Who? Who?
Who is paying AK71 so much money?
Why? Why?
Make a guess?
Pause.
Pause.
Pause.
Give up?
It is the last quarter of 2013 and I am making my yearly contribution to my SRS account. So, I am paying myself $12,750.
Aiyoh,
who threw something rotten at me? Hey, must have a sense of humour mah. LOL.
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Writing out a cheque to myself. |
Although the contribution cap is S$ 12,750, we do not have to contribute the maximum if we don't need to or are unable to.
Don't need to? Well, a person who pays relatively little income tax could be tax free simply by contributing a few thousand dollars to his SRS account.
Unable to? Everyone's circumstances are different. $12,750 is quite a bit of money for many. If a person could only contribute $5,000 comfortably, then do so. Although he would not enjoy the maximum tax ......