CPF Withdrawal: 2 Ways

There are 2 ways to withdraw from CPF. Each can be viewed as "easy" or "hard" depending on how you look at it.

Let's first talk about the more straightforward one:

You work diligently and both you and your employer contribute to your CPF accounts (as mandated by law).

Then at age 55, you can withdraw from your Ordinary and Special accounts after setting aside the Minimum Sum, which currently stands at $99,600 but will go up to $120,000 in future. (See Q&A in CPF website.) [Added 1 Sep 2007: You also need to set aside the Medisave Required Amount, which is now $11,500 but will be increased to $25,000 in 2013.]

Then you retire. At what age? It's been proposed that the official retirement age should be 67. Maybe it'll be 70 by the time we get older. I don't know.

It's only when you reach this official retirement age that you can start to draw down from the Minimum Sum. In effect, you will receive a monthly payout of a few hundred dollars until the balance runs out in about 20 years or so. The government is now considering having a "tail-end" annuity component to help those who, er, continue to live after the balance is emptied.

So what's easy and what's hard? In my view, the first withdrawal at age 55 seems "easy". What is "hard" is the slow stretched-out withdrawal of the remaining Minimum Sum starting at age 62 (or 65, or 67, depending on when the new policies kick in).

Did I say there's a second way?

Ha. It's meant to be a tongue-in-cheek "solution". I believe most of us will not even seriously consider it. Here it is:

Renounce your Singapore citizenship (or permanent residency). That is, emigrate to Australia, US, UK, or wherever. Leave Singapore for good. Only then can you withdraw your CPF in full. (See page on leaving Singapore in CPF website.)

http://www.salary.sg/2007/cpf-withdrawal-2-ways/

Another method is go die and your children will help you withdraw the money. Haha...

Seriously, I'm not expecting to see those money. They are more like for my children only.

Among my band of friends (those born in the 70's),we are just waiting to renounce our Singapore citizenship.

All of us have worked and lived in another country and understand what the government is trying to do by toying with the CPF.

What is holding us back is our parents. Once their Singapore citizenship "expire", its time we renounced ours.

there are quitters who are hailed as heroes when they come back. they got all their money in CPF and yet are honoured as `good boys' who come back to serve (read:work in) Singapore. i want to be like one of them.

In the roulette of trying to live past 85 years old, it is unfair to force everyone to contribute to it.

For most people, renouncing your citizen is not really a choice, but seems to be the ONLY choice as time goes by.

It is easy to get the press to support why it is good for most. It is easy to set policies to get more to hire older workers. The problem is one of how many really live past 85 and how many employers really hire older workers.

We live in a competitive old, no business exists for the good of humanity. Grow up and stop painting castles in the air.

Let the hard working people draw their money. Stop denying them the fruits of their labour.

If we must do something, why not use the huge reserves to do it? Use the interest/dividend income to fund the "Live pass 85 years old lucky draw".

Before the new policy, CPF make money by being one of the biggestt bank in Singapore. Now, it will be a bank and an insurance company that operate one of the biggest annuity program in the country. Well done the scholars in the public services to come up with this great idea.

PS: The new policy prompted us to apply for Australia Citizenship now.

is it possible to withdraw 100% from my cpf if we quit our citizenship or PR? I heard from someone that they allow you to withdraw only some % of total CPF fund. Does anyone has more info on this?

Is it possible to withdraw money in full from Medisave account as well if we quit our citizenship or PR?

Yes. 100%, everything, including medisave, whatever investment in CPF (insurance/shares etc)....

is it possible to withdraw everything except the medisave in order to carry on with the medical insurance rather than letting it lapse? thanks.

Does anyone know how easy or difficult it is for us to renounce our citizenship? Does the relevant govt body make the whole process unduly prolonged and awkward? We desperately need to access our hard earned CPF funds. Please help with advice.