I started serious Investing Journey in Jan 2000 to create wealth through long-term investing and short-term trading; but as from April 2013 my Journey in Investing has changed to create Retirement Income for Life till 85 years old in 2041 for two persons over market cycles of Bull and Bear.

Since 2017 after retiring from full-time job as employee; I am moving towards Investing Nirvana - Freehold Investment Income for Life investing strategy where 100% of investment income from portfolio investment is cashed out to support household expenses i.e. not a single cent of re-investing!

It is 57% (2017 to Aug 2022) to the Land of Investing Nirvana - Freehold Income for Life!

Click to email CW8888 or Email ID : jacobng1@gmail.com

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This blog is authored by an old multi-bagger blue chips stock picker uncle from HDB heartland!

"The market is not your mother. It consists of tough men and women who look for ways to take money away from you instead of pouring milk into your mouth." - Dr. Alexander Elder

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Sunday 1 January 2023

I am on Retirement Sum Scheme (RSS) (4)

Read?  I am on Retirement Sum Scheme (RSS) (3)

At 65 is $1,180 for 23 yrs. End at 88

At 67 is $1,631 for 20 yrs! End at 87

Funny leh!

Delay RSS withdrawal will mean living one year shorter meh???



  1. This comment has been removed by the author.

  2. Hi CW,

    Happy New Year to you and loved ones!

    Thanks for sharing. Very interesting indeed! I see that the CPF Board has a lot of quaint policies.
    Many people are also puzzled why they still require those above 55 to keep $20K in their OA and $40K in their SA and they can invest the remaining amount in T-bills and FDs (even when their RA have FRS).

    Have you considered joining CPF Life?We are auto-enrolled in CPF Life when the time comes. Currently my RA and my wife's RA combined has $740K. We have been topping up our RA every new year's day to the new ERS. So when we reached 67 yo, our combined RA will hit $1M. We are currently thinking of only starting the CPF Life at 70, another 8 years to go. Lets see.

    1. Not joining cpf life to bet on lifelong payout. Just take back whatever I have put in since I have a choice.

  3. Super New Year CW!

    I see you prefer more "certainty" with your retirement funds ;)

    RSS is original CPF - our CPF money is OUR CPF money. We know exactly WHERE every cent will eventually end up - be it to ourselves or our loved ones (precision). WHEN we move on has NO impact whatsoever.

    CPF Life is ironic. Started life as Save More, then will morph into a sort of "speculative" Earn More vehicle...

    If long life, can "Earn More" - others who up-lorry early will subsidise you. The total CPF Life payouts will beat RSS!

    However, the reverse is true (no free lunch). That's where the speculative element lies (clear as mud)!

    WHEN we go sell salted fish has an impact whether we "Earn More" or "Earn Less" ;)

    No choice. With more old fogeys than tax paying youths going forward, big daddy has to "socialise" amongst old fogeys.

    Which is fairer to youths.

    But then again, no harm in encouraging youths to voluntarily contribute to CPF!

    1. Not sure how many are aware of CPF shifting posts and inconsistent payout formula as someone who will be affected in the future with no reversal.

  4. A Happy, Healthy & Huat 2023 for all,

    Prior to 2020, RSS pay out was computed with age 95 as the end point. Starting from 2020, 90 was the end point. This change was a result of a public complain that few would live to 95. CW, you will receive ~ $1630/month till 90, the "extension years" contributed by interest earned after start of payout (with runaway inflation, CPF should consider adding another at least 1% to the current max 6% !).

    I will stay on with RSS, don't mind forego a "life time" of payout. A selfish reason. Have topped up to the Enhanced Retirement Sum since the start of the scheme in 2016 + topped up to prevailing max every year. Including another 2 x $10,200 end of this month (the prevailing max for 2023), we will have injected more than $380,000 into our RA, with combined total now at $850,000. Prefer to keep interest earned to ourselves and not pass to the pool under CPF Life. Plan to continue to top up & start withdrawal in 2 years' time when we turn 70.

    1. Updated with CPF RSS calculator result. It is $1,631 for 20 yrs! Let see next year payout estimate at 68 and then to 70.

    2. CW,

      I was in Greece Athens. The pool version as in pensions suck big time over there!

      During the euro crisis, Greek pensions got cut by up to 50% and more!!!

      Try complaining to politicians who made pension promises that are no longer around...

      That's why our original CPF - where my money is my money - is very unique globally with all the unfunded liabilities that everyone tries to ignore (like in Japan, US, Western Europe).

      I guess our own unique version is not sustainable in the long run unless we welcome Singapore 10 million?

      So CPF Life it is then!

  5. Uncle8888,

    Lol, cpf has frontloaded your payouts so become shorter.

    You can ask cpf to stretch to 90 with slightly reduced payouts.

    Your start-at-67 payout is 38% higher than start-at-65 payout which is much higher than their advertised 7% per year increase (14.5% compounded for 2 years delay). ;)


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