Help workers save more to improve retirement adequacy: Heng Chee How
- POSTED: 27 May 2014 17:24
- UPDATED: 27 May 2014 17:27
Measures to do so can include helping the economically inactive return to work and reviewing the CPF contribution ceiling, said the Senior Minister of State in the Prime Minister's Office.
SINGAPORE: To save more for retirement, workers can be helped to earn more while they are still working. This will increase their chances of accumulating savings, said Senior Minister of State in the Prime Minister's Office, Heng Chee How, in Parliament on Tuesday (May 27).
But he qualified that consumption expectations and choices must remain realistic.
Other ways to improve retirement adequacy can include reducing unemployment through skills upgrading, he suggested, so that economically inactive citizens can return to work and build up their Central Provident Fund (CPF) savings.
A review of the current CPF contribution ceiling may also help those earning just above the current ceiling of S$5,000 per month save more in their CPF accounts. This will benefit professionals, managers and executives in particular, he said.