I was alerted this morning when browsing through my social media feeds and found several financially savvy folks lurking around chatting about how much CPF interest they will be receiving at the end of 2020.
It piqued my curiosity so I went to log in online through the new apps (I love how slick is the new apps by the way) to check my own CPF interest balance.
The apps showed me interests that were credited to my account, which was broken down into the Ordinary Account, Special Account, and Medisave Account.
The total sum of interests credited for the year 2020 is $7,663.25, which is just an 8.6% increase from the previous year. The sum of interests credited for the previous year was $7,054.43.
Really not too bad given how many companies have cut or defer dividends in 2020 due to Covid.
It brings the total CPF balance as of 1 January 2021 to $200,219.49, still well below the FRS requirement to be able to retire decently.
You can probably see how messed up my CPF account is.
When I was still single, cashflow was aplenty. I was aggressively topping up funds into my Special Account for the tax relief for a few good numbers of years. I also transferred funds from my Ordinary Account to Special Account occasionally. I ended up with quite a bit of SA now but MA was not maxed out yet.
At the current life stage, it’s the opposite.
Cashflow was much tighter and I am no longer able to contribute excess funds anymore to CPF.
In 2020, I didn’t contribute anything voluntarily due to better allocation of opportunity funds elsewhere.
I also had a couple of months being unemployed in the earlier part of the months, so no contribution there.
I spent roughly 2-3 hours/day on actively managing and monitoring stocks investments.