See also
— The worries .. Given 300k [1] idle cash in your bank account, this sitting suck is exposed to (ranked by my worry)
- scams … growing threat as we age and lose some of our judgement
- splurge .. by anyone in the family
- [a] adult children 啃老 .. relying on me
- [a] adult children’s housing needs .. their problem, not my duty. I want to help out within my means. Having most of my fund locked into cpfLife obviates these tricky, heavy, stressful decisions.
- [a] start-up .. by my adult children or someone else. A good cause. However, beyond my 60s I won’t have big (above 100k) appetite for start-ups.
- [a] donations .. Large donation is safer in my will, not an impulsive decision. In contrast, regular contribution can be adjusted at any time.
[a] Some may call me an elderly hoarder but I want to protect my wife and my own retirement.
[1] You may have more idle cash, but let’s focus on a slice of it.
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If you are between 55 and 65, and foresee no “liquidity needs” after 65, then better lock it away in cpfRA. Time your action to some time close to 65.
If you don’t need this amount of idle cash after 55, then better lock it away in cpfRA. Note you still can withdraw the snap55_FRS_minus_BRS amount (the green portion). See %%big-ticket outlays: 55-65 – dTanbinvest
Q: how much locked up is too_much_locked_up?
A: an amount (like 1000k locked up) that affects my big-ticket purchases.
A: no amount is “too_much_locked_up”, if I have no big-tickets in my old age
— Q: Considering long-term inflation (60~90), but assuming no liquidty needs, should I lock up this huge[1] amount in cpfLife?
- optimist .. I will have work income into my 70s. Part of it, if in Singapore, will go into cpfOA and f4w
- optimist .. Assuming no liquity needs, my everyday living expensese will Not experience inflation as high as in housing, medical, education,,,
- if I lock away this huge[1] amount of idle cash, then my monthly payout would be increased by some $x amount. I could invest this $x into inflation-hedging asset such as stocks or FixD
- Outside cpfLife, I will have other productive assets such as rental prop, dividend stocks