Your Savings Is Tops In Asia - aka CPF
 

SINGAPORE: Singapore has the best retirement income system in Asia with its Central Provident Fund (CPF) but there is still room for improvement, wealth consulting firm Mercer said in a media release on Monday (Oct 23).

Calculated on its adequacy, sustainability and integrity, the 2017 Melbourne Mercer Global Pension Index revealed that Singapore's index value of 69.4 has increased by 2.4 points from last year.

Measured against 30 countries, the index puts Denmark at the top of table for the sixth consecutive year.

With its B grade, Singapore has made continuous improvements through CPF by "providing more flexibility to its members", said Garry Hawkers, Mercer's Asia zone wealth business coordinator.

In 2016, the Government made changes to the system which included providing minimum CPF top-up amounts for the poorest individuals, more flexibility in drawing down retirement amounts and increases to certain contribution rates and interest guarantees.

http://www.channelnewsasia.com/news/...-index-9335236

China gets C grade but I always see their Retirees dancing in the parks and outside shopping malls in the evenings.......

We are highest in Asia.......but our old folks are still helping to clear tables......

:D another best on paper for what.

Can see cannot touch; diew.

On paper, yes.
Reality not enough to pay those due for retirement, thus new policy arose to keep on pushing up the age.

Its a good system on papers but on reality most of the citizen's contribution are spent on property refinancing, raising medical cost and slow accumulation in Special account so this system is a white elephant.

Taking it apart

CPF for housing
It's actually good. Put it this way, without our forced savings, many youngsters may not even accumulate enough for downpayment.

The monthly contribution, being segregated into Ordinary, Special and Medisave, ok it's still acceptable as Ordinary is used for housing by many, as well as using some for education and what's permitted.

Special is locked away. That sucks. When we are unemployed and OA is dry, we can't just use SA. Jobless liao how to pay in cash?

Medisave and healthcare cost
Well, our healthcare subsidy isn't sufficient to us as citizens. Debatable question on what is enough.

Since it's kinda cast in stone, only thing I can do to mitigate healthcare cost is to be amply insured. Don't want to be caught with my pants down and having to resort to exhausting every possible finances if something bad happens.

Retirement Account
This one sucks! But than again... since it's also kinda cast in stone, than I'll buffer it into my retirement planning, as a small sum that I will get, plus where else I am going to find funds for my retirement.

Can also pledge up to 50% of RA from our property.

Our HDB
Gov very smart. They know e greying population will be a burden, they built many avenues where we will end up needing to consider if our funds runs dry. There are a few options opened to retirees on their HDB flats. That includes selling back remaining lease, selling it and moving to 'studio' flats, etc.

In conclusion
End of the day, I grumble and am also not agreeing with PAP on many of their doings, but well, I just buffer their policies into my life since I know these can't be changed anytime soon. If policies changed, will it be for the better? I don't know.

Basically cpf savings(retirement funds) didn't keep up with cost of living.
Bottom line, a failed retirement plan.

Very well $crewed, bravo.
Fiscally tethered humans are not financially free, slaves to money :D

Slaves is good, they can't question master :D

and that's what they want to make people to be. No time to or breathing space to be funny with them except for the occassional few who will end up being made to be perceived like mad men by the public at large.

In simple illustration :
- Most guys who did up to tertiary education at abt 23/24 yrs old, starts work
- Get married, buy flat at about 30yrs old slave for flat for next 30yrs
- Have kid at about 32yrs old, slave to bring up kid till about late 50s
- Left with a few years to so called build up retirement funds...
- At 65yrs old, not enough money, become cleaner or security guard (not million dollar emeritus cleaner or security guard hor)

And the CPF for retirement.... well if they have it their way, which they do... gov cares, they help take care of us, to hv money for funeral from CPF :D

Best gov in the world.

:D wow! So much for quality life :D

Work till death ... slave till death :mad:

A promise is a promise, Ah Gong and team promised return CPF at 55. That is it! PAP don't need to worry for us how we live with our money.