According to the latest news release from the Central Provident Fund (CPF) board posted on its website, it will be applying a new floor rate of 2.5% interest for all CPF accounts after 31 December 2009 (Source: CPF)
The government has been maintaining the 4% floor rate for savings in the Special Medisave and Retirement Accounts (SMRA) for two years from 1 January 2008 to 31 December 2009.
The interest rate for SMRA is pegged to the 12-month average yield of the 10-year Singapore Government Security plus 1% for this entire period of time.
The lower interests rate mean that Singaporeans will have less savings in their medisave accounts to be used for medical expenses and retirement account to depend on during their golden years.
Read rest of article here:
http://temasekreview.com/?p=12993
The government has been maintaining the 4% floor rate for savings in the Special Medisave and Retirement Accounts (SMRA) for two years from 1 January 2008 to 31 December 2009.
The interest rate for SMRA is pegged to the 12-month average yield of the 10-year Singapore Government Security plus 1% for this entire period of time.
The lower interests rate mean that Singaporeans will have less savings in their medisave accounts to be used for medical expenses and retirement account to depend on during their golden years.
Read rest of article here:
http://temasekreview.com/?p=12993
