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Reached CPF FRS

Recently, I transferred monies from my CPF Ordinary Account (OA) into the Special Account (SA), and also made cash top-ups into the SA. Today, my CPF SA has reached the Full Retirement Sum (FRS) of $171,000. My Medisave Account (MA) has reached the Basic Healthcare Sum (BHS) of $54,500 some time back. Even if I stop working and contributing to these accounts, the monies will continue to grow over time from the interests that CPF is paying me.

To me, reaching the FRS means that my retirement living expenses would now be taken care of. The MA monies would also cover my medical expenses during retirement. Knowing this gives me peace of mind.

One of the reasons why I decided to top-up my SA to the FRS is because I might quit my current job and try another career path. Topping up my SA to the FRS at least assured myself that should my career switch turned out bad, my retirement needs is still secured.

I'm glad that I have created my own safety net.
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Comments

  1. TISeptember 14, 2018 at 1:42 PM

    Congratulations! It is no easy feat to achieve this. It is now much easier to make any significant changes to career/work, knowing that our retirement pillars are taken care of.

    ReplyDelete
  2. A Jotter BookSeptember 14, 2018 at 10:47 PM

    Hi TI, thank you so much for your kind words! I wish you the very best too!

    ReplyDelete
  3. .February 22, 2019 at 12:50 AM

    I intend to do this too but not thru oa to sa but direct sa cash top up. I do think it’s a good safety net (most basic) but also worry about Oppty cost

    ReplyDelete
    Replies
    1. A Jotter BookFebruary 22, 2019 at 9:14 PM

      Hi, thank you very much for reading and leaving your comment! As I'm not confident of my investing ability, I decided to make cash top-ups to my CPF SA. An important intangible benefit from reaching the CPF FRS is that it gives me peace of mind that part of my retirement needs is secured, and I feel less anxious about my finances and future. Thank you again for visiting my blog, and I wish you the very best in your future endeavours!

      Delete

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