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Financial Checklist Before Hitting Retirement in Singapore

Retirement in Singapore is a milestone that brings both excitement and anxiety. The city-state’s high cost of living, rising healthcare expenses, and increasing longevity mean that the stakes are high: failing to plan can turn your golden years into a struggle for survival. This comprehensive checklist is designed to help you take stock of your finances, assets, health, and insurance—ensuring you retire not just comfortably, but with confidence and dignity.

1. Assess Your Fixed Assets

Why it matters: Your home is probably your most valuable asset. It can provide financial security or, if leveraged wisely, supplement your retirement income.

Checklist:

Do you own your home outright, or is there an outstanding mortgage?
Have you considered monetising your property? Options include:

  • Lease Buyback Scheme: Sell part of your HDB flat’s lease to HDB, receive proceeds to top up your CPF Retirement Account, and get a cash bonus (up to $30,000, rising to $40,000 from Dec 2025). 
  • Silver Housing Bonus: Downsize to a smaller flat and receive a cash bonus for topping up your CPF RA.
  • Private Property Monetisation: Explore reverse mortgages or other financial products with your bank or advisor.

 

Actionable Steps:

2. Ensure Adequate Liquidity

Why it matters: Fixed assets are illiquid. You need readily accessible cash for emergencies, daily expenses, and unexpected medical needs.

Checklist:

  • Do you have at least 6–12 months of living expenses in cash or near-cash instruments? 
  • Are your savings accounts earning competitive interest rates?
    The big four Singapore banks (DBS, UOB, OCBC, and possibly others like Standard Chartered depending on the definition of “big four”) offer varying interest rates and terms for savings accounts and fixed deposits. These rates are often tiered based on factors like the deposit amount, account type, and whether the deposit is made online or in person. Some accounts also offer bonus interest or rebates for meeting certain criteria, such as crediting salary or spending.
     

     

    • Rebate Programs:
      Bonus Interest:
      Many savings accounts offer bonus interest for meeting specific criteria, such as crediting salary, spending on specific products, or increasing your account balance.
    • Rebates:
      Some accounts may offer rebates on certain transactions or for meeting spending targets and specific products.
  • Have you diversified your liquid assets (e.g., high-yield savings, Singapore Savings Bonds, short-term fixed deposits)? Do a little shopping online or with the banks to find out options for high yield savings and short-term fixed deposits.

 

Options to Achieve Liquidity:

  • Set up a dedicated emergency fund in a high-interest savings account.
  • Regularly review and rebalance your portfolio, shifting towards more conservative, liquid instruments as you approach retirement.
  • Avoid locking up too much in long-term investments that penalise early withdrawal.

3. Maximise CPF and Retirement Schemes

Why it matters: CPF LIFE is the backbone of retirement income for most Singaporeans, providing lifelong monthly payouts from age 65.

https://www.cpf.gov.sg/member/retirement-income/monthly-payouts/cpf-life

Checklist:

  • Have you met the Full Retirement Sum (FRS) in your CPF Retirement Account?
  • Are you aware of the payout options and amounts under CPF LIFE?
  • Have you explored voluntary top-ups to your CPF Special Account (SA) or Retirement Account (RA)?

Ways to Boost CPF Income:

Voluntary Contributions: Top up your SA/RA for higher future payouts.

Defer CPF LIFE payouts: Waiting until age 70 can increase your monthly payouts by up to 30%.

Matched Retirement Savings Scheme: If you haven’t met your Basic Retirement Sum, the government matches your top-ups dollar-for-dollar up to a cap.

Supplementary Retirement Scheme (SRS): Make voluntary contributions for tax relief and invest for additional retirement income.

https://www.mof.gov.sg/schemes/individuals/supplementary-retirement-scheme

Government Support Information:

Visit the [CPF Board website] for calculators, payout estimators, and scheme details. https://www.cpf.gov.sg/member

MoneySense and the Ministry of Finance also provide guides and resources.

https://www.moneysense.gov.sg/

https://www.mof.gov.sg/schemes/individuals/supplementary-retirement-scheme

4. Review Insurance Coverage

Why it matters: Medical costs rise with age. A single health crisis can wipe out your savings if you’re underinsured.  Hospitalisation costs in Singapore can vary significantly based on the type of ward, the complexity of the procedure, and whether it’s a public or private hospital. MediSave can be used to offset these costs, with daily limits for inpatient stays and surgery, and a fixed limit for surgical procedures.

Checklist:

  • Is your coverage aligned with your needs, or are you over/under-insured?

 

Rules of Thumb:

  • Insurance coverage for death and total disability: 9x your annual income.
  • Critical illness coverage: 4x your annual income.
  • Limit insurance premiums to no more than 15% of your annual income.

 

Action Steps:

  • Conduct an annual insurance review with a licensed advisor.
  • Adjust coverage as your needs change (e.g., after children become financially independent).
  • Explore government schemes for affordable coverage.

5. Plan for Healthcare and Long-Term Care

Why it matters: Healthcare inflation in Singapore outpaces general inflation. Chronic illness, disability, or the need for assisted living can devastate your finances.

Checklist:

  • Are you covered by MediShield Life and CareShield Life?
  • Do you have sufficient Medisave funds for outpatient and long-term care?
  • Have you considered private health insurance riders for better coverage?

 

Options:

  • Top up your Medisave account regularly.
  • Consider long-term care insurance to cover costs of disability or assisted living.
  • Stay healthy: invest in preventive care, regular screenings, and an active lifestyle. There are many government driven programmes at marginal or no cost to encourage us to have a pro-active response to managing our health.
    https://www.healthhub.sg/programmes/hsg

6. Budget for Inflation and Rising Costs

Why it matters: Underestimating inflation is a common retirement planning mistake. Your purchasing power can erode rapidly, especially over a 20–30 year retirement. The average life span of a Singapore man is 81 and 84 for women.
https://www.singstat.gov.sg/find-data/search-by-theme/population/death-and-life-expectancy/latest-data.

Checklist:

  • Have you factored in at least 2–3% annual inflation in your retirement budget?
  • Are your investments keeping pace with or outpacing inflation?
  • Do you have a plan to adjust spending as costs rise?

 

Options:

  • Invest in assets with inflation-hedging properties (e.g., Singapore Savings Bonds, certain equities).
  • Review your budget annually and cut discretionary spending if necessary.
  • Consider part-time work or gig opportunities to supplement income.

7. Diversify Your Income Streams

Why it matters: Relying solely on CPF or a single source of income is risky. Diversification protects you against shocks and market downturns.

Checklist:

  • Do you have multiple income streams (e.g., CPF LIFE, SRS, rental income, dividends, part-time work)?
  • Have you planned for potential loss of any single income source?

 

Options:

  • Invest in dividend-paying stocks or REITs for passive income.
  • Rent out a room or property.
  • Explore part-time or freelance work post-retirement—many seniors in Singapore choose to stay active and supplement their income. However, this is very much time-bond along with our mobility and health.

8. Set Up Your Estate and Legacy Planning

Why it matters: Unexpected incapacity or death can leave your family in financial and legal limbo.

Checklist:

 

Options:

  • Consult a lawyer or use online will-drafting services.
  • Make CPF nominations through the CPF Board.
  • Apply for an LPA and AMD to ensure your wishes are respected.

9. Stay Socially and Mentally Engaged

Why it matters: Financial security alone does not guarantee happiness. Social isolation and mental decline are real risks in retirement.

Checklist:

  • Do you have plans to stay active in the community or workforce?
  • Are you engaged in hobbies, volunteering, or learning opportunities?
  • Do you have a strong support network of family and friends?

 

Options:

  • Join community centres, interest groups, or volunteer organisations.
  • Consider part-time work or consultancy in your field.
  • Stay physically and mentally active through lifelong learning and exercise.

10. Know Where to Find Help and Resources

Why it matters: Government support can make a significant difference, but only if you know how to access it.

Key Resources:

  • CPF Board: Comprehensive guides on retirement income, withdrawals, and property monetisation. https://www.cpf.gov.sg/member
  • MoneySense: Singapore’s national financial education programme, with unbiased guides and calculators.
    https://www.moneysense.gov.sg/

A Motivating Warning

Retirement in Singapore is not for the faint-hearted. Fail to prepare, and you may find yourself at the mercy of rising costs, declining health, and dwindling options. The government provides a robust safety net, but it is not designed to support a comfortable lifestyle on its own. Your future security depends on the decisions you make today.

Retire with purpose, not regret—because the cost of inaction is a future you cannot afford.

The article above should not be taken as financial advice. Investments and their corresponding products have risks. Please seek advice from a financial adviser representative before making any investment decisions. In the event that you choose not to seek advice from a financial adviser representative, you should consider whether the investment or product in question is suitable for you.