CPF - Return to basic principles

The CPF scheme was and is a retirement scheme to provide some income for the retirees when they have reached their retirement age. They should then be living off their savings in their golden years. The original CPF scheme ends at 55 when all obligations came to an end when a person retires, take out his nest egg of a life time savings to decide how he is going to use his money. This is what a retirement savings scheme should be.

With longer life expectancy, perhaps it is logical and reasonable to extend the retirement age to 65 and the CPF scheme ending at 65. Under a normal retirement scheme like the original CPF scheme, a person should have enough savings to live the rest of his life of another 15 or 20 years. Under such a situation, the relationship with the CPF in terms of more contribution to the scheme should end. No one should need to contribute further into the CPF scheme as life after 65 can be terminated any moment.

A person should be allowed to withdraw every cent he has in the CPF. No such nonsensical things like minimum sum this and that, no such nonsense as pledging half of his assets to the CPF forever till his death.

However, the CPF scheme should offer to the people options to buy annuities or whatever medical insurance if they wanted to, strictly on a voluntary basis. Anyone can still voluntarily choose to contribute and save more if so desire with the CPF offering them more attractive terms. The important point here, the key principle, is voluntary. No one shall be compelled by legislation to continue to be stuck in the CPF scheme under whatever farcical schemes without their consent after the retirement age say at 65. Period..

A retirement scheme is to provide the savers an opportunity to retire comfortably and financially to live through his golden years. A retirement scheme is not to hold on to his money forever, after his death with many leftover to spare. There would be exceptions when some people may outlive their savings by living to the 90s and 100s. These are rarity. And one must not forget that the CPF is only one source of income to provide for the retirees. Many have other forms of support from families and relatives and other sources of income. The CPF is not the only source of financial security. At the very worst case, there would be a few that the state can pick up the tap. Why not, after living off the cheap loans from the savings of the members over a life time, it is only fair and equitable and ethical that the govt provide this last safety net.

The current CPF has been turned into a little monster when the people contributing to the scheme are held at ransom while others are feeding on the scheme like parasites, depriving the real owners from access to their money. And some happily think this is their money and not the savers money and suka suka would think of ways to take away this money from the real owners by legislation. This is unethical, immoral, and dishonourable. Only very mean people can go on living on the people's life savings as if it is money there up for grabs, with no owners. Anyone who claims that the CPF savings is not the owner’s money has very little conscience of justice and fairness. Anyone going along with this kind of devious thing is just as guilty.

The CPF scheme must have a termination date when all obligations to save would come to an end and anything more should be voluntary. Legally all money saved must be returned to their rightful owners to enjoy their hard earned money saved over a life time. Tentatively under the present life expectancy, a good ending point is age 65 plus or minus a couple of years and nothing more.

People should not disguise themselves as angels to control and keep the money from the CPF members for as long as they want while dipping into the fund for their own benefits.