Procedure for withdrawing your CPF at 55

[Leongsam]

Good job, you caught Sam in one of his bullshit lies again. this guy is really giving the PAP IB a bad name, I can't believe that this is the only kind of Idiots the PAP can hire to come here and bullshit. You might also mention that for every sinkie that can withdraw $600K, there are another 50 who don't have the minimum amount. Don't forget that its easy nowadays to not have the miminum amount because a large portion is taken out for down payment on a flat and every month, you get your CPF deducted for mortgage payments too.

I'm relating what I was told. However, I have no reason to disbelieve this figure based on my own experiences.

If my memory serves me well, close to $2,400 per month was going into my CPF account monthly. Then there were contributions from 13th month bonuses plus additional end of year bonuses based upon company and personal performance. Commissions were also subjected to CPF deductions.

My cousin worked in banking for many years before he retired in his late 40s to do his own consultancy work. 6 to 8 months bonus was the norm during the good years and 2 to 3 months was typical of the quieter years.

If you do the sums, it works out. $2000 per month (employer plus employee estimated) x 16 months (12 + average 4 months bonus) x 25 years = $800,000 without adding the compound interest.

 

[Big Sexy]

mate, i google and it says the current CPF Annual Limit is $30,600. do your own math.
just pointing out that it isnt capped at 1800 per month.

http://mycpf.cpf.gov.sg/Employers/E...Employer_Limits_CPF_cons_CPF_Annual_Limit.htm

CPF contribution is capped at $1800 monthly (include employer and employee contribution). This $1800 got to be split up into OA,SA,MA. MA can never be withdraw somemore. I wonder how your cousin is able to accumulate 800k based on $1400 max he puts into OA and SA monthly.

 

[Papsmearer]

I'm relating what I was told. However, I have no reason to disbelieve this figure based on my own experiences.

If my memory serves me well, close to $2,400 per month was going into my CPF account monthly. Then there were contributions from 13th month bonuses plus additional end of year bonuses based upon company and personal performance. Commissions were also subjected to CPF deductions.

My cousin worked in banking for many years before he retired in his late 40s to do his own consultancy work. 6 to 8 months bonus was the norm during the good years and 2 to 3 months was typical of the quieter years.

If you do the sums, it works out. $2000 per month (employer plus employee estimated) x 16 months (12 + average 4 months bonus) x 25 years = $800,000 without adding the compound interest.

That is more bullshit from you. Please, u have already lost all credibility. U should just shut the fuck up. According to your calculations, your cousin contributed $2000 X 16 months = $32,000 per year for 25 years. well, the maximum CPF annual limit is only $30,600 today. And prior to 2011, it was only $27,158. And it was even lower going back to the early 90s. How can he have contributed $32,000 a year when CPF limits your annual total contribution (employee and employer) to $20,000 +/- during his working years? Your cousin is bullshitting you, and u have used his example to dishonestly hook wink sinkies and tell them there is something wrong with them when they cannot save this mythical number.

 

[Leongsam]

mate, i google and it says the current CPF Annual Limit is $30,600. do your own math.
just pointing out that it isnt capped at 1800 per month.

Thanks. I may not be current because I've been away for many years but I knew I was paying a lot more than $1800 into my CPF account every month and that was more than 2 decades ago.

30,600 x 25 = $765,000 without interest factored in.

 

[Cerebral]

That's because the government is prudent and looks at future values. $148,000 of today's money is equivalent to $168,000 a few years down the road.

Isn't future value suppose to be coming from yield from our capital sum? Shouldn't the GIC be earning inflation+ returns, considering that they hire "brilliant" fund managers

 

[Muthukali]

Isn't future value suppose to be coming from yield from our capital sum? Shouldn't the GIC be earning inflation+ returns, considering that they hire "brilliant" fund managers

If they are brilliant, might as well trade for themselves, why make others richer?

 

[Papsmearer]

Thanks. I may not be current because I've been away for many years but I knew I was paying a lot more than $1800 into my CPF account every month and that was more than 2 decades ago.

30,600 x 25 = $765,000 without interest factored in.

It only became $30,600 in 2011 you moron. Prior to that, it was only in the $20,000s. So, your numbers are still wrong.

 

[Papsmearer]

Isn't future value suppose to be coming from yield from our capital sum? Shouldn't the GIC be earning inflation+ returns, considering that they hire "brilliant" fund managers

Bingo. Paying 1%, than 1.5%, and eventually now 2.5% interest on the CPF account is way below the inflation rate. So, every year that you leave the money in the CPF, your real puchasing power has been declining. u are actually losing money, something that the idiot Sam can't understand.

 

[Big Sexy]

i was paying more than 1800 per month too and that was like many years back.....so i am sure it is not capped at that
i now have more than 700K in my CPF account too.. they made me pay interest for the house i sold and that amount was more than 250K..
so it is possible to have 700K in that period of time.

Thanks. I may not be current because I've been away for many years but I knew I was paying a lot more than $1800 into my CPF account every month and that was more than 2 decades ago.

30,600 x 25 = $765,000 without interest factored in.

 

[Cerebral]

Good job, you caught Sam in one of his bullshit lies again. this guy is really giving the PAP IB a bad name, I can't believe that this is the only kind of Idiots the PAP can hire to come here and bullshit. You might also mention that for every sinkie that can withdraw $600K, there are another 50 who don't have the minimum amount. Don't forget that its easy nowadays to not have the miminum amount because a large portion is taken out for down payment on a flat and every month, you get your CPF deducted for mortgage payments too.

He may have sold his HDB at Bishan at 54 years old

 

[Leongsam]

That is more bullshit from you. Please, u have already lost all credibility. U should just shut the fuck up. According to your calculations, your cousin contributed $2000 X 16 months = $32,000 per year for 25 years. well, the maximum CPF annual limit is only $30,600 today. And prior to 2011, it was only $27,158. And it was even lower going back to the early 90s. How can he have contributed $32,000 a year when CPF limits your annual total contribution (employee and employer) to $20,000 +/- during his working years? Your cousin is bullshitting you, and u have used his example to dishonestly hook wink sinkies and tell them there is something wrong with them when they cannot save this mythical number.

Like I said I don't know how the rules have changed over the years but I have, at this very moment, a CPF statement in front of me with $830,000 in the ordinary account and this was from just 22 years of employment.

You can try as you may but you cannot alter the reality that the CPF scheme is an excellent piece of work and the government should be given full credit for implementing it.

 

[Cerebral]

If they are brilliant, might as well trade for themselves, why make others richer?

I have thought about this and my answer is capacity. There are very brilliant people around, but he/she may lack the funds to capitalise on their ideas. They are marking time earning money for others while preparing for their own.

Please note that I am in no way saying the blokes at GIC are brilliant

 

[Leongsam]

Bingo. Paying 1%, than 1.5%, and eventually now 2.5% interest on the CPF account is way below the inflation rate. So, every year that you leave the money in the CPF, your real puchasing power has been declining. u are actually losing money, something that the idiot Sam can't understand.

Yes but that also meant that borrowing rates were far lower than market rates too and that property bought with cheap CPF funds in the 80s has now increased in value by more than 10 fold.

Like I said you cannot keep harping on the negatives and ignoring the positives of the scheme.

 

[Leongsam]

i was paying more than 1800 per month too and that was like many years back.....so i am sure it is not capped at that
i now have more than 700K in my CPF account too.. they made me pay interest for the house i sold and that amount was more than 250K..
so it is possible to have 700K in that period of time.

Was there an annual cap in the good old days? I don't recall having any such restrictions. 20% of my bonus disappeared immediately.

 

[SockPuppet]

Singaporeans are generally unhappy not because of the PAP but because of the attitude they take towards life.

They are constantly bitter, resentful, jealous of those who are doing better and they harp on the negatives rather than identifying the positives and working the system to their advantage.

With this sort of mindset, they'll be miserable no matter where they are in the world and regardless of who is running Singapore.

Life is full of ups and downs and injustices exist everywhere. Nobody ever said life is fair. There will always be policies that rub you the wrong way under any government.

I know how it feels. I used to be in the same sorry state. The transformation came in the late 80s when I realised the only person who could determine my course in life was myself. I then set about to make the Singapore system work for me by taking advantage of positive aspects of PAP rule while drawing up plans to avoid the negatives.

Almost 3 decades have gone by and I'm I have a sense of satisfaction in that I succeeded in screwing the PAP in my own little way instead of wasting my time writing and uploading images to STOMP and bleating about my sorry life to Gilbert Goh.

This taking responsibility for yourself attitude is something that I must agree with!

 

[scroobal]

Everyone should read the essays in the book Hard Choices where universal welfare coverage for basic health and needs provided by the Nordic and Nothern States went hand in hand with overall growth and general happiness.

Should also read the Mercer report which thoroughly embarrassed CPF some years ago where they were given C rating. They quickly started the pooled annuity that raised them to B grade. Denmark and Australia rank A. If Mercer did not include us in their study, we would still be in C grade and CPF Board collecting director fees blindly.

 

[Leongsam]

Everyone should read the essays in the book Hard Choices where universal welfare coverage for basic health and needs provided by the Nordic and Nothern States went hand in hand with overall growth and general happiness.

Should also read the Mercer report which thoroughly embarrassed CPF some years ago where they were given C rating. They quickly started the pooled annuity that raised them to B grade. Denmark and Australia rank A. If Mercer did not include us in their study, we would still be in C grade and CPF Board collecting director fees blindly.

General happiness my ass. The suicide rates in the Nordic states are all higher than Singapore.

In Finland, the male suicide rate is 24.6 per 100,000 population compared to Singapore's 13.3... ie almost double that of Singapore.

Happiness doesn't come from receiving free money that you didn't have to work for. It comes from a sense of achievement from overcoming the odds and from not taking life too seriously when things don't go your way.

That's why the overall suicide rate in Pinoyland is only 2.75 despite having no welfare, constantly being attacked by the forces of nature and being racially abused by well to do sinkies.

 

[sleaguepunter]

Pinoy lower suicide rate because those destitutes already killed by hunger, diseases, hardship plus of course mother nature before they can tot of suicide.

 

[KNNBNBCB]

mate, i google and it says the current CPF Annual Limit is $30,600. do your own math.
just pointing out that it isnt capped at 1800 per month.

http://mycpf.cpf.gov.sg/Employers/E...Employer_Limits_CPF_cons_CPF_Annual_Limit.htm

30800 is the annual maximum voluntary contribution limit. Cpf mandatory is capped at 5k salary x 20+16%. which is 1800.

 

[KNNBNBCB]

This taking responsibility for yourself attitude is something that I must agree with!

You are an idiot. It is your own responsibility for your own finance but it is the Pap responsibility to return everything at 55.