Tuesday, January 26, 2021

CPF MRSS: dollar for dollar matching up till $3,000

 




Matched Retirement Savings Scheme (MRSS) was announced in Budget 2020.











Before you got too excited, sorry to let you know that NOT everyone is eligible for MRSS.





You can check your eligible via CPF website.



Benefit of MRSS if you are eligible:

1) Dollar for Dollar matching up till $3,000 (Cap at $600 / year)



2) 4% int rate for CPF RA

3) Power of compounding. Build up to increase your CPF Life monthly payout amount



4)  Your love one can enjoy tax deduction if they top up to your RA account for you

(For those who are eligible for MRSS, majority of them pay little or no tax)





Extra tip to milk this scheme to the max: Do your MRSS as early as possible (Best is in JAN)




I done my part to top up $600 to my mother RA today and will be doing the same till 2025.



Related post:


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4) What I had learned in term of Life and Financial during Circuit Breaker (CB) period
5) Transferred $20,000 from CPF OA to SA for Oct 2020
6) Why you should sign up for NTUC Union membership now........
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2 comments:

  1. Evan KohJanuary 26, 2021 at 10:47 PM

    Hi, how do you top up for your mother? I would like to do that as well but can only see the usual top up RA for parents (up to 7K) but not this MRSS.

    ReplyDelete
    Replies
    1. CompoundingDividendxDividendJanuary 28, 2021 at 7:19 AM

      Hi Evan

      Yes, just use top up RA and key in their NRIC number will do.

      Delete

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