Time and money often go together (courtesy of EarthWalk)
By now, you ought to know that time is the most precious resource of all.
Every one of us have only 24 hours a day, 7 days a week, and 365 days a year. This universal rule applies regardless of our station in life. How we make use of our time determines our happiness and success in life.
Prime Minister Lee Hsien Loong’s recent National Day Rally speech got me thinking about the challenges of planning for one’s retirement. Are Singaporeans aware of how much funds they need to retire comfortably? Do they know what their true retirement living costs will be?
I like how PM illustrated the case of a fictitious 54 year old senior technician named Mr Tan, and how his estimated living costs of $2,000 per month could possibly be met. Through the example given, PM showed that a CPF Minimum Sum of $155,000 – to be adjusted to $161,000 next year – isn’t an unreasonable amount to be considered in one’s Retirement Account (RA). In fact it can only cater to a very basic lifestyle and is probably insufficient for those who retire earlier (at say 55 rather than 65 years of age).