Quote:
Originally Posted by Unregistered
By the time you hit 62, the rules might change again, so my advice is dont rely on your cpf as retirement fund only, you should have some other cash savings, though for you case, you may not be able to save much if you havent started. Good luck.

Upon reaching 55 (depending on before or after July as minimum sum for the year is applicable from month of July), take your total of your special account + ordinary account and less off the minimum sum = amount withdrawable. Please note that there is a minimum sum applicable to your medisave account as well. If there is a shortfall, less the amount (although significantly smaller) as this amount will be transferred to MA to make up shortfall as well.

If you wish to increase your withdrawable amount, you may wish to pledge your property for maximum of half of the applicable minimum sum. e.g. minimum sum 120K, max amount that can be pledge with property is total 60k.

However upon disposal of property, this "property pledge" will automatically be returned to your retirement account from the sales proceed, thus not advisable as your RA earns 4-5% interest per annum.

Withdrawal is once per year (bday to bday). One sincere advise is if you do not need the full amount, withdraw what you need and leave the rest in the OA earning 2.5% interest per annum. You can withdraw again next year. One common misperception is that if you leave it in there its stuck for life. Dont be afraid, rules change but will not affect you once you reach 55. Only those turning 55 thereafter are affected.

Hope this helps. \

Unquote

To be honest, CPF monies are good. The only factor is the time you have to invest in it as well as to a certain extent the uncertainty due to policy changes in the meantime of investment.

I have seen a couple of people with more than 1 mil in Ordinary account and the interest it generates is minimum 30k per annum. Withdraw this every year leaving the 1m in OA allows you to retire very comfortably. And this is just CPF, not counting people that age probably have passive income from rental and other sources.

3 cents worth.