Importance of making your CPF nomination
According to the Insolvency and Public Trustee Office (IPTO), as at 31 December 2020, the amount of unclaimed monies held at IPTO was $234 million, of which $150 million were unclaimed un-nominated CPF savings and $84 million were other unclaimed monies. The fact that there were $150 million of unclaimed un-nominated CPF savings means that there are still a number of Singaporeans who have yet to make their CPF nominations.
In 2017, I have made my CPF nomination. Subsequently in 2019, I changed my CPF nomination after an annual review with my spouse. Previously, I did not include my children in my CPF nomination. In doing so, we thought that this could be a risk in the event that both my spouse and I passed on at the same time. Thus, we made our way to the CPF office to change my CPF nomination. As usual, the process took only 5 minutes and the officer was very competent in answering our queries.
The reason why I am sharing this article is because I hope Singaporeans can understand the implications of not making a CPF nomination. There are many myths and misconceptions of CPF monies out there and I have read many sad cases of Singaporeans being left in the lurch after the sole-breadwinners died without making any CPF nomination. Then there were court cases involving family fights over CPF monies. Very often, family harmony is destroyed due to ambiguity over money legacy.
In this article, I will pen down my thoughts on the importance of making CPF nomination. Take note that this is not a financial advice but just an opinion article to share my personal experience. If in doubt, please do seek advice from a certified financial planner.
Will versus CPF nomination
The biggest myth about CPF monies is that you can [This is a premium article. The rest of the content is blocked and can be accessible by SG Wealth Builder Members only. To read the full content, please sign up as member.]
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