No need for annuities and CPF minimum sum scheme

I say it again, there is no need for annuities and CPF minimum sum scheme for the oldies. Not everyone needs them. And I am not referring to the millionaires or those with family support. I am referring to those with a 3 rm or 4 rm HDB flat. They should be independent and and can expect to retire without the need for minimum sum in the CPF. For those with bigger flats, better still. The alternative and the best solution to this group of people is the newly created HDB leasebuy back scheme. With this scheme the income generated should be able to see them through their golden years. The scheme needs not be restricted to those with only one bite of the cherry. Why should it be if we can unlocked the value of the property for them? But I read in the Straits Times of some comments that the return will not be enough. How so? One commented that a 3 rm HDB flat worth $160k today will be worth only $50k when the remainder lease is 40 years after the buyback. Another commented that the return will only be $400 a month. Really? The experts said so, so must be true. Bull! I totally disagree. Depending on the location, a 3 rm HDB flat can be rented out, say in Redhill or Queenstown area, easily for $1200 to $1500. Maybe more, regardless of the lease life as long as they meet the tenant's tenancy. And very likely to be more in the future with inflation and the rising rentals in these areas. And that will be much more than what the minimum sum or annunity can provide. The rental value or power of these flats must be taken into consideration to ascertain the real worth of these flats. Please do not shortchange the flat owners just because they can't count.

The Grand Plan

Loh Chee Kong wrote in Today about the grand plan and massive strategy to narrow the income gap and said that 'experts have hailed it as a "well crafted" plan.' Did I hear someone shouting about apple polishing? There were so many things said about closing the income gap on Sunday. In order for us to know how successful this will be in 5 years or 500 years, no one knows the target, it is necessary for us to know how wide is the gap now. Show us some statistics and set the target as to how close will the gap be and when will it be achieved. That will be more meaningful and objective. Show us the milestones. Otherwise how will we know whether the income gap has been narrowed and how much it has been narrowed. Or actually nothing happens or no difference. Just say say only.

Sharing that Dream

Hsien Loong has shared with all Singaporeans his dream. We will have the best in housing and facilities for the people. Punggol 21 is indeed a world class township with landscape and facilities that will make many in the first world countries turn envious. It can become the model for all other towns. These may not come in cheap though. Good things must have a price. But fear not. We know you by your name. Singaporeans will be prepared to make this dream a reality. There will be more educational opportunities at tertiary level to raise their income so that all these best homes and facilities will be affordable. We will really be a first world nation if all the average Singaporeans can afford to live this dream, and not just an elusive dream. The Govt has promised that the hardware, the buildings and facilities will be there. Now it is up to the Singaporeans to work for it. There is one thing that the Govt may want to think about. The software of the people. Start with the cleaners in the kopitiams and hawker centres, and also foodcourts. Make sure that they are also first world cleaners. Learn from the Filipinos. Educate the cleaners with more courses on personal hygiene, cleaning methods and technology, good manners and a little courtesy, and pay them well. The upgrading courses will increase the value of the ah pek and ah mah cleaners. We cannot have a first world city with smelly cleaners that chuck all their dirty plates and leftovers beside you while you are eating. We cannot have cleaners who swipe all the things/leftover at people who are eating. We cannot have cleaners that bang around with their trolleys and giving everyone that hostile stare if one happens to be in the way. Upgrading of the cleaners and the toilet cleaners must be the first step towards a world class city. Hey, thought I heard about toilet trained cleaners sometimes ago? Live that dream or miss the boat.

Hishamuddin Hussein Onn, Jekyll or Hyde?

'We cannot afford tension or conflict between the races. If diversity is to remain our strength, communities must be brought together, not driven apart by unscrupulous politiking.' Hishamuddin Hussein Onn And he remembers the legacy of his father, Tun Hussein Onn, peace and racial harmony for development. I hope this is the real Hishamuddin. Which is real, the kris kissing, butt kicking, and threatening blood will flow, or this sensible speech? Who wrote his speech?

Hsien Loong's National Day Rally

What the speech will strike people, other than the enormous memory and command of the language of Hsien Loong, is that it is a rich govt's rally speech. Only a rich govt can afford all the plans that he revealed and the promise of delivering them. It contains a lot of things for the people at various levels. It has taken his last speech on the vision of a new Singapore a step further with more for the masses and the lower income. In all fairness, no country or govt, I think, could make such a generous offer to the people. But then, there are still areas that need to be looked at it more intensely. Ok, we are not building bridges and roads to collect more tolls. But many of the things that the govt is going to build will be paid by the people. They are not freebies. Even looking after the aged is how to plan their savings to last longer. Ok, 1% more for $60k. That is a plus. But shouldn't this be paid in the past as the compulsory savings should be managed and invested to generate higher returns all these while? And there were signs of fine tuning the CPF savings to fit the needs of different groups of people. But still not enough. The minimum sum was untouched. This sum is so meaningless to so many people. The attempt to close the gap between the rich and poor is barking up the wrong tree. Agreed that the govt should not hold back the rich from getting richer. Let them get richer. And also there is no way that the income of the lower income group can be artificially inflated at no cost. They will pay themselves out of the competition. It is a double aged sword. It is a futile exercise. What Hsien Loong completely missed out is the runaway cost of living. If this area can be arrested, then the people, especially the lower income group, will be richer and their money can be stretched a little longer. So will the savings of the retirees. The only way to hold back rising cost is to return public and essential services back to the nation and run at cost plus and not just for profit and the interest of the shareholders, or to line the pockets of top management. The concept of profit for profit sake must be relooked at. Even GLCs must not forget that they have a national duty to look after the people, eg in the area of job creation and employment. It is irresponsible to use public money simply to generate profit. Profit for who and for what if the people are being squeezed or retrenched just to improve the bottom line? Without reining in the cost of living, not only the lower income group will suffer. It will undermine our competitiveness as an operating base for foreign corporations in a matter of time.