Forum: CPF savings let gig workers plan for the future

I write in response to Mr Muhammad Farhan Mohamad Hamdi (Let small group of gig workers iron out kinks before mandating CPF contributions, Oct 22).

He said that as a gig worker, setting aside part of his earnings would affect his cash flow, lifestyle and dependants.

I urge him to think about this differently. Instead of thinking that Central Provident Fund (CPF) contributions reduce his income, he should think of them as a form of saving for his dependants, future cash flow and future lifestyle. 

CPF interest rates are significantly higher than that offered by banks. 

One’s CPF account can be tapped for housing and for children’s education fees at tertiary institutions. The annuity one gets after one’s active contribution years provides for retirement needs.

Rather than focusing on the here and now, all of us would be better served planning adequately ahead for the lives we want to have in the future.

Steve Tan Peng Hoe

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