WhatisWhat

  Tax season has started. My friends were wondering if there was any way to maximise their relief. So… here goes To be fair, IRAS has created a self-service portal here . Once you check the boxes, all the reliefs that might apply will be shown. I’ll cover the ones that mattered more to me + one bonus for working mothers that’s off everyone’s radar. Common ones These are the popular ones that are highly publicised:        CPF Cash Top up to MA/SA – up to $8000       CPF Cash Top for spouse/parents up to SA/RA – up to $8000     **it’s important if your parents are eligible  MRSS top-up **        SRS Cash Top up – up to $15,300   Donations This is less talked about as people are quite private or humble about the charities they support. You do get 2.5X tax relief for donations made to local charities. I was sulky over this as I’m doing a child sponsorship overseas that doesn’t qualify. So on top of that, I do...

  This only affects people who will experience an increase in annual contribution to CPF. Trade-off The "cost" of this $2000 increase would mean that employees would have to contribute $400 X 12 = $4,800. But the first gain would be the 17% employer contribution that wasn’t received in the past. This amounts to $340 X 12 = $4,080. By giving up $4800 and I get an additional $4,080 a month. That’s like an 85% return and brings the total contribution to an auspicious $8880 (HUAT AH) To sweeten the deal, the money contributed would earn interest and snowball through the effects of compounding. This would be way more powerful than just having $4,800 in cash.  What’s more When the total contribution to CPF increases, we can’t forget our good friend IRAS. Employee’s CPF contribution is eligible for CPF relief .  This would mean that the assessable income for the year would reduce by $4800.   Referring to IRAS’s website : Assuming that the monthly salary is $8,000 with ...

I saw an article about having a conversation with ChatGPT had a go. The results were amazing, though he can get quite long-winded. Please support me by following and liking my pages below:

[UPDATE] OCBC has updated their rates in March it's no longer attractive. In Short, T bills are more attractive now but no one knows if that will stay the same as all the demand will shift over here. To learn how to apply for Tbills using CPF OA online, refer to this link -------------------------------------------------------------------------------------------------------------------------- So OCBC has launched a  promotion fixed deposit of 3.88% p.a. over 8 months  for CPF OA. Many bloggers have covered this, should I still cover this? Absolutely…. That said, I’ll be kinda screwed if the promotion ends 28 th  February  Please don’t do this to me….. XD The 3 options I'll compare are:  CPF OA’s 2.5% MAS Treasury bills (T bills)  OCBC’s Fixed deposit of 3.88% p.a. Given that US interest rates are still rising, I’m of the view that the situation in 2 nd  half of 2023 might change and I’m biased towards higher rates. At the same time, I don’t want t...