13 Sep 2019
My mum is 57, her Retirement acc has around 30k. Since there is still 8 more years to do so, Should I top up her CPF monthly so that she will qualify for CPF LIFE of 60k minimum when she is 65?
Understand that CPF life gives payout for life,
If not the payout would depletes ones it deplete.
I am going contrarian thinking. But it depends whether you are looking to
(1) maximise value, or
(2) Insure for life-long income.
If you wish for (1), you have to understand that the payouts will run out at age 91, since she will be on the Retirement Sum Scheme.
But if she has CPF combined 60k, they are already earning 6%/5% interest, so it's also 1 way to ask yourself, do you want to use those interest to fund her too?
Speak to me for a detailed explanation as it will involve a long talk and strategic placement.
She may already have met the minimum $60k requirement. You may like to check if any money was withdrawn at 55yo to pay for cpf life premiums. By right half of the retirement sum should have been used by cpf at 55yo.
Otherwise, yes you can consider topping up cpf for your mom, you may also like to check the details on IRAS website there should be tax relief for doing so (if I remember right).
Yes, that is definitely an option. Help her to achieve a basic level of guaranteed lifetime income. ...
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