CPF rates went up in 2016 - check your payslips...

Discuss about the latest news & interesting topics, real life experience or other out of topic discussions with locals & expatriates in Singapore.
Post Reply
User avatar
PNGMK
Moderator
Moderator
Posts: 8647
Joined: Thu, 21 Mar 2013 9:06 pm
Answers: 1
Location: Sinkapore

CPF rates went up in 2016 - check your payslips...

Post by PNGMK » Mon, 25 Jan 2016 6:55 pm

I'm not going to reproduce the schedule of rates but there were some welcome increases in the older age brackets. Check your payslips this month - the new rates are paid from 1/1/2016 but of course you need to pro rata your pay cycle into account (for example my cycle is 25th of the month so I missed a small amount.
I not lawyer/teacher/CPA.
You've been arrested? Law Society of Singapore can provide referrals.
You want an International School job? School website or http://www.ISS.edu
Your rugrat needs a School? Avoid for profit schools
You need Tax advice? Ask a CPA
You ran away without doing NS? Shame on you!

User avatar
sundaymorningstaple
Moderator
Moderator
Posts: 39564
Joined: Thu, 11 Nov 2004 1:26 pm
Answers: 10
Location: Retired on the Little Red Dot

Re: CPF rates went up in 2016 - check your payslips...

Post by sundaymorningstaple » Mon, 25 Jan 2016 8:15 pm

Yeah the cap was raised to 6K/mo from the previous 5K and the older folks (but not the really old folks like me!) :-( get an additional half a percentage point (.5%) in employer contributions.
SOME PEOPLE TRY TO TURN BACK THEIR ODOMETERS. NOT ME. I WANT PEOPLE TO KNOW WHY I LOOK THIS WAY. I'VE TRAVELED A LONG WAY, AND SOME OF THE ROADS WEREN'T PAVED. ~ Will Rogers

User avatar
PNGMK
Moderator
Moderator
Posts: 8647
Joined: Thu, 21 Mar 2013 9:06 pm
Answers: 1
Location: Sinkapore

Re: CPF rates went up in 2016 - check your payslips...

Post by PNGMK » Mon, 25 Jan 2016 10:07 pm

I'm really trying to max out my CPF savings in the next 10 years, Fortunately now post 55 they give us more options,
I not lawyer/teacher/CPA.
You've been arrested? Law Society of Singapore can provide referrals.
You want an International School job? School website or http://www.ISS.edu
Your rugrat needs a School? Avoid for profit schools
You need Tax advice? Ask a CPA
You ran away without doing NS? Shame on you!

User avatar
sundaymorningstaple
Moderator
Moderator
Posts: 39564
Joined: Thu, 11 Nov 2004 1:26 pm
Answers: 10
Location: Retired on the Little Red Dot

Re: CPF rates went up in 2016 - check your payslips...

Post by sundaymorningstaple » Mon, 25 Jan 2016 11:56 pm

Yeah, but whack your contribution rates to virtually nothing after the age of 60 so it get's difficult unless your employer is willing to work with you.
SOME PEOPLE TRY TO TURN BACK THEIR ODOMETERS. NOT ME. I WANT PEOPLE TO KNOW WHY I LOOK THIS WAY. I'VE TRAVELED A LONG WAY, AND SOME OF THE ROADS WEREN'T PAVED. ~ Will Rogers

User avatar
PNGMK
Moderator
Moderator
Posts: 8647
Joined: Thu, 21 Mar 2013 9:06 pm
Answers: 1
Location: Sinkapore

Re: CPF rates went up in 2016 - check your payslips...

Post by PNGMK » Tue, 26 Jan 2016 9:11 am

sundaymorningstaple wrote:Yeah, but whack your contribution rates to virtually nothing after the age of 60 so it get's difficult unless your employer is willing to work with you.
I think that will change in the years ahead. The PAP surely understand their own demographic, I expect to see the 55 age change upwards to 60+ (after all the offical age of retirement is 62.5? or 65?).
I not lawyer/teacher/CPA.
You've been arrested? Law Society of Singapore can provide referrals.
You want an International School job? School website or http://www.ISS.edu
Your rugrat needs a School? Avoid for profit schools
You need Tax advice? Ask a CPA
You ran away without doing NS? Shame on you!

Primrose Hill
Chatter
Chatter
Posts: 433
Joined: Tue, 05 Aug 2008 5:20 pm

Re: CPF rates went up in 2016 - check your payslips...

Post by Primrose Hill » Tue, 26 Jan 2016 10:11 am

Yipee like PNGMK, I too want to max out my CPF in the next 10years

User avatar
sundaymorningstaple
Moderator
Moderator
Posts: 39564
Joined: Thu, 11 Nov 2004 1:26 pm
Answers: 10
Location: Retired on the Little Red Dot

Re: CPF rates went up in 2016 - check your payslips...

Post by sundaymorningstaple » Tue, 26 Jan 2016 10:29 am

PNGMK wrote:
sundaymorningstaple wrote:Yeah, but whack your contribution rates to virtually nothing after the age of 60 so it get's difficult unless your employer is willing to work with you.
I think that will change in the years ahead. The PAP surely understand their own demographic, I expect to see the 55 age change upwards to 60+ (after all the offical age of retirement is 62.5? or 65?).
It's currently 65 but will be raised to 67 by 2017 according to the PM at the last nat'l day rally speech. Every time they raise it I can't retire as I've already past it! :-( :lol:

I'll start drawing Social Security in Sept of 2017 as I'll be 70 and it's wont be increasing the payouts after 70 so makes no sense not to start drawing as I'll be receiving the maximum pittance then. (my quarters were obtained over 40 years ago so it's somewhat of a joke anyway).
SOME PEOPLE TRY TO TURN BACK THEIR ODOMETERS. NOT ME. I WANT PEOPLE TO KNOW WHY I LOOK THIS WAY. I'VE TRAVELED A LONG WAY, AND SOME OF THE ROADS WEREN'T PAVED. ~ Will Rogers

User avatar
PNGMK
Moderator
Moderator
Posts: 8647
Joined: Thu, 21 Mar 2013 9:06 pm
Answers: 1
Location: Sinkapore

Re: CPF rates went up in 2016 - check your payslips...

Post by PNGMK » Tue, 26 Jan 2016 1:54 pm

I don't mind it being raised. It means the MNC I work for can't just push me out without negotiating at that age.
I not lawyer/teacher/CPA.
You've been arrested? Law Society of Singapore can provide referrals.
You want an International School job? School website or http://www.ISS.edu
Your rugrat needs a School? Avoid for profit schools
You need Tax advice? Ask a CPA
You ran away without doing NS? Shame on you!

User avatar
Strong Eagle
Moderator
Moderator
Posts: 11650
Joined: Sat, 10 Jul 2004 12:13 am
Location: Off The Red Dot
Contact:

Re: CPF rates went up in 2016 - check your payslips...

Post by Strong Eagle » Tue, 26 Jan 2016 11:19 pm

sundaymorningstaple wrote:I'll start drawing Social Security in Sept of 2017 as I'll be 70 and it's wont be increasing the payouts after 70 so makes no sense not to start drawing as I'll be receiving the maximum pittance then. (my quarters were obtained over 40 years ago so it's somewhat of a joke anyway).
Your earlier earnings are inflation adjusted to be re-stated in today's dollars. The problem, of course, is that when most of us were starting out, we weren't earning much.

https://www.ssa.gov/oact/progdata/retirebenefit1.html

User avatar
PNGMK
Moderator
Moderator
Posts: 8647
Joined: Thu, 21 Mar 2013 9:06 pm
Answers: 1
Location: Sinkapore

Re: CPF rates went up in 2016 - check your payslips...

Post by PNGMK » Wed, 27 Jan 2016 9:34 am

Strong Eagle wrote:
sundaymorningstaple wrote:I'll start drawing Social Security in Sept of 2017 as I'll be 70 and it's wont be increasing the payouts after 70 so makes no sense not to start drawing as I'll be receiving the maximum pittance then. (my quarters were obtained over 40 years ago so it's somewhat of a joke anyway).
Your earlier earnings are inflation adjusted to be re-stated in today's dollars. The problem, of course, is that when most of us were starting out, we weren't earning much.

https://www.ssa.gov/oact/progdata/retirebenefit1.html
I'm considering applying for US LPR and paying into SS. I would have to pay 40 quarters (10 years). Would this be more advantageous that the case of SMS where his 40 quarters were at a much lower wage than mine as they are now? IF so - should SMS have paid in a few years back at a higher rate to increase his actual payouts?
I not lawyer/teacher/CPA.
You've been arrested? Law Society of Singapore can provide referrals.
You want an International School job? School website or http://www.ISS.edu
Your rugrat needs a School? Avoid for profit schools
You need Tax advice? Ask a CPA
You ran away without doing NS? Shame on you!

User avatar
sundaymorningstaple
Moderator
Moderator
Posts: 39564
Joined: Thu, 11 Nov 2004 1:26 pm
Answers: 10
Location: Retired on the Little Red Dot

Re: CPF rates went up in 2016 - check your payslips...

Post by sundaymorningstaple » Wed, 27 Jan 2016 10:23 am

I would have had to go back to the US and worked for a US company. Bit difficult in the situation I am in here. But yes. Ideally I should have had later quarters to bump up the baseline.

By all means if you could do LPR and get 40 qtrs in before you retire, you would be contributing at maximum rates where your income level is current at and if you held out until 70 to start drawing you would probably make out okay. It will just about cover the monthly cost of the medical insurance you will be forced to fork out for thanks to ObummerCare. ;-)
SOME PEOPLE TRY TO TURN BACK THEIR ODOMETERS. NOT ME. I WANT PEOPLE TO KNOW WHY I LOOK THIS WAY. I'VE TRAVELED A LONG WAY, AND SOME OF THE ROADS WEREN'T PAVED. ~ Will Rogers

User avatar
Strong Eagle
Moderator
Moderator
Posts: 11650
Joined: Sat, 10 Jul 2004 12:13 am
Location: Off The Red Dot
Contact:

Re: CPF rates went up in 2016 - check your payslips...

Post by Strong Eagle » Wed, 27 Jan 2016 12:47 pm

PNGMK wrote:
Strong Eagle wrote:
sundaymorningstaple wrote:I'll start drawing Social Security in Sept of 2017 as I'll be 70 and it's wont be increasing the payouts after 70 so makes no sense not to start drawing as I'll be receiving the maximum pittance then. (my quarters were obtained over 40 years ago so it's somewhat of a joke anyway).
Your earlier earnings are inflation adjusted to be re-stated in today's dollars. The problem, of course, is that when most of us were starting out, we weren't earning much.

https://www.ssa.gov/oact/progdata/retirebenefit1.html
I'm considering applying for US LPR and paying into SS. I would have to pay 40 quarters (10 years). Would this be more advantageous that the case of SMS where his 40 quarters were at a much lower wage than mine as they are now? IF so - should SMS have paid in a few years back at a higher rate to increase his actual payouts?
It aint Obamacare, SMS... it's the goddamn insurance companies that are screwing you. Start supporting a single payer system.

For PNGMK... you need a minimum of 40 quarters of contributions... ten years... but your SS payment is based upon your contributions for 35 years... if you don't have enough years beyond 10, they are all filled in with zeros.

I will say this. I had more than 40 quarters long before I came to Singapore and quit paying SS... in fact I have 35 years recorded with some $$ into the pot. Upon return, I computed what would happen for me to get a job. If I were to make $130,000 per year for three years running and pay my SS, I'd get about $16 per month more in benefits.

You should be aware, PNGMK, that the maximum SS benefit payable is a bit more that $2,600 per month, and that is with 35 years of contributions. The average payout is $1,340 per month, and I, like many of my older friends, are getting $2,000 to $2,400 in monthly checks.

User avatar
sundaymorningstaple
Moderator
Moderator
Posts: 39564
Joined: Thu, 11 Nov 2004 1:26 pm
Answers: 10
Location: Retired on the Little Red Dot

Re: CPF rates went up in 2016 - check your payslips...

Post by sundaymorningstaple » Wed, 27 Jan 2016 2:24 pm

And I'm only looking at just about 4 figures full stop. Guess that's what happens when you've been out of the country for 33 years. :-(
SOME PEOPLE TRY TO TURN BACK THEIR ODOMETERS. NOT ME. I WANT PEOPLE TO KNOW WHY I LOOK THIS WAY. I'VE TRAVELED A LONG WAY, AND SOME OF THE ROADS WEREN'T PAVED. ~ Will Rogers

earthfriendly
Manager
Manager
Posts: 2000
Joined: Sat, 20 Aug 2005 5:01 pm

Re: CPF rates went up in 2016 - check your payslips...

Post by earthfriendly » Sat, 30 Jan 2016 5:18 am

Hello guys, since we are in this discussion, wonder if you can answer some questions for me? I have little idea on how SS work and going to try to use this link for estimation. Is it legit since it will ask for your SSN? I think I work for about 7 years or less previously but my husband has been working continously for 25 years. And I started working part time again two years agao. Since I don't have 40 quarters, do I even qualify for SS, based on my husband's continuos working status?

https://www.ssa.gov/retire/estimator.html

User avatar
PNGMK
Moderator
Moderator
Posts: 8647
Joined: Thu, 21 Mar 2013 9:06 pm
Answers: 1
Location: Sinkapore

Re: CPF rates went up in 2016 - check your payslips...

Post by PNGMK » Sat, 30 Jan 2016 4:59 pm

earthfriendly wrote:Hello guys, since we are in this discussion, wonder if you can answer some questions for me? I have little idea on how SS work and going to try to use this link for estimation. Is it legit since it will ask for your SSN? I think I work for about 7 years or less previously but my husband has been working continously for 25 years. And I started working part time again two years agao. Since I don't have 40 quarters, do I even qualify for SS, based on my husband's continuos working status?

https://www.ssa.gov/retire/estimator.html
Benefits start at 20 quarters. IF you worked 7 years you are already there. That looks like the right link to me.
I not lawyer/teacher/CPA.
You've been arrested? Law Society of Singapore can provide referrals.
You want an International School job? School website or http://www.ISS.edu
Your rugrat needs a School? Avoid for profit schools
You need Tax advice? Ask a CPA
You ran away without doing NS? Shame on you!

Post Reply
  • Similar Topics
    Replies
    Views
    Last post

Return to “General Discussions”

Who is online

Users browsing this forum: No registered users and 1 guest