$1 Million By The Time You Are 65, In Your CPF Account. How To Achieve This?

2 min read

Everyone Can Be A Millionaire

“Do this and become a millionaire!” – Every scam ever.

But what if we told you that it has been done before?

What is 1M65?

1M65 is a strategy for you to attain $1 million by the time you are 65, in your CPF account.

The person behind this is none other than Loo Cheng Chuan!

Not only has he achieved having $1 million in combined savings with his wife by the time he was 45, he even retired by 43 years old!

Read more about 1M65 from Loo here.

What should I do to achieve this?

At age 21: 

Build up a strong financial safety net using your CPF SA/MA account
With this safety net, you will have the guts to go for assets with higher risk but higher returns

At age 45:

Better late than never – top up your SA/ MA to the full retirement sum, and let it compound.
Let your target be a little more realistic (eg $1M by 70)

Read the full answers here:
What do I do at 21 to achieve this?
Is 45 years old too late for me?

If it’s so easy, why doesn’t everyone do it?


Problem: Many couples choose to use their CPF to alleviate the burden of buying a house, and to avoid taking a loan.
Loo: Why use CPF to pay for your BTO, when you can take a loan (2.5% int.), and arbitrage it by putting money into the CPF SA (4% int.)?


Problem: Some are afraid that the government might push back the age of retirement, or a change of political parties will affect the money that is put in CPF.
Loo: With every investment, there is always a risk. Compared to other investments with the same returns, how likely is a drastic change in policy or government going to happen?


Problem: What you save in CPF SA cannot be taken out until retirement, thus there is less you can spend on now.
Loo: The more illiquid an asset is, the more possible it is to harness the power of compounding to snowball your wealth.

Read also:
Should you put so much money in CPF?
Why CPF over other investments?

What if I’m not a Singaporean?

The strategy is the same: find a high interest and low risk asset and use it to build up a financial safety net for your retirement.

Then sequentially build up your equity portfolio without the butterflies in your tummy affecting you when markets go on a roller coaster.

Read the full answer here: What options are there for me if I don’t have CPF?

That’s all great advice for me- but how do I teach my kids?

  1. Be good role models
  2. Guide them to be rich and free, but not luxurious
  3. Make it fun and competitive

Read more here: How do I teach my kids about CPF?

What is retirement like for Loo?

I think retirement means having the freedom to do what you want without any worries of money.

At 43, I stepped down from my corporate life and start a business. Fortunately, I need not worry about money, living expenses or business funding. Strangely, my “retirement” life is more active than my corporate life.

Read his full answer here.

Missed the session? Check out all the questions he answered here!

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