SIX in 10 active Central Provident Fund (CPF) members now accumulate enough savings for their Basic Retirement Sum account when they turn 55. The number, first achieved in 2013, is likely to rise to seven in 10 for members turning 55 in 2020.
Manpower Minister Lim Swee Say said that with higher wages and a higher labour-force participation rate, especially among older workers, CPF balances are expected to keep improving in the coming years.
He was replying to queries raised during the Committee of Supply debate on his ministry in Parliament on Monday.
Several enhancements were introduced last year to help CPF members to save more for their retirement. Examples are the higher CPF ceiling, improved ease of transfer of CPF savings to the account of one’s spouse and the Enhanced Retirement Sum.
Mr Lim said that the enhanced savings are for retirement use, and that the government will not allow these savings …Read the full article →