The Central Provident Fund (CPF) Advisory Panel released their recommendations to enhance the CPF LIFE scheme yesterday (link here).  The Singapore Government has accepted the recommendations and will present the proposed changes in parliamentary debate later this month (news story here).

Image credit: Ministry of Manpower

What got my attention was the Enhanced Payout under CPF LIFE.  For putting up an Enhanced Retirement Sum of $241,500 at age 55, one will receive a monthly annuity of $1,750 to $1,900 from age 65 onwards.  If you are able to defer the payout till age 70, the payout will increase between 6 and 7 per cent per year. The Enhanced Retirement Sum will come from your Retirement Account, which is a combination of your Ordinary Account (OA) and your Special Account (SA).  A cash top-up is allowed to make up for the shortfall. Being a numbers ......