Are you worried about being able to live well even after you retire? Anxious about whether you’ll be able to save up enough for a comfortable retirement? Fret not, as this article will help arm you with information on choosing the best retirement plan Singapore has to offer.
A retirement plan is designed to take care of your post-retirement needs and help you lead a stress-free and relaxed life. The monthly payout from a retirement policy can supplement your capital and allow for more financial options in life.
Moreover, retirement planning can greatly help in giving you peace of mind, a head start on your future and also help you make smarter decisions along the way.
When it comes to retirement planning, there is no one-size-fits-all plan that can satisfy everyone’s unique needs.
Retirement has a different look for each one of us — thus, with the plethora of different retirement plans available on the market today, one must evaluate their own needs and requirements before choosing the most suitable plan.
Best retirement plan Singapore: How to choose the right insurance
Specific products, benefits, and payout will differ across insurance companies. Here are some of the factors you should take into consideration before you decide on the best retirement insurance plan:
- Income payout (Guaranteed and Non-guaranteed): This replaces some or all of the paycheck you received while employed.
- Premium payment term: Total number of years for the policy holder to pay the premium to the insurance company. For instance:
- Single premium plan: the policy holder is required to pay the company a lump sum in a single payment
- Regular premium plan: the policy holder is required to pay the company a lump sum through a series of periodic payments.
- Payout term: Total number of years for the insurance company to pay the policy holder.
- Features offered: Everyone’s ideal plan differs from person to person. It is important to consider the benefits and additional features offered by each retirement plan to ensure it is the most ideal one for you.
- Retirement age: This is the age you retire and your retirement plan begins. Some plans have restrictions for your retirement age while others are more flexible.
- Budget (Premium): It is also essential to pick a plan according to your income level and capacity to ensure that you can sustain the premium that needs to be paid within the specified payment term.
Best Retirement Plan Singapore: Top Insurance Plans to Choose From
Now that you know about the key factors to consider in choosing a retirement plan, here are our recommendations:
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Category
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Plan
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Best Plan for Guaranteed Payout
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NTUC Income Gro Retire Flex
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Best Plan for Disability Coverage
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AVIVA: MyRetirementChoice III
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Most Flexible Plan
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Manulife RetireReady Plus III
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Best Plan for Guaranteed Payout
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AIA Retirement Saver (IV)
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Most Customisable Plan
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DBS: RetireSavvy
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Best Retirement Plan Singapore
Best Plan for Guaranteed Payout
NTUC Income’s Gro Retire Flex is a flexible savings plan that ensures you will be able to reap the benefits of a steady stream of income when you decide to retire.
The plan also allows you to choose your desired amount and duration of payouts.
Not only is there guaranteed acceptance regardless of health conditions, but also additional coverage against accidental deaths and disabilities.
Best of all – NTUC Income offers an overall high guaranteed and projected monthly income payout and allows you to choose your preferred number of years to receive your monthly payout.
Features We Love:
- High-income payout.
- Preferred payout term and retirement age.
- Disability care benefit.
- Single or regular premium plan.
Best Plan for Disability Coverage
MyRetirementChoice III enables you to retire with greater confidence by equipping you with monthly income that starts from your desired retirement age.
They also provide their users with special protection features that safeguard them from uncertainties.
Uniquely, this plan offers great disability protection in order to help you make the most of life.
The benefits include additional payouts to help you cope in the case of partial disability, as well as the flexible option to receive a lump-sum payout for larger one-time expenses.
Features We Love:
- Preferred number of years (from 5 to 35 years) to receive your monthly payout.
- Preferred number of years (5, 10, 15, 20 or 25 years) to pay your premium.
- Your preferred retirement age.
- Protection features for disability.
Most Flexible Plan
Manulife’s RetireReady Plus III retirement plan is a customisable plan specially designed to accommodate all your personal needs and preferences.
As our most flexible plan on this list, RetireReady Plus III is fairly customisable, enabling its users to choose their preferred number of years (5, 10, 15 or 20 years) to receive their monthly payout and more.
Furthermore, they also offer additional payouts in the face of any loss of independence to enable you to continue pursuing your dream retirement.
Features We Love:
- Retrenchment payout benefit.
- Your preferred retirement age.
- Preferred number of premium term and payout term.
- Adjustable income payout period according to your changing needs.
- Easy application with no health check-up.
Best Plan for Guaranteed Payout
AIA Retirement Saver (IV) makes retirement planning a breeze as it enables you to choose when to receive your retirement income as well as your preferred premium term and payout term.
Above all, the plan enables you to get back every dollar you paid when you reach your retirement age and enjoy the freedom to spend your retirement the way you want.
Not only does the plan cushion your retirement dreams against the impact of inflation, but also allows you to enjoy potential monthly dividends that will increase by about five percent every year.
Features we love:
- Guaranteed monthly retirement income.
- Defer payment of premiums (*premium pass option: 12 consecutive months of interest-free deferred premium).
- Flexible options for retirement age, payment term, and payout term.
- Enjoy potential monthly dividends that step up every year.
- Optional add-ons: Critical protector waiver of premium (II).
Most Customisable Plan
You can make tweaks to your preferred income payout period, retirement income rate, and even defer your retirement age whenever you see fit.
This plan is specially designed to endure and adapt to the various changes in the multi-staged lives of Singaporeans. Additionally, policy holders are able to boost their retirement plans with premium top-ups along the way.
Features We Love:
- Retrenchment payout benefit.
- Your preferred retirement age.
- Preferred number of years to receive your monthly payout.
- Preferred number of years to pay your premium.
- Comprehensive coverage.
Price Comparison Table
A retirement plan is definitely a necessary investment as it makes it easier for you to rest and live life comfortably after you retire.
To sum up, here is a comparison table for the best retirement plan Singapore has to offer:
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Plan
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Payout term (years)
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Premium payment term (years)
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Retirement age
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NTUC Income Gro Retire Flex
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10 or 20, or up till age 100
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Single premium,
Regular premium
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preferential
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AVIVA: MyRetirementChoice III
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from 5 to 35 years
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5, 10, 15, 20 or 25
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preferential
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Manulife RetireReady Plus III
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5, 10, 15 or 20
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single premium, 5, 10, 15 or 20 years
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preferential
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AIA Retirement Saver (IV)
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15 or 20
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single premium, 5, 10, or up to 5 years before your chosen retirement age
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preferential
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DBS: RetireSavvy
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customisable
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customisable
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preferential
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*Note that retirement plans (premiums, payouts) vary based on your lifestyle choices.
Editor’s Note: Each item and information is up to date at the time of publication. However, they may be different at a later date.
If you’re a mother, a maternity insurance can be a great idea. Check out: Choosing From The Best Maternity Insurance Policies Singapore Has To Offer
