11 August 2014

How Much Will I Leave Behind If I Die Now?

Recently this question popped up in my mind a few times, I think maybe because I'm the only person working so I'm a bit worried about my wife's future if I should suddenly leave this world. I should take this chance and find out how much I can leave to my wife if I die.

Dependants' Protection Scheme
$50,000 in the event of death or total permanent disability.

Term insurance with rider
$100,000 for main plan, $50,000 for rider, total $150,000 in the event death or total permanent disability.

Company term insurance
24 times of my monthly salary, 24*3944=$94,656.

Home Protection Scheme
It will fully pay up my HDB loan so my wife won't have to pay anything more.

CPF monies (as of today)
Ordinary Account (OA) $4,151.53
Special Account (SA) $20,147.32
Medisave Account (MA) $23,386.47
Total $47,685.32

So she can get $342,341.32 and a fully paid 2-room resale flat, not bad huh, she can either sell the flat and go back to Thailand or continue to stay here, but it's up to her, by then I am no longer around to decide for her.

If she sell the flat at $250,000, in total she will have more than half a million, good money, she can retire in Thailand and never have to work again IF she knows how to manage the money, but I bet she will probably lose it all, she's never good with money. I'm still thinking whether I should make a will, currently if I die, everything will be distributed accordingly to our intestacy law, which means 50% will go to my wife, 50% will go to my parents, unless if I have a child, 50% wife, 50% child, but it sounds fair, but I'm afraid that my mother will give her problem, I think I better make a will to have everything dumped in a trust.

Oh just found something important, everything including the flat can be distributed according to my will, only the money in CPF must be either distributed via CPF Nomination or our intestacy law.


Q: What happens to my CPF savings if I did not make a CPF nomination?
A: When you are no longer around, we will pay your CPF savings to the Public Trustee for distribution to your family member(s) in accordance with the intestacy laws or inheritance certificate (for Muslims) in Singapore. This ensures that the welfare of your dependants is provided for.

The following assets are due to the beneficiaries of the deceased’s estate:

(a) Cash and investments held in the CPF Investment Account under the CPF Investment Scheme-Ordinary Account (CPFIS-OA);

(b) Investments held under the CPF Investment Scheme-Special Account (CPFIS-SA);

(c) Discounted SingTel (ST) shares;

(d) Claim proceeds under Dependent Protection Scheme (DPS)*; and

(e) Properties bought with CPF savings**

* For DPS claim proceeds payable by NTUC Income, if a nomination has been made under the Co-Operative Societies Act, it would then be distributed according to the nomination under the Co-Operative Societies Act.

** These will be distributed according to the manner of holding. If the property is held as joint tenancy, the deceased’s share of the property will pass by operation of law to the remaining surviving owner(s). Otherwise, the deceased’s share of the property will form part of the deceased’s estate.

Watch our 5 minute webcast on CPF Nomination to find out more on how CPF savings are distributed when one passes away.


Anonymous said...

Dear Marrythaigirlsingapore,

Have you thought of joining the SAF group term insurance? It covers you until age 75. It is a very good term insurance. Every NS man can join. I think wife can also join previously but am not sure now. That is provided your spouse has no medical problems. You may check with AVIVA who is the underwriter for this SAF group term insurance.

marrythaigirlsingapore said...


You mean this one: http://www.aviva.com.sg/pdf/SAF_GTL_Brochure.pdf

Doesn't seem like they cover NSman, only those full-time such as NSF, DXO, regulars and etc. But it's an excellent term insurance. Anyway I doubt they will accept my wife and baby since they have heart condition.

marrythaigirlsingapore said...

Sorry, just read that NSman is eligible for the SAF Group Term Life, it is a very good insurance, please sign up, I am also looking at it now.