gong when i die. Does that make any sense to you?

 

Anyway I am not rich, i don't stay in a 3 level landed, so there's not much $ for my children to cheat me. R u very concerned about your beneficiaries hoping u die early? U must be filthy rich then...

Edited August 25, 2009 by Sgnick

[Vextan]

there is an ironical saying that, one will get to see all his cpf monies, when he closes his eyes.

[Yoongf]

So what then is the ideal CPF scheme?

[Vextan]

to be able to withdraw all from the cpf accounts, upon retirement age of 55 or thereabout. give the people the option to leave with anuity to earn monthly income, but not compulsory. also, provide subsidised transportation and medical care for elderly. is this too much to ask for, with few hundred billion dollars in our coffers (contributed by none other than the retirees themselves) ?

 

*put on anti-flame suit*

Edited August 25, 2009 by Vextan

[Parkingidiot]

Why care about that? That will only make beneficiaries hoping that you die earlier. Got a friend whose only child migrated after conning parents' cpf saying he need it for business.

 

 

and the recent report of 8 children who sell of the mother's house... and then when she hospitalised, dun want to pay the medical bills... moral of the story: dun trust your children to look after you when you have no money. Whether they love you or not is not the point... the point is that everything will be so expensive, they also no money to look after themselves, dun need to talk about looking after their old papa and mama...

[Mahjong74]

At the moment, after 55 yrs old,

the OA and SA will combine and become a retirement acount.

 

In short, SA is for your retirement.

 

 

 

[Parkingidiot]

to be able to withdraw all from the cpf accounts, upon retirement age of 55 or thereabout. give the people the option to leave with anuity to earn monthly income, but not compulsory. also, provide subsidised transportation and medical care for elderly. is this too much to ask for, with few hundred billion dollars in our coffers (contributed by none other than the retirees themselves) ?

 

*put on anti-flame suit*

 

i also agree... better they subsidize the old folk transport and medical care, then waste billions buying dying stocks, and paying their scholars millions to lose more billions...

 

 

[Vextan]

just to share, i recently found out that there is a scheme whereby one can transfer from their ordinary account to the parents' retirement acount, and then the parents can immediately start to draw down from the retirement account monthly, in cash. i just did, and i think it is a good scheme for those who like to contribute to parents but have not much cash. this is one scheme i highly commend.

[Alechi]

Hi MJ74,

 

Thks for your very informative reply.

 

yes, it is based on $4500 salary as a max. Meaning if you earn 4.5k to 10k, your CPF contribution is the same.

Max for OA=$1035, SA=$225 and MA=$293

 

1. yes, it is true. however medisave just been revised to ard $37000.

 

2. when the MA is hit, the contribution will become OA $1035, the rest ard $518 will go to SA

while MA = 0.

 

The above is based on 35 and below.

 

When one hit 35 and above,

 

The contribution for OA=$945 and SA=$607 and MA=$0 if your MA max is hit.

IF MA is not hit,

then OA=$945, SA=$270 MA=$337

 

[Redboy]

I think the whole CPF scheme is getting ridiculous.

 

When the garment increase minimum sum, have they thought of those whose minimum sum do not meet the required level at age 55? They could be the low-salaried or physically-impaired people who cannot work.

 

So how? Don't they need money to live?

 

Of course, the more well-off won't complain as they have liquid savings.

 

Hence, this should be on case-to-case basis.

For the less privileged, can at least grant them monthly payouts from CPF after 55.

The amount of payout will depend on financial status etc....

Ask those scholars to do this job lor....

 

Afterall, our CPF money is our hard-earned money and CPF is supposed to be savings scheme for old age.

 

so if garmen is still so inflexible on this, I dunno what is CPF for?

 

 

 

 

 

 

 

[Alechi]

My gripe is, the minimum sum is too high for many singaporeans who are middle-low and low income. if they want annuity scheme, at least let it be as short as 3 yrs, for those who wants fast draw-down.

[Sgnick]

More important question is, what is the purpose of the annuity scheme if the monthly payout is not enough to survive?

 

They pay u $xx a month dragged over so many years, with this little money those with no cash savings to supplement will die of poverty within a year. Then CPF get all the rest of their unused money. Is that the plan?

Edited August 25, 2009 by Sgnick

[Shiwao]

aiyah

 

whatever annuity that is left after all the whoohah is not GUARANTEED. MR Gan Kim Yong have said it in print and TV, go google for it.

 

Not happy, then vote them out.

 

So they are effectly telling those people who have life insurance policies, please cash out when you hit 65. Please help yourself. If you can't you can ring out MCYS for help.

 

 

[Dumb]

More important question is, what is the purpose of the annuity scheme if the monthly payout is not enough to survive?

 

They pay u $xx a month dragged over so many years, with this little money those with no cash savings to supplement will die of poverty within a year. Then CPF get all the rest of their unused money. Is that the plan?

 

At end of the day, the annuity scheme serves no purpose. It's just pooling of money for participants to gamble with one another with part of the money disappearing in administration.

 

It's simply high handed to force all contributors into a national annuity. Previously, people have choice to buy a private annuity scheme if they see merit in it. Understandably, many see no merit. But they are forced into one whether they like it or not. That's infringement of individual's right. The min sum already is a little high handed as it's a breach of sacred convenant when the CPF Act first allow for complete withdrawal at age 55. Now you cant withdraw and worst you are forced to an annuity scheme with lower monthly payout. You have no choice but to protest or revolt. But many bo chap.

[Booboon]

You have no choice but to protest or revolt. But many bo chap.

we hav been brain washed will in school.

 

[Nolicense]

nothing will change.. unless we take back what is ours