There are 2 ways to withdraw from CPF. Each can be viewed as “easy” or “hard” depending on how you look at it. 🙂
Let’s first talk about the more straightforward one:
You work diligently and both you and your employer contribute to your CPF accounts (as mandated by law).
Then at age 55, you can withdraw from your Ordinary and Special accounts after setting aside the Minimum Sum, which currently stands at $99,600 but will go up to $120,000 in future. (See Q&A in CPF website.) [Added 1 Sep 2007: You also need to set aside the Medisave Required Amount, which is now $11,500 but will be increased to $25,000 in 2013.]
Then you retire. At what age? It’s been proposed that the official retirement age should be 67. Maybe it’ll be 70 by the time we get older. I don’t know.
It’s only when you reach this official retirement age that you can start to draw down from the Minimum Sum. In effect, you will receive a monthly payout of a few hundred dollars until the balance runs out in about 20 years or so. The government is now considering having a “tail-end” annuity component to help those who, er, continue to live after the balance is emptied.
So what’s easy and what’s hard? In my view, the first withdrawal at age 55 seems “easy”. What is “hard” is the slow stretched-out withdrawal of the remaining Minimum Sum starting at age 62 (or 65, or 67, depending on when the new policies kick in).
Did I say there’s a second way?
Ha. It’s meant to be a tongue-in-cheek “solution”. I believe most of us will not even seriously consider it. Here it is:
Renounce your Singapore citizenship (or permanent residency). That is, emigrate to Australia, US, UK, or wherever. Leave Singapore for good. Only then can you withdraw your CPF in full. (See page on leaving Singapore in CPF website.)
89 Comments
Hi All,
I have few questions to ask, may someone help. Am Singaporean and applying citizenship as Malaysian. My parents are both malaysian and am 49years old coming to 50years and was born in Malaysia-Melaka. I have bought a bungalow house recently and intend to stay there. At the sametime I have lands left by my late parents. I’ve sold my property in Singapore and leave at my cousin house for time being.
The main concern that I have is, after I renounce my Singapore citizenship will I be able to withdraw my full CPF money? Thank you
Hi there,
I too have a few questions. I hope someone can give explicit info on my questions. I am a Singaporean, now widowed by my malaysian husband 3 years ago. My children 18, boy, singaporean by birth but malaysian now, 16 girl and 10, girl both born and bred in malaysia are living with me in Perak for the past 19 years. I have about sgd22,000 in cpf ordinary a/c and sgd3700 in medisave a/c, which i wish to withdraw for my kids’ education expenses. Being a single mother is not easy. I have obtained pr here in malaysia. I was told i can get red ic in a few months. I hope u can give me indication as to how i can withdraw my cpf in any way possible.
i reaching 55 in 2 years time,bought a house in indonesia batam but am not citizen there yet. Anbody know what e procedure to apply and how long will it take? I wanna withdraw all my cpf out of singapore and enjoy a carefree life instead of monthly payout of few hundred dollar(like begger) before to my deathbed. Please advice.
I have migrated to Australia a couple of years ago, and finally decided to renounce my Singapore PR and take out my CPF money. I was told that the full amount withdrawn from CPF is considered as income for that year, hence taxable. If the amount is small, A$15,000 or less, then you pay no tax to Australian tax office. But if you have $500,000 then half of that will go to the tax office. Is it true?
The trick is, if you withdraw the money and take it with you when migrating to AU, or within the first few months, then it is not taxable. Can somebody shed some lights on this?
Trick #2: if you take out the CPF money but deposit some or all of it into another retirement fund of another country, then that amount is not taxable by ATO, but the remainder that you take into AU as cash would be taxable. Hmmm…
A retirement fund in another country is the worst you can do…They are even less flexible than CPF. Off-shore bank account is the way to go.
Any pointers as to how to open an off-shore account? What is the usual requirement? 10mio?
I am a PR and moved to US recently, my PR will be expiring in few months. I would like to know if the entire CPF money is taxable in US.
Yes CPF will be taxed when brought to the US.
In fact you need to declare interest earned in the CPF account in Schedule B in IRS form even if you cannot withdraw the CPF interests and you need to pay tax on the interest earned.
I left singapore in 2007 and staying in india, and have valid PR till 2013. At present i am not NRI in india. if i withdraw money from CPF, does that attract tax in india.
Yes it does but you can bribe some tax officials to get out of that…
To ah neh
where did you get the information that CPF withdrawn will be taxed in India?
To PKM
If An neh is correct , there is no way to escape the tax.
Unless you take the illegal / criminal route !! You need to find a friend in SG foolish enough to accept your SGD and pay you in rupees in India.
If you happen to come across any legal workaround , please let the forum know.
hi every1
I wanted to check with u all. i’m married with a thai wife, residing in singapore n she got PR. we had a baby girl. wanted to leave singapore for good n staying at thailand is it possible for us to drop my citizen n PR. i haven gotten my thai PR is it possible to drop.
Hi
I am Msian from sabah and having Spore PR. Planning to go back msia for good. How long it takes to renounce PR and get the CPF? Can I get full amount and will it be taxable?
Hi
I am Msian from sabah and having Spore PR. Planning to go back msia for good. How long it takes to renounce PR and get the CPF? Can I get full amount and will it be taxable?
I think now the law change you can’t get your cpf at 55yo
Already 56 years need some funds for urgency use instead of getting help from so & so…. I don’t have a understanding husband. Which I do not like to take $ from him. I find very stress… where to get help for emergency use.
Can I withdraw some CPF money to assist me at this moment of times. At the moment having teeth & gum problems cash not enough hv to pay electric bill, conservancy fees, telephone bill, children pocket money, busfare etc etc. Can I seek help
Who did you vote for last election? You get what you voted for… Vote wisely in GE2016 if you ever want to see your CPF money back.
Hi. Can anyone advise on the best way on obtaining a citizenship
in any other country as I just want to get out of SG. Any country will do n what must be done to obtain this citizenship. Please advice asap. Thks
Hi i’m 28 i want to renounce my singapore citizen can i withdraw my cpf money. Please give me some advice. Thank u.
CPF funds incoming to Australia is NOT taxable. It’s like superannuation. Only the interest from the time you were a resident for tax purpose is taxable.
I renounced my SG citizenship last year and have withdraw my CPF savings in Nov 2013. Is my CPF savings taxable in the US or just the interest. Please advise.
If we renounced our Singapore citizenship, would the housing grant provided by the government will be deducted to the total CPF we saved?
Question?
Can I withdraw my CPF since no more working in Singapore for 20 years. But now I only 49 years it is possible for me to draw out.
Whatever you blog about attacks a nerve to me, thank you for challenging your readership.
I’ve been out of SG for almost two decades. For family reason, I have naturalized in US. I hesitated to renounce before. But want to now since my parents have passed on and my immediate family is here. How do I renounce my SG cit and take out my CPF? Will it be taxed? Is there a way to minimize taxes and fees? Is off-shore account still an option? Thanks.