SG Talk - CPF should establish a maximum sum above which funds can be taken out.

Idea is this to free up financial resources and still have retirement assurance so that the money locked up can be used to enhance life and opportunities...

1. Set a maximum can be 400k or 500k. If person reach this amount inside CPF SA and set aside cannot be touched, he is free to use the rest of his CPF as he wishes.

2. This will free up "locked resources" that can be use to enhance human capital. Person who can reach such a sum in CPF should be able to handle and manage his money that is above this amount set aside.

3. The option for such excess sums seem to be property and causes Singaporeans to over focus to channel money towards that.

4. Eventually one gets hold of money above min sum at age 55. Why not such excess money earlier when person is nearer to prime of his life and can makes good use of it for his human capital development.

(29-07-2021, 11:12 AM)sgbuffett Wrote: [ -> ]4. Eventually one gets hold of money above min sum at age 55. Why not such excess money earlier when person is nearer to prime of his life and can makes good use of it for his human capital development.

CPF is like a very long term deposit bank.
CPF can give 2.5% to 4% because CPF can hold your money until 55.

If CPF member can take out money after $500K, the interest rate will very low like 1 %.

(29-07-2021, 11:37 AM)forum456 Wrote: [ -> ]CPF is like a very long term deposit bank.
CPF can give 2.5% to 4% because CPF can hold your money until 55.

If CPF member can take out money after $500K, the interest rate will very low like 1 %.

My point is make it an option those who don't want can leave it inside

(29-07-2021, 11:49 AM)sgbuffett Wrote: [ -> ]My point is make it an option those who don't want can leave it inside

You want members to have option to choose 1% or 2.5% to 4% interest rate ?

Will you choose 1% interest rate from day one until your $500K is reached ?

(29-07-2021, 11:55 AM)forum456 Wrote: [ -> ]
(29-07-2021, 11:49 AM)sgbuffett Wrote: [ -> ]My point is make it an option those who don't want can leave it inside

You want members to have option to choose 1% or 2.5% to 4% interest rate ?

Will you choose 1% interest rate from day one until your $500K is reached ?

It's not true CPF is paying 2.5% because it is a long term fox deposit as money can be move in and out through CPFIS for housing etc.when put back it earns 2.5%