Is CPF Savings Enough for Retirement

Do you have any oth­er sav­ings besides your CPF? Are they enough? A lot of Singa­por­ean thought that CPF sav­ings is enough to see them through retire­ment, includ­ing one of my fam­ily mem­ber.

The real fact is, CPF is not enough for your retire­ment expendit­ure! It may provide about 25% of the retire­ment needs. And much less if you are using your CPF for hous­ing loan and chil­dren edu­ca­tion loan! So, start a good sav­ings habit by invest­ing reg­u­larly a fixed sum of money. You will be pleas­antly sur­prised that a $200 sav­ings per month at age 23 will yield about $0.5million when you turn 60 years old, assum­ing the rate of returns of 8% per annum.