Financial Literacy
Reaching 55
Foreword
It’s almost your 55th birthday*. Now is a good time to look at your retirement finances and ensure you have a good plan when you retire. This booklet will help you understand the role your CPF savings are going to take. It provides information on the Minimum Sum Scheme, the CPF LIFE Scheme and related CPF matters. More importantly, it shows you how to make your CPF work harder for you, as you enter a new phase of your life. Happy 55th Birthday!
Soh Chin Heng
Deputy Chief Executive [Services]
CPF Board
*The
numerical figures used in this booklet apply to members reaching 55 from July to December 2012.
55
Reaching
At 55, it’s time to make your next move
ContentS
02 03 05 07 09 10 13 14 15
Reaching 55 CPF at 55 How much can you withdraw? Continue saving with CPF How to withdraw? CPF LIFE - the trump card for your retirement income Get Your D-Bonus Top up for tax savings and attractive interest CPF from 55 and beyond
1
55
Remember three points at 55:
Reaching
Reaching 55
In the lead-up to your retirement years, CPF should be at the top of your financial agenda. At 55, two important things occur when it comes to your CPF: 1. A Retirement Account (RA) is created to set aside your CPF Minimum Sum. 2. You can withdraw a portion of your CPF savings (termed ‘withdrawable amount’) if you so choose.
1
On CPF Withdrawal: To do not H i n g is a good thing!
While withdrawal is an option open to you, this is not a decision to rush into. You may find that your CPF savings will work harder for you during your retirement if you choose not to withdraw. After all, you’ve worked hard to accumulate your CPF savings all these years. You want to stretch the value as far as possible. Instead of withdrawing immediately upon turning 55, it may be more beneficial to retain it in your CPF accounts. Let your total CPF savings count towards a proportion of your overall retirement provisions. Rather than withdraw your
Foreword
It’s almost your 55th birthday*. Now is a good time to look at your retirement finances and ensure you have a good plan when you retire. This booklet will help you understand the role your CPF savings are going to take. It provides information on the Minimum Sum Scheme, the CPF LIFE Scheme and related CPF matters. More importantly, it shows you how to make your CPF work harder for you, as you enter a new phase of your life. Happy 55th Birthday!
Soh Chin Heng
Deputy Chief Executive [Services]
CPF Board
*The
numerical figures used in this booklet apply to members reaching 55 from July to December 2012.
55
Reaching
At 55, it’s time to make your next move
ContentS
02 03 05 07 09 10 13 14 15
Reaching 55 CPF at 55 How much can you withdraw? Continue saving with CPF How to withdraw? CPF LIFE - the trump card for your retirement income Get Your D-Bonus Top up for tax savings and attractive interest CPF from 55 and beyond
1
55
Remember three points at 55:
Reaching
Reaching 55
In the lead-up to your retirement years, CPF should be at the top of your financial agenda. At 55, two important things occur when it comes to your CPF: 1. A Retirement Account (RA) is created to set aside your CPF Minimum Sum. 2. You can withdraw a portion of your CPF savings (termed ‘withdrawable amount’) if you so choose.
1
On CPF Withdrawal: To do not H i n g is a good thing!
While withdrawal is an option open to you, this is not a decision to rush into. You may find that your CPF savings will work harder for you during your retirement if you choose not to withdraw. After all, you’ve worked hard to accumulate your CPF savings all these years. You want to stretch the value as far as possible. Instead of withdrawing immediately upon turning 55, it may be more beneficial to retain it in your CPF accounts. Let your total CPF savings count towards a proportion of your overall retirement provisions. Rather than withdraw your