TropicalExpat wrote: ↑Wed, 09 Dec 2020 11:28 am
sundaymorningstaple wrote: ↑Mon, 08 Jul 2019 4:18 pm
Long time Kiwi mate of mine kept his CPF account for over 20 years before returning to Singapore and actually getting PR. Gave up his PR a couple of years ago over the inability to get permission to have two maids (wife gave birth to triplets) so he gave up his PR and moved to Surabaya (where his wife's from). Far as I know his CPF is still sitting there and has more than doubled since he worked here back in the late 80's early 90's when EP holders still had to contribute to CPF.
PNGMK wrote: ↑Mon, 08 Jul 2019 5:38 pm
Yes F Vespa kept his for over 15 years after cancelling PR when he sold TechnoTransfer in order to keep it away from creditors and gold diggers - as he almost went broke in the GFC due to
property tenants being unable to pay rent and property tax foreclosures looming it was his CPF that he knew he could fall back on. It must be one of the very few investments worldwide (apart from secret and illegal accounts) that has this level of protection. You'd need an impossible court order from the Singapore High Court pretty much to get a CPF payout without the account owners agreement. On the other hand I know idiots (divers) who cashed their in (also EP holders incidentally) and bought a range rover with it. Guess where the Range Rover is now? Junkyard. I fear OP will do a similar thing.
I realise this is responding to old post, but thanks for the information here.
You both make very good points. So if a PR leaves, but doesn't get the REP renewed, they can keep their money in CPF earning interest.
At the same time, it is well protected against pretty much all legal action.
Thanks again!
Yes. It's a fairly unique style of holding that is finally starting to attract some attention due to it's high level of security. I should add that there are some funky rules about withdrawing amounts and when interest is paid (interest is converted to principal on Jan 1 so if you want to with draw only interest do so then) but CPF effectively acts as a protected HISA once you are over 55 and have above the basic retirement sum (which most expats would have).
My personal goal is the 1M65 - $1 million in CPF at 65 which I believe I can make (9 years left).
Edit: I should add that another diver Phil W (why is it always ex divers?) tells me that his ex wife has manage to get an injunction stopping him withdrawing his CPF so divorce does play but saying that she had to get the injunction in a Singapore court (and she is Singaporean and so is the divorce order).
Another ex diver (again) Mark W managed to keep his CPF ring fenced against a winding up order on his company. The CPF was ruled to be a protected and the court order )which killed his company and managed to snag some of his personal assets as they pierced the corporate veil due to a poorly written agreement where he offered director's indemnities) could not get at his CPF.
My Singaporean friends basically say that the Singapore dollar has three components: SGD, BND (Brunei Petrodollar) and the CPF dollar (which means that when a SGD hits your CPF account it becomes sort of a parallel currency that follows different rules).
Personally I encourage everyone to maximize their CPF contributions (currently around $36,000 pa whether by employer or by your own tops ups). I know retirees who pay in $36,000 (or whatever the current contribution limit is) every Jan 1 to take best advantage of the interest rates. They usually top up their medisave account first (as that is tax deductible) to the prevailing limit ($60k) and then their other accounts.
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!
