Copied this from DBS retirement plan page.

Know the Facts
Find out what can affect your ability to afford the retirement lifestyle you want.

Fact #1:

We are living longer.
Average life expectancy

Male :- 80.2 years (2013)
Female :- 84.6 years (2013)

How this affects your retirement plans?

Your intended retirement savings amount may not last you through your entire retirement period. To build up more funds, you may have to consider working past your intended retirement age.

Disclaimer: The life expectancy statistic is an average figure. The actual lifespan of an individual may be longer or shorter than average. A prudent retirement plan will need to consider planning beyond the average life expectancy.

Source: Department ofStatistics, Complete Life Tables 2008 - 2013 for Singapore Resident Population



Fact #2:

Cost of living is rising.
Daily necessities will cost more

$650 p/m today
$1,850 p/m in 25 years

How this affects your retirement plans?

When you have to spend more on daily necessities, you’ll have less to spend on the things you want to pursue

Assumption on inflation rates
Food: 3%
Medical & public transport: 6%

Disclaimer: Excludes major medical conditions, travel, dining in restaurants and other costs.



Fact #3:

Downgrading to fund your retirement is not that simple.
Factors to consider

a. Uncertainty of home prices
Home prices are subjected to the volatility of property market. Your home may not be worth the amount you expected it to be

b. Impact on loved ones
Think about what will be left for your dependants

c. Ease of buying and selling
Your home is not a liquid asset. Hence it may be hard to sell your home when you most need it.


Fact #4:

The better the retirement lifestyle you want, the higher the income you need.
What many Singaporeans are aspiring towards



Source: 2013/2014 DBS Financial Motivations Survey