How much is enough for retirement in Singapore?

With rising costs and increased learning needs, financing our children's education is no longer a simple walk in the park. Discuss with other parents about how they are managing their finances to cope with their expenses.
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How much is enough for retirement in Singapore?

S$500K+
38
19%
S$1M to S$2M+
103
51%
S$3M to S$5M
39
19%
S$5M or more
22
11%
 
Total votes: 202

MyPillow
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Re: How much is enough for retirement in Singapore?

Post by MyPillow » Mon May 18, 2020 2:46 pm

starlight1968sg wrote:
Mon May 18, 2020 1:16 pm
I think settling up a trust or trust fund isn't cheap.
yah i think so , may nned to have the multi millions to start a Trust fund fund first

lee_yl
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Re: How much is enough for retirement in Singapore?

Post by lee_yl » Tue May 19, 2020 9:30 am

Trust funds I think annual fees around $5K for all the administrative overheads.

I think no need multi-millionaire lah, if can on hold the big ticket items till kids reach 35yo, meanwhile give some monthly allowance, I think it’s a good idea.

If the kid is small, pass inheritance to the dad, who knows what kind the stepmother the kid would get? No guarantee lor. Or if both parents passed on only left the kid, quite likely most of the inheritance would be gone when kid hits 21yo. Thus, we can consider putting something on hold til kid hits 35yo. Of cos, if we still around till old age, then there’s no need to “activate” trust.

slmkhoo
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Re: How much is enough for retirement in Singapore?

Post by slmkhoo » Tue May 19, 2020 9:40 am

If you don't engage a professional trustee, it may not be so expensive? I believe you can always appoint a friend or relative to be the trustee. Of course, if it's a huge sum that needs to be invested and managed, then I guess it's best to have a professional handle it. I do think the 35yo is a bit old, but perhaps the trustees can be authorised to release larger sums along the way for expenditure on approved items (e.g. further studies, wedding, housing?).

Whether or not the parents are alive, I think it's a good idea not to give kids too much, too soon. Gives them an incentive to work and budget.

lee_yl
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Re: How much is enough for retirement in Singapore?

Post by lee_yl » Tue May 19, 2020 11:09 am

No, lah, cannot “suka suka” withdraw money for Uni fees/wedding etc. They will stick strictly to the conditions and to override these conditions, will need to apply to the Courts which may or may not agree

Besides Lydia Sum, Anita Mui also established a trust fund for her aged mum and her lowly-educated brother.

They were very upset as the monthly allowance was enough for them to live comfortably but not enough to throw money around. Anita’s mum went to HK High Court a few times asking to lay her hands on all of Anita’s huge fortune instead of the pittance (her words) but was rejected.

slmkhoo
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Re: How much is enough for retirement in Singapore?

Post by slmkhoo » Tue May 19, 2020 11:32 am

lee_yl wrote:
Tue May 19, 2020 11:09 am
No, lah, cannot “suka suka” withdraw money for Uni fees/wedding etc. They will stick strictly to the conditions and to override these conditions, will need to apply to the Courts which may or may not agree
It depends on the wording of the trust deed. Trustees need not apply to court if they are acting within what is allowed in the trust deed. The trust could always say that paying for higher education up to a certain level, or purchasing a first residential property up to a certain amount/size was permitted.


flowstate
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Re: How much is enough for retirement in Singapore?

Post by flowstate » Sat Jun 06, 2020 1:41 pm

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skyfp
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Re: How much is enough for retirement in Singapore?

Post by skyfp » Tue Jun 09, 2020 11:16 am

There are alternatives to setting up trust.

flowstate
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Re: How much is enough for retirement in Singapore?

Post by flowstate » Sat Jun 27, 2020 2:02 pm

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CarenL
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Re: How much is enough for retirement in Singapore?

Post by CarenL » Tue Jun 30, 2020 1:35 pm

We can never tell how much it will cost for you to retire here 10 years from now but better prepared anytime

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