All you need to know about CPF-related schemes is right here.
What is the Central Provident Fund (CPF)
CPF is a social security savings plan for working Singaporeans. It provides for their retirement, housing and healthcare needs. Monthly contributions are made by working Singaporeans and employers. These are put into the employees’ CPF account under:
Ordinary Account (OA)
Savings can be used for housing, insurance, investment and education.
Special Account (SA)
Savings for old age and investment in retirement-related financial products.
Medisave Account (MA)
Savings can be used for hospitalisation expenses and approved medical insurance.
Retirement Sum (RS)
When you turn 55 years old, a Retirement Account (RA) will be created and some of your CPF Savings from your Special Account and/or Ordinary Account will be transferred into this account to form your retirement sum.
Your retirement sum is the amount of retirement savings which you have chosen to set aside in your Retirement Account (RA) upon turning 55.
Your retirement sum will be used to buy a CPF LIFE annuity to provide you with lifelong monthly payouts from your payout eligibility age, which is currently at age 65 for those born in 1954 or later.
CPF Lifelong Income for the Elderly (CPF LIFE)
CPF LIFE provides you with a monthly payout to meet your basic retirement needs for as long as you live.
You will be placed on CPF LIFE if you are a Singapore Citizen or Permanent Resident depending on the amount of RA balances you have.
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