I couldn't agree more with last Sunday's article, "Make your CPF funds work harder for you".
When a person reaches 55, the Central Provident Fund (CPF) withdrawal age, he needs to set aside a minimum sum before the balance can be withdrawn.
Instead of doing the mandatory top-up of the Retirement Account at 55, one should consider topping up CPF accounts on a regular basis, to earn higher interest at an earlier age, not forgetting the returns compounded over the years.
There are very few investment products that offer returns higher than the CPF interest rate.
CPF savings are risk-free with no hidden fees or charges. There is also the Voluntary Bonus for those who voluntarily defer their drawdown.
Chin Kee Thou
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