With CPF LIFE, you can be assured that you have lifelong monthly payouts to cover your basic expenses in your golden years. Here’s what you need to know about this attractive retirement scheme!
1. Automatic enrolment for Singapore Citizens and PRs born in 1958 or after
You will be automatically included in CPF LIFE if you are a Singapore Citizen or Permanent Resident born in 1958 or after*, and have at least $60,000 in your Retirement Account (RA) six months before you turn 65.
If you are not on CPF LIFE, you can apply to join anytime between your payout eligibility age and one month before you turn 80^.
2. Provides lifelong monthly payouts for peace of mind
CPF LIFE provides you with a stream of monthly payouts for as long as you live. This way, you don’t have to worry about whether your savings can last you through your golden years.
3. Three different plans to best suit your retirement needs
There are three CPF LIFE plans you can choose from: the LIFE Basic Plan, the LIFE Standard Plan, and the LIFE Escalating Plan. The CPF LIFE Basic Plan offers lower level monthly payouts, while the Standard Plan offers higher level monthly payouts#. The CPF LIFE Escalating Plan’s monthly payouts are lower initially and will increase by 2% each year to provide you with more in the future.
4. Best product for retirement
CPF LIFE is the only life annuity that is backed by the AAA-rated Singapore Government. Compared to private annuities, CPF LIFE provides the highest payout for every dollar committed.
5. You will get back your savings used to join CPF LIFE
No matter how long you live, you will get back your savings used to join CPF LIFE through your payouts and/or bequest to your loved ones.
*If you turned 55 between 1 January 2013 and 30 April 2016, you will be included in CPF LIFE if you have at least $40,000 in your Retirement Account when you reached 55 years old.
#For all CPF LIFE plans, payouts may be adjusted to account for long-term changes in interest rates or life expectancy. Any adjustments are expected to be small and gradual.
Information accurate as at 20/4/2018.