During the National Day Rally 2019 on 18 August, it was announced that the retirement age will be increased from 62 to 65 by 2030.
But this doesn’t mean that you can only retire at age 65. In fact, you can retire at any point in time that you want, as long as you are financially able to afford the retirement that you want.
Start Planning For Your Retirement When You Are Young
Retirement planning is best planned for when you are young. At this stage in life, you have fewer financial commitments and starting young gives you more time to tap on the power of compounding.
Here’s a graphical representation of what we can do at every stage of our lives to build towards our retirement.
Financing Our Retirement Beyond CPF LIFE
In Singapore, we have CPF LIFE, an annuity that pays us a lifelong income from the age of 65 for as long as we live.
There are also other ways for us to supplement our retirement income. This includes:
1) Income from our investment properties,
2) Dividend payouts from our stock investments and
3) Interest payments from bonds that we invested in.
We can also finance our retirement income with other instruments, such as a private annuity plan. CIMB Bank is able to support people in Singapore by offering a wide range of retirement plans to finance your golden years.
CIMB Bank offers a wide range of retirement plans from Tokio Marine, NTUC Income, AIA and Aviva, including plans where you can use your Supplementary Retirement Scheme (SRS) funds to finance your golden years.
Find out more about the retirement plans from CIMB Bank here.