(03-09-2012, 12:03 PM)sgd Wrote: [ -> ]Investing is not so easy, all investing is a risk even the few good ones that you manage to find is also risk at most is only margin of safety. Even CPF is also risk, if they loan money for gic bonds and gic made bad calls in investing and can't pay and need "more time". Minimum age for withdrawal goes up why do you think they keep raising the age?
The withdrawal age always remains the same but the minimum sum has increased through the years.
http://mycpf.cpf.gov.sg/CPF/my-Cpf/reach...ch55-2.htm
The increase in minimum sum correlates more with Singapore's life expectancy and takes into account of inflation.
http://www.tradingeconomics.com/singapor...-data.html
In 1992, the average life expectancy is 75. Now it is around 81.
hi yeo,
http://www.mom.gov.sg/employment-practic...cheme.aspx
Minimum Sum Scheme
The CPF Minimum Sum Scheme aims to provide members with a monthly income to support a basic standard of living during their retirement. CPF members can apply to commence their monthly withdrawals from their Retirement Account when they reach their applicable Draw Down Age. The monies in the Retirement Account currently earns 4% interest per annum. The interest rate is reviewed yearly.
Upon reaching 55 years old, members are able to withdraw the portion of their CPF savings in excess of the Minimum Sum. This allows members to use their savings to meet their financial needs at 55 years of age, while ensuring they also have some regular income to live on in their retirement.
- so in other words if you reach 55 and don't have anything in excess of the minimum sum(as of 2012 it's $139k) to withdraw they will tell you "sorry cannot come and talk when you are older again at 65" People living longer is just a lame excuse to delay payment I don't believe it if you do.
To me the best way is to let the opposition control running of the the CPF that way it's 2 seperate entities and very transparent which everybody knows it will never happen. So the best other way is to introduce more and more opposition into parliament.
(03-09-2012, 01:29 PM)sgd Wrote: [ -> ]hi yeo,
http://www.mom.gov.sg/employment-practic...cheme.aspx
Minimum Sum Scheme
The CPF Minimum Sum Scheme aims to provide members with a monthly income to support a basic standard of living during their retirement. CPF members can apply to commence their monthly withdrawals from their Retirement Account when they reach their applicable Draw Down Age. The monies in the Retirement Account currently earns 4% interest per annum. The interest rate is reviewed yearly.
Upon reaching 55 years old, members are able to withdraw the portion of their CPF savings in excess of the Minimum Sum. This allows members to use their savings to meet their financial needs at 55 years of age, while ensuring they also have some regular income to live on in their retirement.
- so in other words if you reach 55 and don't have anything in excess of the minimum sum(as of 2012 it's $139k) to withdraw they will tell you "sorry cannot come and talk when you are older again at 65" People living longer is just a lame excuse to delay payment I don't believe it if you do.
To me the best way is to let the opposition control running of the the CPF that way it's 2 seperate entities and very transparent which everybody knows it will never happen. So the best other way is to introduce more and more opposition into parliament.
I have not heard of any other innovative proposal in the world that can solve the cost of higher life expectancy. The natural solution is to delay the withdraw of retirement fund.
Have you?
I am quite glad for this scheme since it reduces the possible load on the future tax payers although it does penalize me for getting a higher return on my CPF.
From the investment records, I am quite sure that 80% of the CPF members are dumb investors and probably will fritter away the money in double quick time.
(03-09-2012, 01:43 PM)yeokiwi Wrote: [ -> ]I have not heard of any other innovative proposal in the world that can solve the cost of higher life expectancy. The natural solution is to delay the withdraw of retirement fund.
Have you?
From the investment records, I am quite sure that 80% of the CPF members are dumb investors and probably will fritter away the money in double quick time.
Delaying payment does not work either.
Can you imagine for a moment if now you reach 55yo and are expected to live longer and you go to cpf to get your money out and they tell you
"oops you don't have the minimum sum come back again in a few years"
So how will you live longer in the future if you can't even withdraw the money to live on today is ludicrous.
From which investment records you are referring to that is showing 80% are dumb?
(04-09-2012, 12:33 AM)Muck Wrote: [ -> ] (03-09-2012, 02:22 PM)sgd Wrote: [ -> ] (03-09-2012, 02:10 PM)yeokiwi Wrote: [ -> ]http://www.valuebuddies.com/thread-2152-...l#pid26720
If there was a seperate entity publish those figures I may believe it. 
Well that doesn't seem possible does it? Not when the aggregated data would all reside only with CPF...
That does not really matter. Conspiracy theories are in abundant.
there are always people that still believe that
1) man had not landed on moon. They believed that the moon landing was a hoax.
2) US was keeping some alien bodies somewhere.
3) 911 terrorist strikes were orchestrated by US gov.
4) LKY created a hexagonal $1 coin to improve Singapore's fortune.
and LKY was dead prior before NDP2012 and the gov was withholding the info.
In short, It is not possible to convince everyone and everyone is entitled to their own opinions.
Just to chip in,
Previously, my wife and I used to buy CPF-linked shares.
Then rules changed. Cannot take out profit anymore.
Cannot buy anymore, due to limitations to the 40% rule.
We do not know or care what the government is thinking.
When they do something, there is always a reason.
We have fully paid for the our HDB flat.
The excess money not sufficent to buy a private property (or even its deposit).
We took a drastic step,
Our excess money in the Ordinary account, we transferred into
the Special Account to its maximum to earn the 4% (1.5% more than the Ordinary Account).
We think that they keep on raising the minimum sum, keeping the money in ordinary account is the same as keeping in special account, especially if we cannot take out.
Of course, hoping they will not lower the interest rate.
Hopefully the money is still around when we are due to collect them.
(Is it still there ?)
Hopefully, we are still around to collect our due money.
(Are we still around ?)
If not, hopefully our children can inherit them.
(Good Luck !)
(04-09-2012, 07:10 AM)yeokiwi Wrote: [ -> ]That does not really matter. Conspiracy theories are in abundant.
there are always people that still believe that
1) man had not landed on moon. They believed that the moon landing was a hoax.
2) US was keeping some alien bodies somewhere.
3) 911 terrorist strikes were orchestrated by US gov.
4) LKY created a hexagonal $1 coin to improve Singapore's fortune.
and LKY was dead prior before NDP2012 and the gov was withholding the info.
In short, It is not possible to convince everyone and everyone is entitled to their own opinions.
Well said.
Conspiracy theories exist everywhere, from as serious as scientific fact to as minor as promotion in a company
Be suspicious is a virtue, as long as it is not excessive, to the extend that it waste their own and other people time
But some create the conspiracy theories with secret agenda. This is the dangerous part