Certificate in Retirement Adequacy Planning (Cert. REAP)
Retirement is an inevitable and critical life event that we will experience in our lifetime. One of the chief concerns of retirement life is getting by comfortably in the absence of monthly wages. Besides the mandatory Central Provident Fund (CPF), there are a number of financial strategies and products that enable financial security.
Unfortunately, Singaporeans do not appear to be adequately prepared for retirement, even though they desire to be financially independent and comfortable after the age of 65.
Key survey findings and statistics
DBS Bank's survey of 1,000 Singaporeans found that only a quarter of respondents had any sort of financial plan to sufficiently meet their retirement needs. However, over three-quarters of respondents stated that one of their long-term financial goals was to retain enough earnings to fund a comfortable retirement. The survey findings also revealed that :
- Many are unaware of how or where to start planning.
- The main obstacle to financial planning is a lack of clarity about the appropriate financial products.
- Some are facing setbacks in planning on account of not having enough funds for investment.
- Most hope to have around $3,500 to spend on a monthly basis for 15-20 years after retiring. at the age of 65. They, however, underestimate how much they will need to save in order to fund their desired lifestyle.
The Singapore government forecasts that the number of residents aged 65 years and above will triple to 900,000 by 2030. In response to the rapidly aging population, and a lack of efficient retirement planning, the government this year increased the wage ceiling from $5,000 to $6,000 across all age groups.
Impact of the wage ceiling hike
The hike will boost the CPF savings of Singaporeans in the middle-income category (earning over $5,000 a month). For individuals aged 50 and above, starting Jan 1, 2016, their employer's additional contribution have been going to CPF-SA, and employee's additional contribution are moving to CPF-OA savings. Over a period of 20 years, the total savings realized will be substantial (in the six figures). Residents will be in a better position to honor their existing mortgages without drawing from cash, and able to grow their retirement nest egg a little more easily.
However, residents will still need to implement smart and realistic retirement planning strategies to secure their post-retirement income and ensure better outcomes for the future. In this scenario, the professional guidance of a financial adviser with a Certificate in Retirement Adequacy Planning (Cert. REAP) can be expected to be invaluable in overcoming barriers to financially-secure retirement.
Objectives of the course
Certificate in Retirement Adequacy Planning (Cert. REAP) enables you to enhance your knowledge and proficiency in the area of retirement planning, and assist clients in understanding the implications of postponing retirement planning or a lack of preparedness. As a practitioner, you will be able to leverage the Singapore Social Security framework and other schemes that support retirement planning, and deliver professional advice on the best avenues where clients can invest their resources.
Who is the course intended for?
This course is useful for existing practitioners seeking to acquire specialized knowledge of retirement adequacy planning in Singapore; those with advisory experience spanning less than two years and hoping to gain foothold in the market; and non-practitioners who wish to self-manage their retirement planning.
Upon completion of the course, you will be able to advise, educate and empower clients towards financially-secure retirement, and establish yourself as a trusted, knowledgeable professional. You will learn to:
- Create engaging retirement conversations and follow a systematic methodology to educate clients on retirement planning
- Explain the challenges and importance of retirement planning to clients. Effectively handle objections and misconceptions about retirement planning.
- Guide clients on the available government schemes such as CPF LIFE, SRS, Enhanced Lease Buyback, which support retirement planning
- Convey the common mistakes resulting from a lack of retirement preparedness
- Recognize the various methods of structuring retirement funding strategies and implementing cashflow management strategies
- Assist business owners with retirement planning considerations and solutions
- Quantify retirement needs and devise appropriate solutions to realize the desired retirement funds
- Strategize and implement pre-retirement, post-retirement and risk management plans
- Assist with estate planning requirements and tools for retirement
Duration of Course: 1 Full Day (7.5 Training Hours) + Online Assessment (MCQ) + Certificate of Attendance
Attendee will receive the Certificate (REAP) upon passing the online assessment
Course Fee: *Special Price* for Corporate Students: Call us to find out!
1) IBF-FTS funding (must pass assessment for claim) - up to 90%*
OR 2) Skills Future Credit – up to S$500 credits*
* 90% funding is applicable for Singaporean aged 40 and above. 50% funding is available to all other qualifying applicants. Term and conditions apply. Please refer to the official website for full details.
Course Facilitator: Mr. Ronald Wong