Personal Finance
CPF Cash Top Up May Not Work For Me
By Happy REIT Investor  •  January 7, 2024
ok, I read alittle more on CPF Cash Top Up. I decided this doesnt really fully work for me if I want to use it to reduce tax payable. In a good way, I am happy to be in this situation.
  1. Maximum Annual Total CPF Contribution Limit is $37,740.
Ordinary wage ceiling is now $6,800. Which means annual mandatory contribution is 37%$6,80012=$30,192
  1. Additional Wage Ceiling = $102,000
Deducting away the annual OW (12*$6,800), it will be $20,400. I would like to think my bonus this year would be at least $25,000. So what this means is $20,400 of my bonus will be subjected to CPF contribution which will bring my total annual mandatory contribution to the max of $37,740. Cannot work for me.
  1. Basic Healthcare Sum of $71,500.
So apparently this is the max for the year. Any additional amount will go into the SA. My MA will be max by the end of the year....
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By Happy REIT Investor
A father on career break ( or career suicide) so he can spend more time with the kids and also to refocus his life and career. Random musings ( investment, kids, current affairs, TV shows and what not) of his everyday life as a "full time parent" depending on his passive income to pay for his part of expenses at home. Fortunate to have a very supportive wife ( who by the way prefers me to be at home all the time than to travel for work all the time) and 2 cute kids.

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