Members who made CPF top-ups can request higher payouts

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Lianhe Zaobao, 1 Feb
Voices, Pg 21



We refer to Mr Ong Yiat Wah’s letter “The duration of monthly payouts is too long” (25 January 2019).


The Retirement Sum Scheme (RSS) provides members with a monthly payout from their Retirement Account (RA) during retirement until their savings are depleted. A member’s payout is computed based on 4% interest per year and to last him up to 20 years. With the extra interest of 2% for the first $30,000 and 1% for the next $30,000, the same payout may last the member till 95 years old. The extension of payout duration, funded by Government-paid extra interest, helps more members avoid the risk that they outlive their savings.


In general, top-ups to CPF accounts will result in an increase in monthly payouts.


Top-ups beyond the Full Retirement Sum will result in extensions of the payout duration. However, members can request to increase their monthly payouts instead.


We have contacted Mr Ong to explain the matter and acceded to his request for an increase in monthly payouts.



Irene Kang (Ms)

Group Director (Communications)

Central Provident Fund Board