Early January is always one of my favorite time. New year new hope plus I get to see how much is my ang bao from the CPF Board.
It’s almost 20k for 2021 which is 9% more than 2020. This works out to be about an interest rate of 3.2%. For a risk-free bond, nothing comes close.
I have received about 130k in interest since 2008 when I first started tracking this metric. Back then, because of a much smaller base, the interest was about 2k. In 14 years, it has grown 1000% or 10 times.
The MAGIC of COMPOUNDING. Enough said.