Written Answer by Mr Tan Chuan-Jin, Acting Minister for Manpower & Senior Minister of State, National Development, to Parliamentary Question on Withdrawal of CPF Funds Upon Reaching 55 Years of Age
Mr Gan Thiam Poh:
To ask the Acting Minister for Manpower how many Singaporeans have opted not to withdraw their CPF funds upon reaching 55 years of age and what is the percentage out of the total number of CPF members.
Mr Tan Chuan-Jin:
- When a member turns age 55, his savings in the CPF Ordinary Account (OA) and Special Account (SA) will be used to set aside the Minimum Sum (MS) in his Retirement Account. Members are free to withdraw amounts in excess of the MS. As at December 2012, about 18% of the cohort who turned age 55 in 2012 had balances above the MS that were not withdrawn.
- We have observed that members with balances above the MS generally keep these monies in the CPF for the longer term. These monies could have been retained in the CPF by members who find CPF interest rates attractive.