Singapore-based financial blog that aims to educate people on personal finance, investments, retirement and their Central Provident Fund (CPF) matters.

Wednesday, 22 July 2015

3 CPF Retirement Sum

07:11 Posted by cheez , No comments
Today, we will be sharing a short summary about the 3 type of CPF Retirement Sum available.
To know more about what is the Retirement Sum for, read up on it HERE

Full Retirement Sum (FRS)
This is the minimum sum that most Singaporeans are familiar with.
It is the amount of money that you hope/should have in your Retirement Account (RA) when you reach age 55.
If your birthday falls
Before 1st July 2015, it is $155,000
After 1st July 2015, it is $161,000


Basic Retirement Sum (BRS - for more info, click HERE)
This is technically the basic sum required inside your Retirement Account (RA).
It is set at half of FRS.
If your birthday falls
Before 1st July 2015, BRS is $77,500
After 1st July 2015, BRS is $80,500
However, to qualify for this amount, you need to have a house (fully paid or not yet fully paid; we will discuss this in another post).


Enhanced Retirement Sum (ERS - for more info, click HERE)
This is if you set aside more money than FRS in your CPF Retirement Account (RA)
You can transfer money from your Ordinary Account (OA) and/or Special Account (SA) to your RA up to the ERS limit.
The limit for ERS is 1.5x the FRS - maximum amount you can have in your RA.
This scheme is only applicable to those who turned age 55 from 2013.
If your birthday falls
Before 1st July 2015, ERS limit is set at $232,500
After 1st July 2015, ERS limit is set at $241,500
Who would put extra money into the CPF? We will discuss this in another post.

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