You may have heard of the Supplementary Retirement Scheme (a.k.a. SRS). It is a deferred tax scheme to help you save more for your retirement and reduce your taxable income. It plays a complementary role to CPF Life for your retirement year.
You can top up $15,300 if you are a Singaporean or PR and $35,700 if you are a foreigner. For the benefit and what you can do with your SRS account, click here to check the complete guide.
DBS SRS account opening promotion
From now till 7 Dec 2019, DBS is offering a cash gift up to S$60 if you open a new SRS Account via digibank online. Below is the offer according to their website. Refer this link for the full terms and conditions.
However, just topping up SRS does not mean your retirement is set on track. You need to invest the money as well.
How to invest your SRS
The bank offers a “promotional” 0.82% sales charge if you invest unit trusts through them, but you really don’t have to pay this commission.
As I illustrated in my early article “how to build a low-cost income portfolio”, you can purchase unit trust through other platforms such as iFast Financials and Phillip Securities. If you are still paying a hefty commission to buy unit trusts today, you only have yourself to blame.
However, unit trust investing is not as simple as it seems, especially in a volatile period like now. If you have no clue, it is best for you to consult an independent financial adviser.
If you prefer to do your own research, I have written a guide and listed down all the SRS investment options. Click here to check it out.
If you were contemplating to open an SRS account, take this opportunity and open your SRS account and top up online. Even if you do not invest with DBS, you will still get $50 cash gift. You should also share this with your friends.
If you have any question regarding SRS investment, simply leave your comment below and I will try my best to help.