Do you know that when you reach age 55, ONLY a portion of your Special Account (OA) and Special Account (SA) savings will be transferred to your Retirement Account (RA) to meet the Minimum Sum (MS)?
If there is still a Minimum Sum (MS) shortfall in your Retirement Account (RA), a portion of the new inflows like contributions, voluntary contributions, government top-ups and other refunds received after 55 will be used to make up the shortfall upon your subsequent CPF withdrawals.
So until you’ve reached the minimum sum, do you think you can withdraw your CPF for retirement? Do you know that our CPF used to earn higher returns and the interest rates had rose to 6.5% between 1975 and 1986, before dropping again?
Temasek Holdings is earning 16% of returns using our CPF monies and if we were to get 15% interest returns after deducting 1% of administrative charges, we will only need to use only about 37% of your CPF for housing instead of the 75% now, are they being fair to you?
Han Hui Hui