I was kinda shocked that most people aren’t aware that their CPF contribution will decrease as they age. In addition, the CPF contribution cap is set at $5,000 – in simple terms mean that even if your income has increased beyond $5,000, the CPF contribution will not increase.
Therefore, I have decided to come up with a simple spreadsheet which shows how the CPF contribution of an ordinary Singapore couple, with a combined gross income of $4500, will look like. I have made an assumption that there is a wage increase of $100 per year for this couple, and there is no income ceiling for them.
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