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27-04-2015, 04:40 PM
An honorable member of the Coffee Shop Has Just Posted the Following:
GOVT'S OWN ENHANCED CPF EXAMPLE - ONLY $300 MONTHLY FROM 65?
Post date:
27 Apr 2015 - 10:04am
http://therealsingapore.com/sites/default/files/styles/large/public/field/image/CPF_postbudget_EN_strip1_v15.jpg?itok=gg_D91Fq (http://therealsingapore.com/sites/default/files/field/image/CPF_postbudget_EN_strip1_v15.jpg)
[Pic Credit: CPF Borad]
CPF example of a 55 year old Singaporean
According to this post on CPF (https://m.facebook.com/gov.sg/photos/a.10152154310918686.1073741828.109555293685/10153186942218686/?type=1&source=48) by the government.
“Mrs Ang will turn 55 in 2016 and has $40,000 in CPF savings. How will the new CPF enhancements help her prepare for retirement? Find out more on: http://sg.sg/1NHy4sB"
http://www.gov.sg/government/web/con...pg?MOD=AJPERES (http://www.gov.sg/government/web/content/5ab3cf8048182141be63be97cd5045b1/CPF_postbudget_EN_strip1_v15.jpg?MOD=AJPERES)
Can survive on $300?
The bottom line is - can Mrs Ang survive on $300 a month from age 65 and beyond, after accounting for inflation in the future?
The issues remain unaddressed?
The issue is that if Mrs Ang lives in any other country – her pension fund may be much more, as Singapore has the lowest real annualised rate of return among all national pension schemes in the world, since 1999.
Also, many countries actually spend money on their citizens’ pension payouts such that they are normally indexed for inflation.
In contrast, we do not spend a single cent from a cashflow perspective, as all the CPF contributions come from the citizens, annual contributions far exceed annual withdrawals, and the Government keeps an estimated 3 per cent or more of the annualised returns derived from CPF funds historically.
How many Singaporeans are like Mrs Ang at age 55 – with less than $40,000 in their CPF Ordinary and eSpecial accounts? About 1 in 3 Singaporeans?
We should be comparing and evaluating ourselves with the pension schemes of other developed countries, instead of with our old CPF scheme before the recent changes.
Win battles lose war
TRS Contirbutor
Click here to view the whole thread at www.sammyboy.com (http://www.sammyboy.com/showthread.php?205536-GOVT-S-OWN-ENHANCED-CPF-EXAMPLE-ONLY-300-MONTHLY-FROM-65-Sad!&goto=newpost).
GOVT'S OWN ENHANCED CPF EXAMPLE - ONLY $300 MONTHLY FROM 65?
Post date:
27 Apr 2015 - 10:04am
http://therealsingapore.com/sites/default/files/styles/large/public/field/image/CPF_postbudget_EN_strip1_v15.jpg?itok=gg_D91Fq (http://therealsingapore.com/sites/default/files/field/image/CPF_postbudget_EN_strip1_v15.jpg)
[Pic Credit: CPF Borad]
CPF example of a 55 year old Singaporean
According to this post on CPF (https://m.facebook.com/gov.sg/photos/a.10152154310918686.1073741828.109555293685/10153186942218686/?type=1&source=48) by the government.
“Mrs Ang will turn 55 in 2016 and has $40,000 in CPF savings. How will the new CPF enhancements help her prepare for retirement? Find out more on: http://sg.sg/1NHy4sB"
http://www.gov.sg/government/web/con...pg?MOD=AJPERES (http://www.gov.sg/government/web/content/5ab3cf8048182141be63be97cd5045b1/CPF_postbudget_EN_strip1_v15.jpg?MOD=AJPERES)
Can survive on $300?
The bottom line is - can Mrs Ang survive on $300 a month from age 65 and beyond, after accounting for inflation in the future?
The issues remain unaddressed?
The issue is that if Mrs Ang lives in any other country – her pension fund may be much more, as Singapore has the lowest real annualised rate of return among all national pension schemes in the world, since 1999.
Also, many countries actually spend money on their citizens’ pension payouts such that they are normally indexed for inflation.
In contrast, we do not spend a single cent from a cashflow perspective, as all the CPF contributions come from the citizens, annual contributions far exceed annual withdrawals, and the Government keeps an estimated 3 per cent or more of the annualised returns derived from CPF funds historically.
How many Singaporeans are like Mrs Ang at age 55 – with less than $40,000 in their CPF Ordinary and eSpecial accounts? About 1 in 3 Singaporeans?
We should be comparing and evaluating ourselves with the pension schemes of other developed countries, instead of with our old CPF scheme before the recent changes.
Win battles lose war
TRS Contirbutor
Click here to view the whole thread at www.sammyboy.com (http://www.sammyboy.com/showthread.php?205536-GOVT-S-OWN-ENHANCED-CPF-EXAMPLE-ONLY-300-MONTHLY-FROM-65-Sad!&goto=newpost).