You are on the right path towards retirement.
You can do this
1. Choose the ERS option for your
CPF Life. This will give you $3500 pm as a retired couple.
2. Let's say you work another 15 years. So you will have $450k in additional savings.
3. Sell your condo and buy a studio condo. After the transactions, you will have say $450k in net cash proceed.
4. So you have $900k cash. Invest in 4% dividend yield stocks to get $36k pa in dividends or $3k pm.
5. Your passive income is $6,500 pm.
6. This is enough for a retired couple.
Quote:
Originally Posted by Unregistered
We are a middle income married couple in our early fifties. We earn $145k pa and save $30k pa. We upgraded to a condo unit some time ago and got it at a very good price. We are left with only $100k of mortgage, which we pay by our CPF. Now the condo is worth $1m. Our children is still schooling. We drive a 2 year old car with no loan. Our total net worth is close to $1.5m.
How are we doing? How do we prepare for retirement? We don't have any investments besides our condo home. We plan to downgrade to either a studio condo or a 3 room hdb flat when we retire as we prefer a smaller place as it is easier to manage.
Any advice? Thank you. |