The Worst Thing About CPF Is Why It WORKS (Nobody Says This Out Loud)

Everyone complains that CPF is locked. That lock is the reason the account works. Three things it is actually buying you, all from CPF's own published rates, plus the honest cost. The most common complaint about CPF is that you cannot touch it. This video argues the complaint is correct and the conclusion is backwards. The lock removes the decision that does most investing damage, because there is no sell button to press in a bad week. It gives you floor rates of 2.5% and 4%, so the account has no losing years at all. And it pays its highest rate on the money you can reach the least, with extra interest on your first $60,000 taking you to up to 5% below 55 and up to 6% from 55. Then the honest cost: illiquidity on the worst day of your year, a lower ceiling over a long run, and the group of people for whom the lock is genuinely the wrong trade. The system pays you a premium to leave it alone, which tells you exactly what the lock is for. GET THE FULL PLAN The Singapore Retirement Blueprint. Workbook plus the Drawdown Planner spreadsheet. https://moneywithwei.com Figures reference CPF rates as published for 2026. The Ordinary Account floor of 2.5% and the Special, MediSave and Retirement Account floor of 4% are current published rates, the 4% floor has been extended to 31 December 2027, and rates are reviewed quarterly, so check the current quarter before relying on them. Extra interest is 1% on the first $60,000 of combined balances below 55, and 2% on the first $30,000 plus 1% on the next $30,000 from 55, with the Ordinary Account portion capped at $20,000. The point about frequent trading producing lower returns describes a consistent pattern across investor behaviour research rather than a single published statistic, and no specific figure is quoted for it. DISCLAIMER This video is educational information only and not financial advice. It is not a projection or guarantee of any outcome. Wei is not a licensed financial adviser and is not licensed by the Monetary Authority of Singapore. Figures reference CPF and IRAS rules as published for 2026. Verify your own numbers at cpf.gov.sg and iras.gov.sg. Do your own research and consider speaking to a MAS licensed adviser. Investing involves risk, including the possible loss of capital. #CPF #CPFInterest #RetirementSingapore #CPFLocked #MoneyWithWei