I am turning 55 soon and need to make a choice of which retirement sum to set aside. After my analysis, my initial choice is to top up to CPF Enhance retirement sum (ERS) for a higher guarantee lifetime income. After reading some opinions on financial blogs, I have doubt if this is the best choice.
I would appreciate it, if you could (especially those above 55) kindly share with me which of the following options you have taken for your retirement sum in CPF, brief description on the rational in making this choice and your risk appetite in investing (Low, medium, high).
Please take note for all the options listed below, assumption made is, you have the required Enhance retirement sum in your SA.
Choose to pledge your property and opt for Basic Retirement Sum (BRS) + keep balance in Special account(SA) to accumulate at 4% compounded. *this works if you do not need to draw from CPF for your expenses, as CPF board require you to draw from SA before using Ordinary account(OA).
Opt for Full retirement sum(FRS) + keep balance in SA. * smaller accumulation in SA.
Opt for Enhance Retirement Sum(ERS). * no accumulation in SA.
Opt for Enhancement Retirement Sum but top up the difference between ERS and FRS in cash. *some accumulation in SA.
Others. Any other option that is different from the above.
Please let me know your esteem opinion. I hope I have frame the query clearly.