A joint statement by the Central Provident Fund (CPF) and Ministry of Manpower (MOM) released today reveals the CPF Minimum Sum, a clause in the retirement scheme formulated by the Singapore government, will go up from $148,000 to $155,000 by July 1.
The change applies too all CPF members who turn 55 between July 1, 2014 — June 30, 2015, and is said to be caused by Singaporeans’ rising expectations of what is considered a basic standard of living in retirement, as well as inflation.
The Minimum Sum for CPF members who turn 55 before July 1 remains unchanged.
The Medisave Minimum Sum will also be raised to $43,500 from $40500 to cater to long-term health care plans. The Medisave Contribution Ceiling will be increased correspondingly from $45,500 to $48,500.
A CPF member will need to have both the CPF and Medisave Minimum Sum amounts, before he or she can withdraw the excess funds.
Photo: AFP
More important photo: Ink Fusion Studios via SGAG
