Depending who you are asking?
CPF contributions and CPF Investment scheme are good for our CPF OA! No?
Uncle8888's CPF OA CAGR @ 13.7% since Jan 2002
Now who hates CPF?
Some notes on CPF limit and ceiling:
What is the CPF Annual Limit?
The CPF Annual Limit is the maximum amount of mandatory and voluntary contributions to all three CPF Accounts that a CPF member can receive in a calendar year. The current CPF Annual Limit is $31,450.
What are the CPF contribution ceilings?
- Ordinary Wage Ceiling
Ordinary Wages (OW) are wages due/granted wholly and exclusively for your employment in a month and are payable before the due date for payment of CPF contributions for that month. An example of OW is your monthly salary.
The maximum amount of CPF contribution payable on OW is the OW Ceiling, which is currently $5,000. For example, if you earn a monthly wage of $5,500, only $5,000 would attract CPF contributions; the remaining $500 would not.
- Additional Wage Ceiling
Additional Wages (AW) are wages which are not granted wholly and exclusively for your employment in the month. These payments are usually made at intervals of more than a month. Examples of AW are your annual bonus and leave pay.
The AW Ceiling is the maximum amount of AW that attracts CPF for the year, and can be computed using the following:
$85,000 - Total OW subject to CPF for the year
For example, if you joined the company in January 2014 with a monthly wage of $5,000 and was granted a year-end bonus of $30,000 in December 2014, the AW ceiling that is applicable would be $85,000 – ($5,000 x 12) = $25,000. Since the year-end bonus amount is more than the ceiling, only $25,000 would attract CPF contributions; the remaining $5,000 would not.
The AW ceiling is computed on a per employer basis. You may use our Additional Wage Ceiling Calculator to compute this amount and refer to some examples of computation.