CPF – An asset or a liability to YOU?

CPF is our life savings, how can it be a liability? By 55 we should all be happily getting it out from our CPF accounts for our retirement. Ok, the rules have changed, by 65 we should be happy, late than never.

The rude shock to CPF members, by 55 they are told that they ‘owe’ the CPF or the govt $155,000 in the Retiremment Account and $43,500 in the Medisave Account. Yes, you need to let the CPF or govt have these sums of money like you owe them. If you don’t have enough in your CPF savings, or lesser than these sums in your CPF, you cannot take out your savings. But the CPF would be so kind to let you have $5,000.  Or you can pledge your property to the CPF for half of the total sum of the total sum of $198,500, or is it half of the $155,000, with the CPF.

Put it whatever you like, isn’t this a liability, a huge sum of money that you now ‘owe’ to the CPF?  Yes or No? By 55, many would find the CPF a liability instead of an asset in away.

This must be another Uniquely Singapore thing. You can owe the govt or a savings scheme money when you are supposed to be taking out your savings to live your golden years. And many Singaporeans are finding this damn stressful.

Oh, not to forget, if you sell your property bought using your CPF savings, you have to return the sum borrowed plus the equivalent of interests that the money should have earned over the same period to your CPF account even if you are retired, in your 80s or 90s or 120s. It is not that after the withdrawal age kicks in, whatever money you took out for the purchase of properties is none of the CPF business. All these open ended contributions to the CPF regardless of age must be driving many people crazy, except the people making these rules and collecting the money.

Tiok boh?

Kopi Level - Green

National Day Rehearsal - 2 Aug 14

These pictures were taken last week. The top pic is the performance stage, the largest floating stage in the world. Pic 2 and 3 are the performers and dancers in front of a huge screen. Pic 4 and 5 are the Red Lions dropping from the sky. Pic 6 and 7, the guards firing the 21 gun salute. Pic 8, beautiful doggies dressed up for the National Day. And the last pic is the fly past of the national flag in a clear sky with nice cirrus clouds.

For those who want to view the actions again, today's the day, 9 Aug, with the parade starting at 5.30pm. The performers and dancers would start the show at about 4pm.

Kopi Level - Green

A different kind of reserves Our national reserves, the money type, is going up and up, more and more, and no one knows how much is enough. The more the merrier. We could be sitting on more than a trillion dollars today. Not enough, sure not enough. More would be added every year and when we hit $2 trillion or $5 trillion, it will still grow and grow. There is no limit to what is enough.
 
We have another kind of reserves that are dwindling by the day. It gets lesser and lesser, smaller and smaller. Maybe because no one actually refers to it as national reserves, so losing it is ok. Actually not losing is, but transforming it into other more valuable assets is ok. I am referring to our land, the natural reserves, the parks, the green lungs and land that are not highrise.
 
There are some numbers like a certain percentage to be kept according to the planners. And this number is always getting smaller. No one actually says or is fighting for our land reserves to grow bigger. Any piece of reclaimed land is already chopped for use even before it is ready or reclaimed.
 
It may be nice to include our land reserves into the formula for national reserves to enjoy the privilege of growing and growing, or at least untouchable, cannot take out, or after taking it out, must put back with interests. Then we will have our land protected and even grow bigger. If not, our land and the reserved land will risk being used up for economic growth. We need the space, the fresh air, the option to be with nature, with the trees, the birds and the grass and rivers.
 
The land has more values than just being converted to industrial or commercial uses. They are our national reserves, to be kept and better to grow bigger. Unfortunately its fate is reversely proportional to economic growth or population growth. Can’t imagine how much of our land would be left as reserves when 6.9m or 10m becomes a reality.

Kopi Level - Green

PMEs must apply to SG Jobs Bank

The SG Jobs Bank is now in service with 50,000 jobs available for Singaporeans and PRs. These jobs are technically on offer for 14 days before the employer could turn around and claim they have tried but failed to get a local and now can go and get their men/women from wherever they liked. How serious are these companies looking for locals to fill the vacancies or how few locals are qualified for the jobs would soon be known when the statistics are available in the coming months.
 
It is very important that Singaporeans apply to these positions quickly as it is like they are being given the first right of refusal by these companies through the Jobs Bank. There would of course be some companies just going through the motion with no intent to hire Singaporeans and would do whatever that are necessary to get their desired candidates other than Singaporeans.
 
There are two things that are important here. First, Singaporean PMEs must respond vigorously to these job advertisements. And two, the MOM must keep a close watch at how the recruiting process is being carried out seriously and not a farce just to appease MOM’s requirements. Hopefully MOM has procedures to collect the data and to monitor and assess how things are being done professionally and not have companies pulling wools over their eyes. It is good that MOM has set up a Fair Consideration Department (FCD) to support the FCF and the Jobs Bank.
 
Gilbert Goh may want to provide a parallel monitoring channel for PMEs who applied and failed to secure a job despite the 50,000 jobs available. Keep track of what is happening to make sure the employers do not turn this Jobs Bank into a circus. With some of the comments posted in TRE, and if they are an indication of the intent of some of the employers, some monkeys would not treat the Jobs Bank seriously. The threatening remarks that MNCs would move out are hogwash. If they can find another paradise with an English speaking workforce, an environment that is so friendly for businesses and for leisure, no fear of personal safety, please go. And the arrogance of some claiming that they could not find local talents is a sign that they did not intend to find local talents and are bent on hiring their own kind.
 
MOM would have a lot of work cut out for them to haul up the rascals for a whipping. The Jobs Bank is only a start and now it is the details and the realities on the ground that matter. The FCD needs more manpower to police the processes. Singaporean PMEs must make an effort to reclaim their rights to decent jobs from this portal. All those professionals driving taxis, under employed, unemployed, please submit your applications quickly and best, give Gilbert Goh a feeler of your applications and the results for analysis.
 
Let’s hope this is real and the employers are serious. Any rejections have to be critically checked by the FCD to make sure they are valid and reasonable. They need to start by checking the CVs and qualifications of the imports from overseas and punish the culprits severely to make a point. The FCD/MOM must have the means to deal with the recalcitrants and not just having kopi and nice talks with them. Everyone must watch how this game is being played henceforth and Singaporean PMEs are not convenient rubbish to be dumped into the waste paper bins.

Kopi Level - Green

10m population snippets

Many nice things have been said about having a 10m population. Some even encouraged the planners to be braver and go for 20m or more. Some were thinking seriously on how to accommodate 20m. One suggestion is to build 40 storey flats and nothing less going forward. This is not only cheaper than building 40 storeys down into the ground.
 
The advantage is that when there is an emergency, you can jump out of the window of 40 storey high flats. If you are 40 storeys down under, you cannot jump out.
 
Some were suggesting that all the low rise landed properties in Bukit Timah, Holland and Tanglin be acquired by the govt to make way for 40 storey high rise flats. And the owners would be happy if paid market price for their land, x 40 of course. $1m becomes $40m, $10m becomes $400m. Win win for all.
 
Old low rise HDB flats can go for SERS and owners get a free new flat when new blocks are all 40 storeys and above. No need to worry about 99 year lease ending. Get a new 99 year lease for free.
 
What do you think?

Kopi Level - Green