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

Darthrevan
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Showster

Showster

Twincharged
(edited)

provided they don't come out with new rules to lock up more money in CPF

They may lock more of everyone’s money to help fund retirements but will not want the small number of millionaires and billionaires to park too much funds there. Edited by Showster
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Throttle2

Throttle2

Supersonic
(edited)

for simple explanation, we ignore ERS (enhanced retirement sum).

retirement sum aka minimum sum is the SAME for everyone, which is $230K (in 2028)

 

Mr X, age 55, min sum = $230K

Mr T, age 55, min sum = $230K

 

Mr X, choose to pledge his HDB/property with 50%, hence min sum is reduced to $115K

Mr T, choose NOT to pledge his HDB/property, hence min sum remains $230K

 

It does not matter you have $500K or $1M or $2M in CPF

It does not matter your HDB/property is FULL CASH on day 1 or no more outstanding loan or fully settled recently.

 

Your withdrawal = total CPF $ (OA + SA only) minus $115K or $230K

 

One day Mr X, sell his HDB/property. Some of his proceed will be used to top up the $115K + accrued interest (that he pledge) - some might say what HE OWE ... lol

 

This is to make sure Mr X and Mr T have the "same starting point" when both are age 55 with $230K min sum locked up.

 

If Mr X used his CPF money before to buy property, when the proceed return to CPF, CPF will know how to move the proceed to RA (retirement account).

 

the point here is

 

1. everyone min sum is the same whether you pledge no pledge full cash or take cpf $ to buy property

 

2. ah gong worry those pledge property ... when sell that time ... all money kena cheated by ATB or Batam girl then at 65 CPF life not enough cry papa cry mama because at 55 that time ... only locked up $115K and earn little interest

 

i guess the question is what if the "private property" (or resale HDB) is purchased with FULL cash and not a single cent used from CPF (ie: no money is returned to CPF when property is sold)

if i pledge with 50% and sell that time, i have to give CA$H to CPF? [sly]

how do CPF know i sell my property? ah gong must be watching everyday? lol

i am sure this loophole would have been plugged somewhat

Ok cool. Understand already

Thank you very much

 

I was never able to qualify to buy HDB due to income ceiling anyway

 

 

Edited by Throttle2
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Wt_know

Wt_know

Supersonic
(edited)

just take cpf life payout as “supplement” and not the fool proof plan of retirement ...

Edited by Wt_know
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Throttle2

Throttle2

Supersonic
(edited)

But i do not agree as nowadays CPF does not provide a lump sum unlike previously many years back

If no lump sum means your cpf not power enough lah....

I heard in MCF minimum lump sum witdrawal for most people upon 55 is $500k

 

 

Edited by Throttle2
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RH1667

RH1667

Hypersonic

The Iikelyhood is very high that within the next 10 yrs, they will raise the age of withdrawal from 55 to 60

 

Mark my words.

Give them 70% again for next GE and they will probably raise it within 5 years !
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1fast1

1fast1

Supersonic

The Iikelyhood is very high that within the next 10 yrs, they will raise the age of withdrawal from 55 to 60

 

Mark my words.

You think it'll take 10 years? When did you become such an optimist? [laugh].

 

GE already coming, after that anything goes haha.

 

Let's see if they get their 70 percent or more. If so orbi goot, richly deserved. :D

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Pocy

Pocy

Hypersonic

Give them 70% again for next GE and they will probably raise it within 5 years !

I think so ........ time to keep CPF money ourselves
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Wt_know

Wt_know

Supersonic
(edited)

you mean you don't know especially #5 ??? ..... muahahahaahahaha ....

https://sg.finance.yahoo.com/news/cpf-fun-facts-5-weird-160000251.html

 

  • Fun fact #1: Using CPF to fund your home is great. But when you sell it, you need to return all the CPF you used… WITH INTEREST!
  • Fun fact #2: Counting on CPF for retirement? The payouts may not be as high as you think. It depends on which CPF Life plan you opt for.
  • Fun fact #3: All Singaporeans born in 1961 and after are auto-enrolled in CPF Life. And you can’t opt out. Unless you plan to leave Singapore AND Malaysia for good.
  • Fun fact #4: You can withdraw CPF on medical grounds, but unless you are terminally ill, you will not be able to get it in a lump sum.
  • Fun fact #5: There IS one way to turn your CPF into actual cash. You just have to die.
Edited by Wt_know
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Angcheek

Angcheek

Hypersonic

 

you mean you don't know especially #5 ??? ..... muahahahaahahaha ....

https://sg.finance.yahoo.com/news/cpf-fun-facts-5-weird-160000251.html

 

  • Fun fact #1: Using CPF to fund your home is great. But when you sell it, you need to return all the CPF you used… WITH INTEREST!
  • Fun fact #2: Counting on CPF for retirement? The payouts may not be as high as you think. It depends on which CPF Life plan you opt for.
  • Fun fact #3: All Singaporeans born in 1961 and after are auto-enrolled in CPF Life. And you can’t opt out. Unless you plan to leave Singapore AND Malaysia for good.
  • Fun fact #4: You can withdraw CPF on medical grounds, but unless you are terminally ill, you will not be able to get it in a lump sum.
  • Fun fact #5: There IS one way to turn your CPF into actual cash. You just have to die.

 

 

 

I heard they took 30yrs to give it to your NOK after you die ? 

:a-rip:

 

:D

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Wt_know

Wt_know

Supersonic
(edited)

is this real or fake news?

buy hdb $400k, fully paid by cpf

sell hdb $500k, have to top up $12k to ownself cpf account due to accrued interest?

then sell hdb for fck, smlj?

 

after holding/living is a hdb for 35-40 years

your accrued interest is perhaps $300k-$400k?

and your hdb is depreciating after 35-40 years old ...

means you owe yourself a big fck of accrued interest when you sell?

 

Edited by Wt_know
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