A time to stop contributing to Medisave

As long as one is employed, one continues to contribute to CPFMedisave for as long as one is alive. For self employed, they will have to continue contributing to Medisave even at 100 years or more under the present rules. What is the logic of contributing endlessly when CPF savings can be withdrawn progressively after 55?

The other point is the bottomless limit of Medisave Minimum Sum to be retained, increasing annually. There is a point in life when living is a matter of diminishing returns. There is a point in life when there is no point to perpetuate life when the cost of keeping one alive is unsustainable and for no benefits. When one has lived to a ripe old age, when the legs and hands no longer move, or could barely move, when the body no longer feels, when keeping the body alive is so expensive, living or being alive is suffering, what is the point of having a lot of money in the Medisave when in such a state?

For the rich, when money is not an issue, it is ok. To many, when money is a big issue, it is not ok. Should the govt pass legislation to hold back the people’s savings after 75, 80 or more, so that the money can be used for expensive medical bills while the owner of the money could no longer enjoy even simple food, see nor hear?

There must be a point in time when money is no longer useful, when being kept alive is meaningless. Money is useful when one can still enjoy them, having a good meal, a drink, or moving around, still able to feel the senses.

The legislation must be changed to stop CPF from taking the people’s money after a certain age. A self employed person at 60 is in a much better financial position than one that is unemployed and drawing down on his CPF savings. When one is eligible to withdraw the CPF savings, that should be the age for those who are still economically active to be spared the burden of contributing to Medisave. Their incomes are more valuable when they are young, (not counting wasteful inflation) than when they are no longer physically able.
Savings for Medisave after the CPF withdrawal age must be voluntary. After 55/62, CPF or Medisave contribution must no longer be compulsory but voluntary. Otherwise it is like extorting the old folks, to withhold their money to fatten the nation’s reserves, and which they are unlikely to use them. It is another way of robbing them to pay the hospitals, against their wish when they are mentally unable to decide for themselves.

After certain age, the people must have the right to decide if they want to waste their money to pay the expensive hospital bills. Maybe some are hoping that once the oldies hit dementia, unsound mind, let other people decide on how to spend their huge savings in the Medisave.

It is time the govt review the CPF/Medisave Contributions for the old folks. Stop bullying them and taking their money against their wills.

Financial crisis hitting stock markets

MAS is getting more clouts to deal with errant pushers of toxic products. This sounds like a good thing. What MAS needs to do is to be more proactive and look at the whole financial system as well, especially how stock markets are run around the world, and how dangerous products and systems are allowed to get into the stock market system to run riots and exploited the weaknesses of the system to prey on the small investors.

The exploding financial crisis in the US and Europe is affecting not only toxic products but also the stock market mechanism and processes. The plunge in Dow and Europe market had caused panic and the immediate response by the European govts is to curtail short selling. The damage that short selling could cause, and how this mechanism can be easily abused need no further explanation.

Short selling and many other new devices and systems have been introduced into the stock markets world wide, including high speed trading, derivatives, dark pools, programme tradings, etc that violate the principles of stock trading. The very basis for funds to employ these new gadgetry and systems works against how a stock market should behave. In the long run they will devour everything and lead to a loss of confidence in stock trading and even the destruction of this industry.

They also violated the sacred principles of level playing field and transparency. If stock markets allowed such principles to be transgressed with impunity and explaining them to be part and parcel of modern stock trading, there is a very high possibility that the stock markets would go the way of toxic notes and bonds. They could inflict more severe damages and consequences than just toxic products. The industry could collapse and many people, other than losing their investments, could also lose their jobs.

Eventually the blame will fall back to authority/regulators for allowing all the infringements of good market practices, principles and rules and regulations to be breached and not doing anything to prevent them. When it became another crisis like the minibonds, it will be disastrous and the authority cannot run away from this responsibility by claiming investors went in with eyes wide open. The authority has the responsibility to provide a fair system and level playing field. That is the basic principle and also the rationale for the existence of a regulatory body. The people trust that the stock market are there to provide a level playing field and MAS is there to see to it. Caveat emptor is not acceptable when a system is allowed to operate with unfair advantages to the big funds.

If ever the stock market collapses, someone will have to answer for it. The key questions will be whether there is a level playing field and whether the new trading platform provided the funds with an unfair advantage over the small investors.

Post election Rally

It was a National Day Rally, but the tone of the Rally could be more a result of post election effect. Several key policy positions that were stubbornly held previously were dismissed to history. And the citizens must thank the result of the last GE for such changes to take place. Prior to the GE, several policies were still zealously guarded as the key foundations for growth and development of this ‘work in progress’ nation that is unlikely to become a nation for a long time to come. Many things that were built in the past were allowed to go to waste to accommodate a larger influx of foreign talents to dilute the core values, social behavior and the privileged positions of citizens.

This post election Rally is seeing some changes. Income ceilings to purchase the unaffordable affordable public flats have finally been raised to the displeasure of some. Without the GE, the ceilings will still be unshakable, necessary and the right things to keep.

The influx of foreigners is said to be slowing down. Let’s wait to see some statistics as the official policy is that they are still indispensable to our economic growth. The numbers will tell whether there has been a slow down and how significant is the slow down. Hopefully it is not just cosmetics.

Tertiary education for Singaporeans is seeing some changes in increasing future intakes. But foreign student intake will remain though the percentage is smaller with a bigger base. They should follow the British system, foreign students pay the full fees to subsidise the locals who pay substantially lower than what the former pay. With such a policy, we can afford to build another one or two universities and increase the percentage of foreign students even to 50% and no locals will be complaining.

There was no mention of past students that were disadvantaged by the old policies and had no choice but to go abroad, and with their parents selling their homes to pay for their expensive foreign university education. Neither were anything mentioned about those young people who were forced out of public housing by the old policies and left in the lurch. Whatever was done was over. For university education, there is nothing that can be done for those who already spent their time and money overseas. For housing, many are still left hanging in the air, income exceeded because of not building enough and low income ceilings. Would the govt make amends to accommodate those victims of past policies?

Special education and healthcare also see some changes with more budget or subsidies allocated to these areas. With the growing cost of healthcare, subsidies and help may go some way but only temporary if the runaway cost is not contain, like property prices. Contain and reduce the high cost and no help will be needed.

Maybe another 10% swing in popular votes in the next GE could see more substantial changes to benefit the people. The people must be looking forward to more GEs.

Rise of an Asean military power

Filipinos have taken centre stage the last few days in our social media. It was something like they were shocked by Singapore’s NSmen lacking in morals, loyalty and patriotism. Given the rising stature of the Philippines as a military power in SE Asia, I think the comments made good sense and a good reminder of how far Singapore has been lacking behind the Philippines.

On record, the Philippines have the reputation of being the only Asean country that could take on China. They have arrested Chinese seamen, removed Chinese territorial markers in the Spratly Islands belonging to China. And they have warned China that they would fire at Chinese naval ships in the area.

Now where on earth can you find such a garang country, other than the US, to talk to China in such a threatening manner? Yes, only a rising military power like the Philippines could act in this way, fearless, with a strong sense of morals and patriotism. This is something that Singaporeans got to learn from the Filipinos.

The latest is that the Philippines Navy is buying a patrol craft to defend its islands against China while China is playing with its new toy, an aircraft carrier.

If you don’t agree with me on the facts that I used to support my case, you must give it to the Filipinos for their confidence and guts to tell the Chinese off. Great nations and great people start by thinking they are great and believe in it.

One of Singapore’s best policy today is to add the good genes of foreign talents into our degenerating and depleting gene pool. Since independence, the quality of our talents is going down hill to the extent that many CEO positions in our native organisations must be helmed by foreigners. Maybe this is one of the reasons why we are welcoming more Filipino FTs to our shores to share their good genes. And our little children will also be taught the great values of the Filipinos by the maids.

At the end of the day our gene pool will be enhanced and perhaps we could also make claims to the Spratly Islands. There is oil out there and would be good for our economy. If the Chinese objects, we can also threaten to arrest their seamen as a show of force. I think we have a few more patrol craft than the Philippines, and if they could stand up to China, we should be able to do better, if only our NSmen have more morals, loyalty and patriotism.

Presidential candidate Tan Kin Lian

Tan Kin Lian speaking at Speakers Corner yesterday on his election platform.


The news so far on Tan Kin Lian is on his departure from NTUC Income. Kin Lian has his version for leaving and NTUC has come out with their version that told a different story. So far the exchange has been quite civil and no one of senior positions has been going around take buses or taxis or checking on personal claims to cast doubts on him.

What is important at this point in time, like all other president hopefuls, is that the PEC has found them to be men of integrity, good reputation and character and is fit to be the president of the country. The disagreement on the how and why that he resigned is not an issue of misconduct or mismanagement. At top management level, many a time the reasons for a separation can be quite dubious, controversial or a matter of chemistry. Many were there because of political appointment as many other candidates are equally qualified for top management positions but only a few were chosen. Often it is always the person who left was seen as the loser but never a victim. And the people who called the shot carried on as if they had done no wrong, like god. Of course the truth could be otherwise.

Kin Lian's strength is drawn primarily from his fight for the victims of the minibond saga. He volunteered to champion the cause of the losers. And he made a difference. Without his leadership at a time when a leader was badly needed, the victims would not have gotten a better deal. He challenged the authority when no one dared. This is a very pertinent point in a society that is engulfed with fear of authority. And it took a man of great courage and sacrifice to stand out at a time like that crisis.

As an elected President, most of the functions are ceremonial. The EP will be called upon to act exactly in a time of great crisis. It is only in those time that a president is tested and he needs to draw on all his courage, wisdom, integrity and duty to the people, the average citizens, to stand up to a govt that could be turning into a rogue. Any presidential hopeful must give the people an indication that when pushed to a corner, he would stand up and fight back.

The EP's job is toughest in the toughest time. Having tea and cosying up to the PM to make a good impression and hopefully gain some respect from the PM and then his listen hear is of the least concern of the people. It is when he is called upon to act strongly, that is the moment that he is being paid for, to defend the interest of the people, to prevent the reserves from being squandered by a rogue govt. Trying to be nice to influence a rogue govt is a foolish suggestion.

In this election, particular to Kin Lian, would some irreprehensible bums be everywhere smelling for shit? All the candidates have remarked that they would want to run their campaign with dignity. Would someone hit below the belt or pull a file from the dustbin to dust around? Employment records are confidential documents. Personal encounters and discussions in board meetings are confidential and privileged information. Would they be aired to score points just because they are juicy or could be used to smear a character? No one would forgive a padre for divulging a confession of a sinner.

The people are watching again to see which party would take the first shot to diminish this contest for the highest office of the country into another slug fest in the longkangs, where all respectability, dignity and honour were thrown to the wind. Would there be people holding high positions, willing to lower themselves and their own honour, to do shameful things to mess around with the candidates?