John and Emily Lim, a Malaysian married couple, moved to Singapore in their early 30s. John became a Senior Engineer in the semiconductor industry, while Emily worked as a Chartered Accountant in a multinational company. They decided to settle in Singapore and became Permanent Residents (PRs). They have two children, aged 12 and 10, who are studying in local schools.
As PRs, John and Emily contributed to the Central Provident Fund (CPF), including their Ordinary Account (OA), Special Account (SA), and MediSave Account (MA). They were diligent in their financial planning, ensuring they made regular contributions to their MediSave accounts to cover healthcare costs and save for their future.
Unfortunately, John passed away suddenly at the age of 50 due to a heart attack. His untimely death left Emily and their two children in a state of shock and grief. They took a one-week break back to their hometown in Malaysia for funeral and grief process.
Upon John’s death, the balance in his MediSave account, along with his other CPF savings, needed to be managed and distributed according to CPF rules.
This case highlights the importance of CPF nominations for PRs and citizens in Singapore. By making a CPF nomination, John ensured that his CPF savings, including MediSave, were distributed according to his wishes, providing financial security for Emily and their children. This case also underscores the need for effective financial planning, especially for expatriates and PRs living in Singapore, to manage their CPF contributions and ensure their families are protected in the event of an untimely death.
If you are a Singaporean / PR in Singapore, consider making a CPF nomination but do not know how, I can help you complete the setting.
If you consider engaging in comprehensive financial planning to secure your family’s future, I can give you personalized financial advice and planning.
Important: The information and opinions in this article are for general information purposes only. They should not be relied on as professional financial advice. Readers should seek unbiased financial advice that is customised to their specific financial objectives, situations & needs. This advertisement or publication has not been reviewed by the Monetary Authority of Singapore.
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In compliance with the Personal Data Protection Act, Financial Alliance Pte Ltd (“FAPL”) seek your consent to collect and use your personal data (e.g. name, NRIC, contact numbers, mailing addresses, email addresses and photograph) for the purposes of and in accordance with FAPL’s Data Protection Policy, which can be found on FAPL’s website at https://fa.com.sg/data-protection-policy/.
根据《个人数据保护法》,鑫盟理财私人有限公司征求您的同意向您收集并使用您的个人信息。鑫盟理财将根据公司的个人数据保护政策所阐述的用途使用您的个人资料(例如姓名,证件号码,联系电话,邮寄地址,电邮地址和照片)。 该政策可在本公司网站上查寻,网址为 https://fa.com.sg/data-protection-policy/.
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