Part 5/8:
Strategy Highlight:
She further increased her retirement nest egg by consistently topping up her CPF Retirement Account (RA) up to the Enhanced Retirement Sum. She mentions topping up about SGD 2,300 monthly, which secures her a lifelong monthly payout, ensuring steady income after retirement.
Downsizing and Its Financial Implications
A significant part of her planning involves downsizing her residence. She considers moving from a large apartment to a smaller, more manageable property, motivated by the need for enhanced liquidity and reduced living expenses. This decision is also influenced by favorable home loan rates, which she notes are currently below 1%.
Financial Strategy: