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Anonymous
Hello everyone.
I will be 39 years old this year and have just hit my Full Retirement Sum in my Special Account.
First Query: I am trying to do a projection for my Retirement Account when I reached the age of 65, assuming that I contribute the maximum of $37740 to my CPF yearly and compounding with 4% interest rate. I am able to get some rough figures (~$1mil), but would like to check if there is any CPF calculator I could use to verify the figure or if anyone has done similar calculations before?
Second Query: Based on my rough calculations, I should have about $1mil in my Retirement Account when I am 65 years old. If so, I would like to check what is the estimated CPF Life payout per month for all three plans viz. Standard, Escalating and Basic plans assuming if I start the payout from 65 years old. The online calculator on CPF website only cater for up to $300,000 Retirement Account balance.
Will anyone be able to help, please? Thanks!
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You do know that there is limit to the amount in RA when your 55 right?
Given the EHS cap, and the compounded growth of 10 years. It is unlikely to have a CPF life premium at 1mil.
You should be looking at what CPF provide based on this cap, and supplement with your own investments and annuity plans outside.
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Tan Choong Hwee
02 Apr 2023
Investor/Trader at Home
Perhaps you can use this calculator for projection:
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Your expected FRS in 2039 is 344K...
The maximum amount you can have in your RA is the prevailing ERS (1.5x FRS). Based on FRS of 344K, ERS will be 516K.
Based on the max 300K, the CPF LIFE estimator gives out 1880-2380/mth.
So for FRS of 344K, it shouldn't be far off to what you'll be getting. Perhaps slightly more.