Planning for your future

Thanks to improved standards of living and better healthcare, we are now living longer than we used to. Many of us are enjoying longer retirements than we planned for, but that can come with the prospect of not being able to make ends meet later in life.

That's why the sooner you can start saving for retirement age, the more you'll be able to save, and the more financially secure you'll be.

Since everyone's situation is different, there's no single rule that tells you exactly how much money you'll need for your retirement. It will depend on many factors, including:

A good starting point is to assume you'll need between half and two-thirds of your salary, after tax is deducted, to maintain your current lifestyle.

You may be entitled to a government CPF but in most cases it might be difficult to live on this alone. You should plan to supplement government CPF with savings and investments of your own if you can, so you have enough savings for retirement in Singapore.

You may find that your employer has an obligation to contribute towards your CPF in proportion to your own contributions. This can help to grow your savings significantly, and you may also be entitled to tax relief on the combined sums saved.

Some employers might also offer 'contribution matching', which is when they agree to make additional contributions into your retirement savings, as long as you agree to increase your contributions as well.

When planning for your future, here are 3 key points to keep in mind: