Effective Interest Rates on CPF Accounts

For an updated version, refer to the article HERE. Is it always good to have a lot of money in your CPF? Maybe, maybe not! As the amount of money in your CPF account increases, the amount of interest you get from CPF increase (and they pay pretty high interest). However, as your account balance...

Read More

CPF Bonus +1% Interest for Age 55 & Above

Distribution of the CPF Extra +1% of Interest between your CPF Accounts There is a sequence in how the bonus CPF +1% interest is distributed into your CPF account. The sequence would determine how much money goes into your 4 different CPF accounts. MORE LINKS CPF Bonus 1% Interest for Below Age 55 Accrued...

Read More

CPF Bonus +1% Interest for Age below 55

Distribution of the CPF Extra +1% of Interest between your CPF Accounts There is a sequence in how the bonus CPF +1% interest is distributed into your CPF account. The sequence would determine how much money goes into your 3 different CPF accounts. The higher the percentage your OA & SA make up...

Read More

The Christmas Stock Market Rally

December is the month of the Stock Market! MORE LINKS Accrued Interest More than Housing Profits? What CPF means for those in their 20s? 5 Financial Things to do in your 20s Singapore Finance Minister on Personal Finance Part 2 Reducing CPF Housing Accrued Interest https://www.cnbc.com/2015/11/30/86-years-of-history-point-to-year-end-rally.html December has been a time where the market has never...

Read More

What CPF means for those in their 20s

CPF, in short for Central Provident Funds, is a "social security system that enables working Singapore Citizens and Permanent Residents to set aside funds for retirement. It also addresses healthcare, homeownership, family protection and asset enhancement.". Source: https://www.cpf.gov.sg/Members/AboutUs/about-us-info/cpf-overview .s This is quoted from the CPF website and as defined...

Read More

NSF Private's Pay on Li Ka Shing Advice

In our previous post, we shared how we can adjust Li Ka Shing's advice on money management to Singapore's version and circumstances. The link is here: Li Ka Shing's Advice - SG Version Being an NSF, I think it is only fair that I break down my salary and how I match it to Li Ka Shing's advice on money management! Of course, I did it with some adjustments to my circumstances. MORE LINKS Difference...

Read More

Li Ka Shing Advice - SG Version

http://e27.co/li-ka-shing-teaches-buy-car-house-5-years-20150408/ There was an article in the past that went viral. It talked about the advice given to young people by Hong Kong's richest man - Li Ka Shing. In the article, he talked about splitting our pay into 5 parts, each for a different purpose MORE...

Read More

Accrued Interest More than Profits from Selling of House

For an updated version, refer to the article HERE. Today's post is to answer if you need to top up cash to cover your housing loan's accrued interest should a shortfall occurs. The answer is, NO. Illustrations are below MORE LINKS Difference using Cash or CPF to pay Housing Loan? What to Own during Rate Hikes? Fine Print of CPF Money Withdrawal 5 Financial Things to do in your 20s Singapore...

Read More

What we know about risk is all wrong

As you can search in Google, Investopedia defines clearly what risk is. Schools preach on what risk is, how it is calculated and how it is quantified. But after reading this book, I am questioning the method that we were taught. MORE LINKS CPF Voluntary Contribution Rates What to Own during Rate Hikes? Fine...

Read More

Difference Using Cash or CPF to Pay Off Housing Mortgage

This post is dedicated to another reader of ours who posts us the following question: Is there any difference if I use cash to pay off my mortgage and not use the CPF vs I use my CPF and then add in the equivalent in cash into my CPF account. MORE LINKS CPF Voluntary Contribution Rates What to Own during Rate Hikes? Fine Print of CPF Money Withdrawal 5 Financial Things to do in your 20s Singapore...

Read More

Reducing/Preventing CPF Housing Loans' Accruing Interest

One of our readers asked us this question on our blog: Understand that the accrued interest have to paid back when we the property that is used to finance is sold. So if the property is not sold, the amount of OA used will still be incurring accrued interest, in this case, can we settle the amount to our CPF OA account using cash to stop it from accruing interest?  We went to do some research...

Read More

Jack Bogle 4 Investment Rules

https://www.cnbc.com/2015/10/14/jack-bogle-follow-these-4-investing-rules-ignore-the-rest.html Jack Bogle, founder of the whole's largest mutual fund, Vanguard Group, is a long-term advocate of simple long-term Index investing. He has a basic portfolio consisting of ONLY US Stocks and US Bonds. As you grow older, more percentage should shift toward Bonds instead of Stocks. At 86 years old, his current...

Read More

What to Own During Rate Hikes

CNBC recently have an article regarding what stocks should investors own if the Fed decides to raise interest rates. We figured it would be good to reproduce the piece here for our readers' reference. Below is the link to the original article http://www.cnbc.com/2015/09/15/when-the-fed-raises-rates-heres-what-happens.html MORE LINKS GE Effect on STI Raising of Re-Employment Age to 67 Singapore Finance...

Read More

Fine Print of CPF Money Withdrawal

Everyone knows that when you reach the age of 55, you need to set aside a sum of money in your CPF. You can start drawing That sum is known as Full Retirement Sum (FRS, previously known as Minimum Sum) MORE LINKS What is Full Retirement Sum(FRS)? What is Basic Retirement Sum (BRS)? Singapore Finance Minister on Personal Finance Singapore Growing ETF Choices Raising of Re-Employment Age to 67 How...

Read More

To a whole new world!

As the blog marches on towards more and more viewers, we are also looking for ways to engage you better, more effectively and via a convenient channel. Few months before, we launched a mailing list for you to receive updates as well as feedbacks on our blog easily. It is a simple mailer that anyone...

Read More

5 things that you need to start doing to improve your financials during your early 20s

Most people in the early 20s would think that they still have a long way before retirement and financial planning is too "kewl" for them. Contrary to that, early financial planning can go a long way. This is especially due to the power of compounding. Well, here are 5 things that you NEED to start doing...

Read More

Singapore Finance Minister on Personal Finance - Part2

Following up to our previous post on Singapore Finance Minister on Personal Finance We decided to do some statistics on how effective the method of prudent financial planning was. He mentioned using Government Assets to generate Investment Income, and that income can be used to pay for anything as required by the country - a never-ending stream of cash inflow. We think the same would work for...

Read More

Rate Hike = 9.5% Return

The 2-day Fed meeting is beginning today, with its focus on whether the Fed will raise interest rates or not! LINKS S&P500 Statistical Investment Opportunity STI 3rd Year Investment Trend Singapore Finance Minister on Personal Finance While the markets are reacting negatively to the potential interest rates raise, believing that it will cause markets to drop; the reality is that markets actually...

Read More

Singapore Finance Minister on Personal Finance

For an updated version, refer to the article HERE. On a recent rally speech, Singapore's Finance Minister Tharman Shanmugaratnam gave a talk about how important prudent budgeting is for the country. We felt that his point was suitable not only for managing of the country's finance, but also for everyone's finance! As such, we will be elaborating how it can be used for our personal benefits. OTHER...

Read More

Singapore Market's Growing ETF Choices

Today, we have more Exchange Traded Fund (ETFs) option than we did 5 years before. The number of ETFs that grew during these 5 years was more than 100%! With a growing number of ETFs to choose from, this makes an investment for the average person much easier! ETFs are great investment tool/vehicle for both the amateur, the average, and the professional investor. A wide range of strategies and purpose...

Read More

How to Escape the Retirement Sum?

Today's post is on how to avoid the Retirement/Minimum sum in your CPF when you reach age 55. There are currently 2 ways to avoid having to set aside a minimum sum. Today, we will be sharing about one of it: Buy a Life Annuity PlanRecommended Read: Dumb Sh!t My Property Agent Said - Part 2Buy a...

Read More