I have been thinking about really retiring in a couple of years.
Confused?
Didn’t AK retire 8 years ago a few months before he turned 45 years of age?
Yes, I retired from active employment 8 years ago and I have been enjoying retirement so far.
However, I am not really retired because to me that would mean not having to look at growing my wealth anymore.
In the past 8 years, I was still pretty active in managing my investment portfolio.
Most notably, I made the move to increase exposure to DBS, OCBC and UOB.
I look forward to the day when I can be absolutely laid back.
Yes, I want to be more laid back than laid back.
Terrible, I know.
However, if I can achieve that, to me, I would be truly retired.
So, can I do it?
I think I can in another 2 years.
1. CPF money
Like I said in a recent blog, I would be 55 in a couple of years and that would be when my CPF account becomes a savings account.
Assuming that I stay with the FRS in the CPF RA, maintaining the prevailing BHS in the MA, I should have $800K or more in my OA.
Simply leaving it in the OA, that would generate an interest income of $20K per year.
I do not expect the low interest rate environment which lasted 15 years from the Global Financial Crisis to return anytime soon.
So, I could possibly get more than $20K per year from the CPF OA savings if I were to continue to buy T-bills with the funds.
Conservatively, if I could get 3% yield from T-bills, that would mean another $4K per year for a total of $24K per year in interest income.
2. Emergency fund money
In my recent blog post on how much
