I refer to the letter “For retirement security, pay off loans by age 55” (Feb 11). The objective to clear one’s loans by age 55 is idealistic.

A person’s life journey, from the time he starts working to that age, would have many uncertainties, among them job loss, replacement by cheaper workers and company relocation to lower-cost countries.

Coupled with all these, the cost of essentials has risen and the cost of housing has multiplied.

As most Singaporeans use their Central Provident Fund (CPF) for housing, it follows that the amount left for retirement is little, not to mention that a Minimum Sum is retained with only the excess available.

If wages do not keep up, this complicates matters. Many working adults would still be servicing loans, either using their CPF or cash at age 55.

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