SRS another solid income stream!!

1. One perspective of SRS contributions is another solid Retirement Layer (SRS).  

2. SRS scheme was started in 2001, which is to augment our retirement. 

Only in 2016 when it increased annual contribution to $15,300.

3. A solid 23 years to contribute and grow into a portfolio.

This annual topup of $15.3k into SRS can build up into an SRS income stream.  

~~~

4. Someone shared that his SRS was used to buy endowment single premiums to generate an income stream of $70k p.a. !!! for upto 70+ yo.  

5. Maybe it was his gross estimation. Realistically $30k ~ $40k p.a for 10-year maybe possible. Even so, it will be $3k p.m. from age 65 to 75; quite impression stream too ?

~~~~

6. How much personal income tax saving from SRS contributions?

* At say, 10% tax bracket, it would be saving of $15,300 × 0.1 = $1.5k annually.

* At say, 20% personal income tax bracket, savings from SRS contributions would be $15,300 × 0.2 = $3k annually saving.

https://www.mof.gov.sg/schemes/individuals/supplementary-retirement-scheme#:~:text=It%20began%20in%202001%20and,participation%20in%20SRS%20is%20voluntary.


https://ferrarilim.blogspot.com/2023/09/srs-to-build-up-retirement-income-layer.html

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