The Supplementary Retirement Scheme (SRS) seems like a cool financial phrase to utter these days. From the most recent Sunday Times which had two articles espousing the benefits of SRS to the latest blog post from esteemed personal finance blogger AK71 regarding an SRS promotion, everyone is talking about it. In fact, there’s even a blog that chronicles an SRS portfolio!
And many other Singaporeans are getting in on the act too. Especially since according to that report in the papers, there’s >80,000 people who have OPENED (which doesn’t necessary mean putting in money) accounts with the three local banks. So it should be something beneficial for you and me too, right?
But first, what is SRS exactly?
If CPF funds are supposed to only provide for a BASIC retirement, then SRS is the additional layer for those who feel that CPF LIFE/Minimum Sum payouts are inadequate. Since these people are likely to be high income earners, the government designed a complementary scheme based on tax incentives.......
