A recent Q&A:
TKX:
One thing I have failed to understand about the cpf ms and rs.... It doesn't make sense that the government used inflation as a reason to increase the ms/rs because Sa interest rates, at 4%, is at least equal or usually beat inflation. Based on this school of thought, there is absolutely no grounds for the retirement sum can be adjusted upwards further right?
AK:
For all CPF members, they should want to make sure that their CPF-SA money continues to beat inflation. So, a 3% increase yearly in Minimum Sum (MS) requirement to take into consideration inflation makes sense for everyone.
The MS requirement must be at a level that will give CPF Life the ammunition to pay out more meaningful monthly income. So, unless the MS increases 3% per annum given current day assumption on inflationary pressures, inflation will make the CPF Life less relevant as ... ...
