Singapore: MAS, life insurers and other organisations issue financial planning guide
Source: Asia Insurance Review | Nov 2023
The Monetary Authority of Singapore, in conjunction with the Life Insurance Association, Association of Banks in Singapore and Association of Financial Advisers (Singapore), have launched the ‘Basic Financial Planning Guide’ to help Singaporeans take steps to enhance their financial wellbeing.
The guide helps individuals to start taking proactive steps to address their savings, insurance and investment needs. They encourage Singaporeans to:
- Nine times annual income for death and total and permanent disability
- Four times annual income for critical illness
- Spend at most 15% of income on insurance protection; and
- Invest at least 10% of income for retirement and other financial goals
From January 2024, this guide will be available in six customised formats to meet the needs of individuals at different life stages, including fresh entrants to the workforce, working adults with young children, working adults supporting aged parents and those approaching retirement. A