Quick answer
Retirement planning in Singapore combines CPF LIFE, private savings and investments, and property into a lasting monthly income. Start by estimating your retirement expenses, make full use of CPF and SRS, then build an income plan that can span 25 years or more. A first consultation with an Affinity retirement planner is complimentary.
CPF LIFE and your Retirement Sum
At 55, savings from your CPF Ordinary and Special Accounts are transferred to a Retirement Account up to the Full Retirement Sum (FRS). From 65 you receive lifelong monthly payouts under CPF LIFE. Setting aside the Basic, Full or Enhanced Retirement Sum determines the size of those payouts, and you can choose from the Standard, Basic or Escalating plans depending on whether you prefer level or rising income.
Decisions like whether to top up to the Enhanced Retirement Sum, when to start payouts (65 to 70) and which plan to select can change your retirement income by hundreds of dollars a month. The right choice depends on your health, other income sources and family situation, which is exactly what a planner helps you weigh.
Supplementary Retirement Scheme (SRS)
SRS is a voluntary scheme that complements CPF. Contributions are eligible for tax relief (within the annual cap, currently $15,300 for Singaporeans and PRs), can be invested, and are taxed at only 50% when withdrawn over a ten-year window from the statutory retirement age. For higher-income earners it is one of the most effective retirement tools available.
Leaving SRS money uninvested in cash erodes its value, so your planner will typically pair SRS contributions with a suitable investment strategy.
Working out your retirement gap
Start with the lifestyle you want, housing, food, healthcare, travel, family support, and cost it in today's dollars. Adjust for inflation over your remaining working years. Then subtract expected CPF LIFE payouts, rental income and any pension. The remainder is the gap your private savings, SRS and investments must fill.
Healthcare deserves special attention: MediShield Life, an Integrated Shield Plan, CareShield Life and long-term care cover protect the retirement pot from being drained by a single illness.
Building retirement income beyond CPF
- Retirement income annuities that pay out monthly from a chosen age, for life or for a fixed term.
- Diversified investment portfolios with a drawdown plan that balances growth against sequence-of-returns risk.
- Property strategies, right-sizing, the Lease Buyback Scheme or rental income, coordinated with the rest of the plan.
- Micro-retirement: shorter career breaks planned and funded deliberately, a growing focus for younger clients.
How Affinity plans retirement with you
Affinity's retirement planners include Certified Financial Planners who specialise in CPF and retirement income. We model your CPF LIFE options, SRS, investments and protection together, stress-test the plan against inflation, longevity and healthcare shocks, and review it every year. The aim is simple: a monthly income you can rely on, and the confidence to enjoy it.
