$500k strategy for ~$3.9k p.m. lifetime payout

 A lot of chats talk of achieving $3k p.m. retirement passive income. 


1. Is it $1k, $2k or $3.5k ?
Some asked if $1k p.m. or $2k p.m. is enough.  A retirement lifestyle survey says $3.5k p.m. can retire adequately.

2. Is it $1.8k investible portfolio sufficient to general dividend?

3. Some say 2% or 4% drawdown from your networth.

~~~~

My workable, practicable strategy just require $346k + $143k = $490k portfolio is enough to generate an annual passive income from age 65 with lifetime payout of $46k p.m. (or $3.9k p.m.)

Just do the following:
1. CPF-RA: $346k @59yo.
2. 3 x endowments, payout at $32k p.a., singly.

~~~~~

To extrapolate, imagine a couple would double up to $46k x 2 = $92k p.a. (or $3.9k x 2 = $7.8k p.m.)

~~~~~
Query1 from someone1: Are these real numbers?

My reply:
These are my real numbers.  

My CPF Retirement RA Payout:
1. Payout is from CPFB estimator calculator at age 65 and 70.  

2. The CPF RA Payout says $2,150 p.m. at my age 65.  So my annual RA payout: $2,150 × 12 = $25,800 p.a.

 3.  If I delay my RA payout to age 70, my delayed payout will be $2,870 p.m. So my delayed RA payout will be $2,870 × 12 = $34,440 p.a

My 3 endowments Payout
4. The 3 endowments payouts are from BI.

5. For these 3 endowments, two are from NTUC SAIL-SP (in 2013 age 49) Revoretire (2019 age 53). NTUC is known to fulfill its BI higher payout. 

6. The 3rd is a Resale Endowment (2023 age 59); payout is guaranteed; not projected.  Resale endowment has shorter policy duration of its original policy.

These are my numbers.

~~~~

Side-track:
7. Of course, I roughly choose 3 out of my 19 endowments to match the accumulated collected RA Payout of $129k.

8. My other endowments form another retirement payout layers;

~~~

More important is the takeaway for sharings.

1. For those below age 55,
a.  Max your SA to FRS quickly.
b.  Max your OA for low-risk T-bill; upon maturity, quickly arrange with CPF-IS bank to transfer the T-bill amount back to OA.
c.  Max MA to BHS.

2.  For those age 55 to 64, don't need my advice; you should have know better-er than me.
a. Max CPF annual topup via RA, MA & VC3AC.
b. Do the famous SA or OA shielding.
c.  Max RA to ERS sum to maximise CPFLife RA Payout.
d. Follow my strategy to buy some equities or endowments to augment your RA payout?

3.  For those age 65 and above, Reinvest your cash surplus into RA, MA & VC3AC.  Whether to start payout at age 65 or 70yo, your decision; just know the Breakeven is at age 84 (Based on BASIC payout at age 65 n delayed payout at age 70).


~~~~~

Strategy1: To beat delayed CPFLIFE Payout at age 70.
https://ferrarilim.blogspot.com/2023/08/my-strategy-to-beat-delayed-cpflife.html

At the beginning: To payout CPFLIFE at age 65 or 70yo.
https://ferrarilim.blogspot.com/2023/08/should-i-start-my-cpflife-payout-at-age.html

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