PM: Government will set up an advisory panel to study:
a) how people can be allowed to take out part of their CPF savings in a lump sum after the age of 65, subject to limits;
b) how the Minimum Sum should be adjusted over time, so that members can continue to get an adequate basic retirement payout;
c) how members can have more flexibility to invest their CPF savings; and
d) how CPF Life payouts can take account of cost of living adjustments.
The final Minimum Sum adjustment, scheduled for next year, will be $161,000 for those turning 55 from 1 July 2015. With a property pledge, you will only need $80,500 in cash.
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Overheard :
So…do you think the minimum sum of S$161,000 is still too much?
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Overheard again :
- Simple Math. You gain more than what you set aside in your Minimum Sum. And you get a monthly payout for LIFE mind you.
- People seems to still NOT realise that there is no penalty to not meeting the Minimum Sum.It’s not die die must have. If you don’t meet the MS, you just get lesser per month but you will still get a payout for LIFE!If that amount is not sufficient for you to live on and you have no other access to money, there are many Helping Hands available to help you. Go to the CDC or to your MP. They will help you.
- When I did investments in stock market and some so-called highly recommended gold funds promoted by some experienced broker and financial consultant and lost a good amount of my savings, what still securely remain is my untouched CPF.
What I gained were regrets and own’s poor judgment and no one else’s responsibility, not your consultant or broker, lest the Government’s.If we choose to withdraw a big part of our savings and lost them, due to an decision made as an adult, we bear the outcome. That goes the same for CPF.Yet, we can’t stop people from abusing the system, seek financial assistance from government, and in the long run, the money have to come from somewhere, our taxes and our future generations’. The logic of cause and effect.
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