Being in the Stocks and Crypto market. I am so glad that capital gain are not taxable in Singapore. Although there is not much gain to speak of seeing the correction and crash happening in the stock and Crypto market recently. Yes I am affected by the current crash....... :(
Well on a happier note, I will be getting a $14000 tax relief for this year filling. This is because of the voluntary CPF top up that I did last year. I did a $7000 top up for my Mom Retirement Account and $7000 for my Special Account.
To me it seems like a no brainer to do the CPF top up. I am not suggesting that everyone go do the CPF top after after seeing this post. I believe everyone financial circumstances are different and should always weigh your options before making any financial choices.
For me I do the top up for the following reasons.
Topping up for myself
1) 4% interest in Special Account
2) Tax rebate
3) To reach the Basic retirement sum fast as I am planning for a 2nd property purchase. You need to have the Basic retirement sum in your CPF before you can use the Ordinary Account for the 2nd property.
Topping up for my Mom
1) 6% interest in Retirement Account.
2) Tax rebate
2) My Mom is 60+ and is planning to receive CPF life payout in a year or 2. The top up is like a 4% fix deposit for my Mom. Best Deal!
In fact, I topped up another $7000 for my Mom this year. Are you also topping? If so whats your reason?
Happy Value Investing