Tuesday, 3 October 2023

We are shifting our daily news to Gutzy.Asia Support us there!

Ask Uncle Leong: Why is it mandatory for sale proceeds less than $60k to top up seller’s CPF

Ms Frances:

Why is it mandatory that net sale proceeds (from a HDB flat) less than $60,000 must be used to top up seller’s CPF?

If the CPF member has already passed the age of 55 & he has maintained the Basic Sum in the RA account, why insist he must top up his CPF? Why do we not have a choice to decide how we wanna use our own money?

Appreciate it if CPF or any authority which dictates such implementation could give a clear explanation. We need to understand the rationale.

Thank you.

Uncle Leong: Not required if one does not wish to apply for the Silver Housing Bonus of up to $20,000

Frances has asked an excellent question.

I would like to point out that the top-up amount is up to the Full Retirement Sum (currently $171,000), and not the Basic Retirement Sum of $85,500 mentioned by Frances.

Also, it applies to the joint-owners of the flat. So, it may effectively be up $$342,000 ($171,000 x 2).

Of course, if you do not wish to apply for the Silver Housing Bonus of up to $20,000 – you don’t have to do anything (top-up your CPF in order to get the Silver Housing Bonus).

Additionally, Frances has brought up a pertinent point – if you really want to help lower-income elderly Singaporeans to retire by downgrading to a smaller HDB flat (not bigger than 3-room) – why not just give them the money outright, instead of requiring a top-up to their CPF accounts.

From Ah Kiang, 

To qualify for SLB $20,000, one need to top up with the sales proceed. $171,000×2 for two owners. So can they pledge and if yes $85500 each. Or $85500÷2.

Uncle Leong: 

Yes. One can pledge property up to $85,500 each.

However, there must be sales proceeds top-up to CPF in order to qualify for the SHB.

If you have any questions that you would like TOC to reply, you can write to us using this form

Notify of
Inline Feedbacks
View all comments

Latest posts

Election surprises and certainties: Dissecting Tharman’s presidential win

In the 2023 Presidential Election, Mr. Tharman Shanmugaratnam secured a stunning 70.4% landslide victory, surprising many, including himself. Despite expectations that TKL would win the opposition votes, voters from both camps showed a preference for Tharman's charisma and perceived competency. As Singapore reflects on the outcome, questions arise about the election's fairness and the real implications of Tharman's dominant win.

Volunteer as a Polling and Counting Agent for Singapore’s 2023 Presidential Election

For the upcoming Singapore Presidential Election on 1st September, members of the civil society have spearheaded an initiative to strengthen our democratic fabric. We invite committed individuals to join us as Polling and Counting Agents, standing together for a transparent, fair, and just election. This vote counting exercise, organized by members of civil society, is not specifically in support of Mr Tan Kin Lian, a candidate in the upcoming Presidential Election. It's an exercise in active citizenry. Nonetheless, Mr Tan endorses this initiative, which hinges on his candidacy, championing transparency, and has given permission for the results to be shared publicly.

Reflections from the Centenary: The Legacy of LKY and Singapore’s Future

Gilbert Goh reflects on the LKY centenary event: an inspiring showcase of a leader's global legacy juxtaposed against current challenges, urging Singapore to continue its path of progress.

Lim Tean advocates for Tan Kin Lian: A visionary leader for Singapore’s Presidency

In his speech at Mr Tan Kin Lian's launch of his presidential bid, Mr Lim Tean passionately championed the need for a truly Independent President. Highlighting Mr Tan Kin Lian's unique credentials and genuine concern for the wellbeing of Singaporeans, the Peoples Voice leader emphasized the pressing challenges of rising living costs and job insecurities faced by the public. Mr Lim depicted Mr Tan Kin Lian as a beacon of hope for the nation, advocating for a leader who genuinely understands and represents the people’s aspirations.

Tan Jee Say endorses Tan Kin Lian for President: A courageous, genuine, and humble...

In advocating for a truly representative leader, Tan Jee Say underscored Tan Kin Lian's humility, courage, and genuine dedication. Highlighting the pressing need for restored public trust and effective independence, Tan Jee Say emphasized that Tan Kin Lian, as the 'People's President', would bring back hope to Singaporeans and champion true democracy

Tan Kin Lian’s pledge: Rekindling unity and charting a vigorous future for Singapore

In the press conference to announce his bid for the Singapore presidency, Tan Kin Lian emphasizes safeguarding Singapore's reserves and strengthening public service integrity. Drawing on his 30-year leadership at NTUC Income, he envisions a future with affordable living, accessible housing, and job stability, pledging collaboration with the government for a united nation.

Strengthening Singapore’s political foundations: A call to action by Leong Mun Wai on Singapore’s...

Leong Mun Wai urges Singaporeans to strengthen political checks and balances, emphasizing, 'The best is yet to be for Singapore if we dare to make the right decision in upcoming elections.

Trending posts