tag:blogger.com,1999:blog-7944902213075756335.post5179958110014273459..comments2024-03-29T10:22:24.187+08:00Comments on A Singaporean Stocks Investor (ASSI): Build a bigger retirement fund with CPF-SA (UPDATED).AK71http://www.blogger.com/profile/16832145412062954289noreply@blogger.comBlogger18125tag:blogger.com,1999:blog-7944902213075756335.post-41432763386974617562014-05-08T21:58:36.258+08:002014-05-08T21:58:36.258+08:00"Spend less than you make; always be saving s..."Spend less than you make; always be saving something. Put it into a tax-deferred account. Over time, it will begin to amount to something. This is such a no-brainer." Charlie Munger<br /><br />The CPF and the SRS are what we have here in Singapore.AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-20447041043256836732014-05-08T12:13:01.021+08:002014-05-08T12:13:01.021+08:00The Ministry of Manpower (MOM) and CPF Board joint...The Ministry of Manpower (MOM) and CPF Board jointly announced that the CPF Minimum Sum has been increased to S$155,000 to account for inflation.<br /><br />This will apply to CPF members who turn 55 between July 1 this year and June 30 next year.<br /><br />This will be set aside in their Retirement Account using savings from their Special, and then Ordinary Accounts.<br /><br />The minimum sum AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-51540755575482698822012-11-19T15:42:02.450+08:002012-11-19T15:42:02.450+08:00Hi Serendib,
When the government proposed to make...Hi Serendib,<br /><br />When the government proposed to make changes to the CPF interest rates, it was with the intention to have higher returns for account holders. I believe this was articulated in the national media.<br /><br />Since pegging the interest at 1% above the 10 years government bond coupon is going to result in a lower return, they keep extending the current interest rate of 4% forAK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-42485922060088951932012-11-19T15:35:01.433+08:002012-11-19T15:35:01.433+08:00Hi Joncreate,
For sure, we shouldn't be throw...Hi Joncreate,<br /><br />For sure, we shouldn't be throwing all our money into our OA or SA. CPF is to help with our long term retirement planning. To think that it is the only tool we ever need is definitely dangerous.<br /><br />CPF provides certainty and it is an important risk management tool for any Singaporean's long term retirement plan. Keeping this in mind, we would not be lulledAK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-9463377240321702512012-11-19T15:23:01.975+08:002012-11-19T15:23:01.975+08:00Hi SnOOpy168,
Thanks for sharing what you have fo...Hi SnOOpy168,<br /><br />Thanks for sharing what you have found out. Very useful, I am sure. :)AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-44925296153730923622012-11-19T15:21:25.267+08:002012-11-19T15:21:25.267+08:00Hi meesiam,
From the stuff you have shared, I hav...Hi meesiam,<br /><br />From the stuff you have shared, I have no doubt that you are financially savvy and you will have no problem retiring quite comfortably. :)<br /><br />I cannot say the same for the weather in the USA. Dry and cold, I had to leave a kettle on constant boil in my hotel room to sleep more comfortably. Minneapolis was -5 deg celsius when I arrived! -2 when I left.<br /><br />AreAK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-29240115672124377092012-11-19T15:15:02.372+08:002012-11-19T15:15:02.372+08:00Hi all,
Pardon the tardy response. I just came ba...Hi all,<br /><br />Pardon the tardy response. I just came back half a day ago after a 30 hours journey. Only woke up an hour ago. Whole body aching. Too old for long trips! Haha.. :(AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-34013998376961198512012-11-13T15:08:52.162+08:002012-11-13T15:08:52.162+08:00Hi AK, Ive transferred some CPF-OA funds to SA abo...Hi AK, Ive transferred some CPF-OA funds to SA about 5 years ago, and I also top-up my SA with cash - up to $7000 of which can be deducted from taxable income. However, I think we should be aware (I'm sure you already are) that the 4% yield is no longer guaranteed for the long term. It's meant to be pegged at 1% above the prevailing Sg govt 10 year bond, with a floor of 2.5%. This pegged Serendibhttps://www.blogger.com/profile/13279004588040425703noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-70021742494062114192012-11-12T13:16:31.219+08:002012-11-12T13:16:31.219+08:00Hi AK, thanks for all ur sharing and I really lik...Hi AK, thanks for all ur sharing and I really like the postings u have. For using CPF as a retirement fund, I felt thatbwe shouldn't put all our eggs into this one basket only. As.much as e fund is risk-free and that e returns r decent in today's financial environment, the fund is subjected to much control by e govt and e rules e.g. minimum sum, etc keeps on changing. 20 or 30 years downJoncreatehttps://www.blogger.com/profile/07178323412166032449noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-80332900333757772782012-11-12T10:21:13.893+08:002012-11-12T10:21:13.893+08:00hs ago, i was checking with cpf board about transf...hs ago, i was checking with cpf board about transferring from OA to SA. This is irreversible & the final amount in SA has certain caps. <br /><br />some faq for all<br /><br />CPF members who are below 55 may transfer their Ordinary Account (OA) savings to their Special Account (SA) to build up their retirement savings more quickly.<br /><br /><br />Q: Is there a minimum sum that needs to be SnOOpy168https://www.blogger.com/profile/16073641443037165395noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-13990130606073271552012-11-12T00:53:34.936+08:002012-11-12T00:53:34.936+08:00AK,
Good memory. I am in my mid-30s.
I did not ...AK,<br /> Good memory. I am in my mid-30s.<br /> <br />I did not transfer cash to OA, but rather my cash is to feed CPF-SA and SRS schemes so as to "delay" my part of nation building. <br /><br />My personal plan on retirement:<br />Source of income beyond 65<br />CPF-RA + SRS<br />Source of income beyond 45 <br />Investment (passive income)<br />Rental income (if market allows me to meesiamhttps://www.blogger.com/profile/11145280014164616438noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-60052822252641866152012-11-11T23:35:52.981+08:002012-11-11T23:35:52.981+08:00Hi Kim,
HDB's concessionary home loan rate is...Hi Kim,<br /><br />HDB's concessionary home loan rate is 2.6%. Our CPF-OA earns 2.5%. <br /><br />If we have as much funds in our OA as what we owe in our home loan, we are effectively paying only 0.1% interest on the home loan. The cost of keeping our funds in the OA is very low. <br /><br />You could use the funds in your OA to buy stocks in the event the stock market crashes. However, if AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-61471108972479266612012-11-11T23:01:35.629+08:002012-11-11T23:01:35.629+08:00Hi AK
I have been pondering whether to use my CPFO...Hi AK<br />I have been pondering whether to use my CPFOA to make a lump sum payment to HDB or transfer it to CPFSA, after reading Endrene's comment on your post. Sound like it is more logical to do the latter. <br />Or would it be better to use cash to top up CPF account and not SRS.....hmmm....thinking thinking....<br />Also like to thanks both you and Endrene for sharing, this will set us Kimhttps://www.blogger.com/profile/01177731631862556104noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-16580432699497458062012-11-11T15:46:08.659+08:002012-11-11T15:46:08.659+08:00Hi Endrene,
Haha... I have a habit of talking to ...Hi Endrene,<br /><br />Haha... I have a habit of talking to myself and that helps to keep me blogging but it is the constant interaction with readers that makes blogging really interesting. <br /><br />My blog gets good quality comments all the time but sometimes they are very good. As I found out that many people do not read comments, I should blog about these to draw attention to them. Good AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-62014954261302429362012-11-11T15:29:50.192+08:002012-11-11T15:29:50.192+08:00Hi AK,
Whoaaaahhh, didn't expect to get 30sec...Hi AK,<br /><br />Whoaaaahhh, didn't expect to get 30sec of fame on your blog! Oh no, I'm gonna lose my privacy!! Hahaha.<br /><br />Looks like you gonna have a busy week ahead. Enjoy your Deepavali in a foreign land! <br /><br />Next week, we'll have some clarity on Greek's debt financing and hopefully one hurdle will be out of our way while US tackles the looming fiscal cliff. EYhttps://www.blogger.com/profile/07808509235536260830noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-87621782830901173442012-11-11T15:19:26.208+08:002012-11-11T15:19:26.208+08:00Hi meesiam,
If I remember correctly, you are in y...Hi meesiam,<br /><br />If I remember correctly, you are in your mid-30s? If you have quite a bit of money in your OA, transferring some to your SA makes good sense. ;)<br /><br />From your points number 2 and 4, however, I get the impression that you transferred cash in your bank accounts to your CPF OA. Am I right?<br /><br />This is another tact to make our savings work harder, of course, and AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-52342272424284174452012-11-11T14:09:15.412+08:002012-11-11T14:09:15.412+08:00AK
I did my transfer since end of last year when ...AK<br /> I did my transfer since end of last year when i knew my second property is beyond reach due to regulations...<br />CPF says: investment property OA+SA > 50% of prevailing minimum sum....<br />MAS says: LTV drop to 60% for those with loan.... <br /> Since i am caught, just transfer to SA, besides higher interest. i have a few more benefits:<br />1. free myself from carrying hefty loanmeesiamhttps://www.blogger.com/profile/11145280014164616438noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-26995031118232901122012-11-11T10:12:11.308+08:002012-11-11T10:12:11.308+08:00Tomorrow, I will be going away for slightly more t...Tomorrow, I will be going away for slightly more than a week. So, there won't be new postings and I could take a longer time to reply to comments.AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.com