Jump to content
Darthrevan

The best way to prepare for retirement is to use less CPF $$

Recommended Posts

The best way for Singaporeans to prepare for retirement is to use less of their Central Provident Fund (CPF) money when they are young.


Minister in the Prime Minister's Office Lim Swee Say said this will ensure the current level of CPF payout can be maintained over time, and not be eroded by inflation.


Mr Lim, who is also the labour chief, made that point when speaking to reporters on the sidelines of the closing of the Singapore Model Parliament on Sunday.


At the event, Mr Lim shared his experience with students when he was an MP debating policies at the old Parliament House.


He said policies are not a one-off exercise, but they keep evolving.


One policy which has received much attention recently is the CPF.


Mr Lim said the labour movement has been watching the debate closely, and wants to ensure that what is discussed does not create confusion among workers and union leaders.


"Everyone must remember, first is that CPF is your money, nobody can take that money away from you. You have your money, you have the account, and you receive the statement, the account on a regular basis. So, you know how much money you have in the CPF,” he said.


The labour chief said CPF money is also 100 per cent safe, and is protected against events like the global financial crisis.


One important objective of CPF is to cater for retirement.


Mr Lim said: "Instead of thinking about whether you can spend your savings in the CPF at the age of 55, I think we should think about how can we help our Singaporeans to continue to remain employed, to continue to earn a good living, continue to have good jobs, and at the same time to continue to contribute to the CPF because the more money they have in CPF, the longer they defer the use of the CPF -- this will mean they will have more for retirement."


For the past three days, some 100 students took on different roles as MPs debating national issues at the Singapore Model Parliament.


The Singapore Model Parliament provides students with a platform to undertake parliamentary roles and debate national issues.


Many found the experience enriching.


Kwek Jia Hao, a student who received the “Best Ruling Party MP” award at the event, said: "The key challenge is to persuade the opposition on the rationale and objective of policy making, that we want the beneficiaries of policy making to be Singaporeans."


The Singapore Model Parliament has been held annually since 2012 at the Art House Chamber, where the Singapore laws were passed from 1955 to 1999.


The event aims to underscore the importance of active civic participation, especially among Singaporean youths.




------------------


full call..anyone? [grin]

↡ Advertisement
  • Praise 3
  • Dislike 1

Share this post


Link to post
Share on other sites

Few years ago, prices were so high, but we have no choice but to buy a small unit, and we still have to use CPF.

 

If housing is cheap, I will use less when I buy HDB flat lor.

If housing so expensive, damned it, I have no choice but to use more lor.

  • Praise 5

Share this post


Link to post
Share on other sites

NOT convincing at all. Somehow, i got a feeling this idiot could be voted out next.

  • Praise 2

Share this post


Link to post
Share on other sites

NOT convincing at all. Somehow, i got a feeling this idiot could be voted out next.

 

with 59.96% of ignorant people backing them..its not an easy feat

↡ Advertisement

Share this post


Link to post
Share on other sites

The PAP is not wrong to ensure the old will have some savings in the form of CPF when they stop working.

 

We should not go into a welfare system

 

But the mistake they are making is not controlling inflation in healthcare, food and simple living expenses

 

What is $300 annuity going to buy in the future

 

Who wants to live on soy sauce and plain rice, while being afraid to fall sick

 

If we do not go the route of welfarism, and instead make each person support themselves, then the cost must be affordable. If not it becomes a joke.

Edited by Aventador
  • Praise 5

Share this post


Link to post
Share on other sites

I recently read an article about American pension funds having difficulties releasing payouts to members for varied reasons including unrecoverable losses in the global financial crisis.

 

If you google, you will find multiple lawsuits against rating agencies and investment banks from (for example) pension funds in the state of Ohio.

  • Praise 1

Share this post


Link to post
Share on other sites

The PAP is not wrong to ensure the old will have some savings in the form of CPF when they stop working.

 

We should not go into a welfare system

 

But the mistake they are making is not controlling inflation in healthcare, food and simple living expenses

 

What is $300 annuity going to buy in the future

 

Who wants to live on soy sauce and plain rice, while being afraid to fall sick

 

If we do not go the route of welfarism, and instead make each person support themselves, then the cost must be affordable. If not it becomes a joke.

 

Those looking to buy HDB with the maximum amount of CPF they have / monthly CPF contributions are not wrong, just not planning well for retirement. (Yes, I have always looked upon CPF as a tax, so when I can't use it for certain things, I don't feel bad about it.) These are the people I think LSS is targeting with his words, however it sounds hollow because of the way he says it.

 

I wholeheartedly disagree with welfare, as I believe that as humans, we should take care of ourselves. (And also in the survival of the fittest principle.)

 

The error, other than the fact that many MPs / Ministers are not great at communicating with the ground, is that property prices have risen too quickly in the past decade.

What I wish for, is that instead of all the crap subsidy scheme that is being given out, the government / HDB sells new flats at reasonable prices. Argh.. /Rant a little

  • Praise 4

Share this post


Link to post
Share on other sites

 

Those looking to buy HDB with the maximum amount of CPF they have / monthly CPF contributions are not wrong, just not planning well for retirement. (Yes, I have always looked upon CPF as a tax, so when I can't use it for certain things, I don't feel bad about it.) These are the people I think LSS is targeting with his words, however it sounds hollow because of the way he says it.

 

I wholeheartedly disagree with welfare, as I believe that as humans, we should take care of ourselves. (And also in the survival of the fittest principle.)

 

The error, other than the fact that many MPs / Ministers are not great at communicating with the ground, is that property prices have risen too quickly in the past decade.

What I wish for, is that instead of all the crap subsidy scheme that is being given out, the government / HDB sells new flats at reasonable prices. Argh.. /Rant a little

 

Agreed :)

 

If they have rein in the prices and not let it escalate so fast so furious in the past few years, then we wouldn't have use a large chunk of our CPF money on it, on this basic needs like housing.

In the past few years, they have even stop / reduce the construction of 3 rm flat, and built so much 4-rm and 5-rm, and this have inevitablely also increase drastically the prices.

 

Now, they are doing a U-turn on the contruction of hdb flats, with building more 2rm, 3rm.. late but better than none.

And hope HDB prices can stabilise further, so that ppl in our next gen, can buy within their means, ie using less cpf.

  • Praise 2

Share this post


Link to post
Share on other sites

the way i read this statement is work work work and continue to work work work so that you can continue to contribute to the CPF

when is retirement?

retire at 67 and go tour the world on wheelchair?

 

Mr Lim said: "Instead of thinking about whether you can spend your savings in the CPF at the age of 55, I think we should think about how can we help our Singaporeans to continue to remain employed, to continue to earn a good living, continue to have good jobs, and at the same time to continue to contribute to the CPF because the more money they have in CPF, the longer they defer the use of the CPF -- this will mean they will have more for retirement."

Edited by Wt_know
  • Praise 2

Share this post


Link to post
Share on other sites

agree... ban use of CPF on housing

 

and give 80% discount on current HDB BTO pricing

 

does PAP have the political will to push through this bitter medicine?

 

:D

  • Praise 2

Share this post


Link to post
Share on other sites

Isn't it a bit too late to tell ppl that now? [rolleyes]

 

The other best ways are also to spend less and not use your savings as well blah blah blah. [:|]

 

[sleeping] Later he will teach you sing "ai piang jia eh ngia".

 

This guy really know how to tok kok sing song.

  • Praise 2

Share this post


Link to post
Share on other sites

Few years ago, prices were so high, but we have no choice but to buy a small unit, and we still have to use CPF.

 

If housing is cheap, I will use less when I buy HDB flat lor.

If housing so expensive, damned it, I have no choice but to use more lor.

Why buy in expensive area?? Buy in jurong and wood land lah. Very cheap.

Share this post


Link to post
Share on other sites

Why buy in expensive area?? Buy in jurong and wood land lah. Very cheap.

 

Pitch tent cheaper.

Share this post


Link to post
Share on other sites

agree... ban use of CPF on housing

 

and give 80% discount on current HDB BTO pricing

 

does PAP have the political will to push through this bitter medicine?

 

:D

I support...

 

When u running for parliament?

 

Pitch tent cheaper.

Everyone pitch tent the tent will increase in price.

Share this post


Link to post
Share on other sites

 

Pitch tent cheaper.

 

Pitch tents needs to apply permit leh :D

 

Err.. where is the best place to pitch tents? Sembawang Park? East Coast Park? Changi Park?

Must find a secluded place, so that they won't come ka-chiao us :D

Share this post


Link to post
Share on other sites

2 things come to my mind when i read this article

 

1. he wants us to use cash instead of cpf to buy hdb

 

2. he doesn't want us to use cpf for other investments... keep the cpf money intact so we can "enjoy" the 2.5% interest

 

both are jiao wei

↡ Advertisement
  • Praise 1

Share this post


Link to post
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now

×