Ng Wee Loon

27/05/2026

POV: You bought directly from the maid agency because it was convenient and/cheap.

Very often, what matters isn’t the premium or the application process, or even the product. The value of the rep really shows during claims, but for many, it’s too late for us to intervene.

This isn’t just for general insurance. It applies to all kinds of protection plans.

23/12/2025

The CPF Basic Healthcare Sum is increased to $79000 in 2026 and will continue to increase year on year.

Do you know how long it will last you with all this talk about medical inflation and rising medical costs?

CPF Basic Healthcare Sum (BHS), which is essentially the ceiling of the Medisave Account (MA), is set to rise to $79000 for those under 65 in Jan 2026 (https://www.straitstimes.

17/12/2025

Are you fresh into the workforce, just turned 55 and have your RA account set up, or are you already retired and drawing down your CPF?

Let me know what your retirement plans are and let's see how we can make sure your plans align with your goals and can bring the results you want.

I used to be a big fan of CPF Life believing it as the best retirement plan available that is hard to match in the private market. I strongly believed that CPF Life should form the basis for any retirement plan that is until recently when I chanced upon a video that mentioned that CPF Life as a plan

05/12/2025

We are coming to the end of the first week of December. As part of my routines, I have been reaching out to my clients to remind them to contribute to their SRS for tax rebates if they haven't. Usually, the replies fall under one of these 4 lines of thought.

1) What is SRS?
2) I don't contribute to SRS.
3) I am open to any ideas you have.
4) I have already invested my SRS contributions

1) 💡 What is SRS?
To put it simply, SRS - short for Supplementary Retirement Scheme - is a programme to help Singaporeans plan for their retirement while dangling tax relief as a carrot. You can only open a specific SRS bank account with any of the three local banks (OCBC, DBS, UOB) and contribute $15,300 every year (or $35,700 if you are a foreigner) and be eligible to take that off your taxable income.

If you do the Math, because Singapore's tax system is progressive, as long as you have taxable income above $40,000, SRS starts to show its usefulness and as you go higher and higher on the income scale, the tax savings begin to show more and more, up to a point if your total relief is more than $80,000, then it loses its use because that's the cap for tax relief. However, few Singaporeans ever reach that level.

I say taxable income because we have many relief schemes in Singapore to help us save on taxes, e.g. Earned Income relief, NSMen relief, Working Mother Relief, Child Relief, Parents' Relief, so everyone's situation will be different. It is easier to explain this by talking about taxable income after all the reliefs are taken into account.

The contributions will come in handy and complement your CPF Life payouts when you hit the retirement age.

Those who don't know what it is are potentially losing out on a lot of savings and a great way to build your retirement portfolio.

2) As mentioned, if your taxable income is less than $40,000, SRS may not be such an attractive proposition to you since the tax relief is likely negligible. The other reasons why SRS is not attractive usually fall under one of these:

a. You don't have $15,300 cash lying around. I am not going to lie; Singapore is not a cheap place to live in. Even as a financial consultant, having a large family means my expenses are fairly high compared to the average Singaporean. I personally don't contribute to SRS because I don't have $15,300 lying around.

b. You have young children and currently still enjoy Parenthood Tax Rebates. If you don't know what PTR is, this probably doesn't apply to you. But if you do, great, you have a couple of years before you need to start paying taxes.

3) Any amount contributed into the SRS account draws an interest of 0.05% per annum. While this is slightly better than the interest for your typical savings account, it is still way under the inflation rate, meaning you are losing money to inflation. I was shocked to find out that as of last year (December 2024), $3.9b SRS contributions remain uninvested. That is a lot of money devaluing because of inflation.

The government has allowed SRS to be invested in so many machines that it baffles me that anyone would contribute to but not invest their SRS monies. Some of the ways SRS can be invested includes (in order of risk/returns):

a. Timed Deposits
b. Endowment Insurance
c. Singapore Government Securities
d. Structured Deposits
e. Unit Trusts/ETFs
f. Stocks

Anyone of these would draw a better return than keeping in the SRS account for 0.05% interests, which for me, is a sure loss, since SRS monies cannot be taken out before the retirement age without penalty, you are essentially locked in for the long haul, depending on how old you are.

I personally have a handful of fund ideas that are at least 10x the 0.05% you get from not investing your SRS account.

4) Kudos to these client! They are doing the right thing! SRS investment is a triple-win. You save on taxes, you earn a good return on investment and you are upgrading your retirement planning using minimum effort, as long as you choose the right method and speak to the right person.

Let me know if you have contributed to SRS and are currently looking for ideas on how to make your money work for you, or if you just need a second opinion. I am always glad to help!

Send a message to learn more

03/12/2025

I am a big fan of dividend funds.

There are many available on the market and many pay out attractive yields, especially in the current market conditions where interests rates are low.

There are country-, sector-, asset-specific, diversified mix-asset funds - you name it, we have it.

You can buy into them using cash, CPF, or use them for tax rebates with SRS.

Here are the top 7 reasons why I am partial to them:

1) Focusing on income, many have long term capital appreciation only as their secondary goal, ensuring that volatility is low and the capital is preserved as much as possible. Even so, you are looking at the best of both worlds, realised gains now, and unrealised gains in the future.

2) Compared them to growth funds, where your returns depend on capital appreciation in the long term, and depending on the market conditions at the point of exit, gains are not realised until the units are sold. On the other hand, dividend paying funds offer realised gains every time dividends are paid and any short term depreciation due to market conditions are unrealised losses. That's what I often call money-in-the-pocket. Over the long term, the dividends received very often more than make up for the loss in principal.

3) For investors looking for lump sum investments, dividend reinvestment ensures your portfolio increases over time with compounding. Hence, that 5% - 10% per annum yield is in fact more than what's given if you know the Math, whereas non-dividend funds will not see compounding happen and all gains depend on the points of entry and exit. Even Einstein and Buffett agree that compounding interests is the 8th wonder of the world.

4) They are extremely flexible, with no lock-ins and free switching available, depending on the platform you use to invest. Fund managers are often mandated to buy back any units at a moments' notice, so money invested remains as an option available should there be a real need.

5) The barrier to entry is low. Investors can start as little as $100 a month to kickstart the investment journey, as put in their long-kept savings, or buy into additional units any time there is spare cash from that performance bonus they receive from the hard work they put in at work.

6) Investment is the only way to go. Savings in banks, even in fixed deposits or high-yield bank accounts rarely beat inflation. So essentially, by saving, we are losing money. Banks do offer similar rates nowadays if you tick all the boxes, including credit your salary, increasing your balance every month, buying into investment products, spending on your credit cards, and so on, but there are so many hoops to jump through before they offer you something comparable. Many funds, however, have been giving a stable yield with a long history of dividend payout.

7) Lastly, focusing on asset is a last-century thinking. Income is what keeps your day going. No point sitting on a million worth of investments if you can’t buy your next meal with it.

19/11/2025

🎉 What happens to my CPF when I turn 55?
Turning 55 is a major CPF milestone — and it’s when your savings start transitioning toward retirement. Here’s what actually happens behind the scenes:

🔐 1. Your Retirement Account (RA) is created
At 55, CPF automatically forms a Retirement Account (RA) using your Special Account (SA) first, then Ordinary Account (OA) savings.
The amount set aside will follow one of these tiers:
Basic Retirement Sum (BRS)
Full Retirement Sum (FRS)
Enhanced Retirement Sum (ERS)
Your RA will eventually fund your lifelong payouts under CPF LIFE from age 65 (or latest by 70 if you so choose).

💸 2. You can withdraw some CPF savings
Once RA is set up, you may withdraw:
Up to $5,000, regardless of your balances
Any OA amount above your FRS (or BRS if you pledge a property)
Withdrawals are flexible — you can take it all at once or bit by bit over time. However, it will be subject to the daily withdrawal limit, which you can change on the CPF website.

📈 3. Your savings continue to earn interest
Even after 55:
RA earns up to 6% p.a.
OA continue to earn its usual rates
An extra interest of 1% is applied on the first $60,000 of combined CPF balances
This helps your nest egg grow before payouts begin.

🧾 4. You can still top up to boost retirement payouts
You can make voluntary top-ups to RA up to the ERS, allowing higher CPF LIFE monthly payouts in future.
Cash top-ups also qualify for tax relief (subject to yearly limits).

🏠 5. Housing arrangements stay intact
If you're still paying a mortgage:
OA can continue to service housing loans
Withdrawal rules for property remain unchanged
No need to refinance or make any special changes.

📅 6. CPF LIFE payouts begin at 65
Your RA savings are used to provide a lifelong monthly income.
You can choose:
Standard Plan (default)
Escalating Plan (inflation-adjusted)
Basic Plan (legacy)

✔️ Quick summary
At age 55:
RA is created
Some money becomes withdrawable
Your housing and interest continue as usual
You’re preparing for CPF LIFE payouts at 65 (or later)

In essence, your OA becomes a pseudo-bank account 🏦 earning 2.5% p.a. (currently) interest.

🗣️ Speak with me to find out how we can make your money work even harder for you!

Send a message to learn more

17/11/2025

Keeping track of your CPF isn’t just good financial hygiene — it helps you plan smarter for housing, healthcare, and retirement. The good news? Checking your balances and future projections is quick and easy.

One particular tool I love to use to help clients get a good picture of where they are at is the Retirement Income Tool.

Inside your dashboard, you can use the CPF Planner – Retirement Income tool to view:
a. Future projections based on your income
b. Estimated CPF LIFE payouts

Whether you’re on track for your desired retirement lifestyle
This is the easiest way to forecast your CPF at age 55 and 65.

If you’d like help interpreting your projection or choosing the right strategies — happy to chat! 👋

Send a message to learn more

16/11/2025

A quick check, and I am surprised to find that one of the most common questions online about financial planning and retirement remains focused on CPF.

So let's start with that. What are the different CPF accounts (OA, SA & MA) — and what are they for?

If you’ve ever tried to understand your CPF contributions, you’ll notice they don’t all go into one place. Instead, they’re allocated across three key accounts, each serving a different purpose to support your long-term financial security.
Here’s a simple breakdown:
🏡 1. Ordinary Account (OA)
Your OA is the most flexible CPF account. Funds here can be used for:

a. Buying a home
b. Paying for housing-related expenses (e.g., monthly mortgage)
c. Selected insurance premiums
d. Approved investments & education
e. Accumulating retirement savings

Think of OA as your home and general-purpose account.

🧓 2. Special Account (SA)
The SA is designed for long-term retirement planning. Money here earns higher interest and can be invested only in low-risk financial products.

a.You cannot use SA funds for housing
b. It’s meant to grow safely over time for your retirement years

The goal is clear: build your retirement nest egg.

🩺 3. MediSave Account (MA)
The MA is all about your healthcare needs. Funds can be used for:

a. Hospitalisation & day surgeries
b. Certain outpatient treatments
c. MediShield Life and other approved insurance premiums

It ensures you have a dedicated savings pool for medical expenses — both expected and unexpected.

💡 In short:
OA = Housing + General needs
SA = Retirement savings
MA = Healthcare expenses

Understanding these accounts helps you make informed decisions about your finances — and gives you better control of your long-term planning.

If you’d like a deeper dive into CPF strategies or how to optimise your accounts, feel free to reach out! 👋

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31/07/2025

Have I made a difference in your life?

I thank you for giving me the opportunity and I sincerely hope that my work has made a difference in your life.

16/09/2024

One of the most common objections when we recommend hospitalization plan is that Medishield Life is sufficient.

This is a bill for KTPH for a 4-day surgery. Medishield Life only covered $1276.96 of a $9768.13 bill, which is clearly not sufficient.

For those who said that the IP portion is sufficient, that also only covers about half the bill.