Your guide to simple financial planning

What is the Basic Financial Planning Guide and why was it created?

Planning your finances can feel overwhelming especially with so many conflicting sources of advice. The Basic Financial Planning Guide offers:

• Clear rules of thumb across savings, insurance, investment, retirement, and legacy planning.
• References to national schemes like MediShield Life, CareShield Life, CPF Life, and SSBs (Singapore Savings Bonds)
• Product-agnostic guidance that can be used across the financial advisory ecosystem.
• A structured approach that makes it easier to identify gaps and take action independently or with an advisor.

It is a foundational tool that ensures your financial plan is both comprehensive and aligned with national norms.

Clients can choose from a suite of cards with tailored perks for international travel, shopping expenses, and curated experiences.

What are the 6 financial life stages identified by the MAS?

To make financial planning more relevant and practical, the MAS identified six key life stages that reflect the real challenges Singaporeans face. Each persona from the young working adult to the retiree has its own distinct goals, needs, and recommended actions. This structure helps you understand what to prioritise right now and what steps to take next.

How to apply the Guide at each life stage?

Whether you're just starting out or thinking about legacy planning, here’s how to apply the Guide's recommendations to your current life stage:

1. Young working adult (19–29 years old)

You're new to the workforce and in good health. This is the best time to build strong financial habits. What you need:

Emergency Funds:

• Save 3–6 months’ worth of expenses in Savings Accounts and Singapore Savings Bonds (SSBs) for their liquidity.

Protection:

• Secure coverage for death and total permanent disability with Term Insurance (9× annual income) and critical illness insurance (4× annual income). Spend at most 15% of take-home pay on insurance.
• Become familiar with MediShield Life for large healthcare bills.

Investments:

• Start planning for retirement, wedding, home purchase etc. now with at least 10% of take-home pay.
• For short-term: SSBs, T-bills, Fixed Deposits
• For long-term: CPF top-ups, diversified ETFs (Exchange Traded Funds) and Unit Trusts.

2. Starting a Family (25–34 years old)

You're building a household and planning for the future. What you need:

Emergency Funds:

• Save 3–6 months’ worth of expenses in Savings Accounts and Singapore Savings Bonds (SSBs) for their liquidity.

Protection:

• Secure coverage for death and total permanent disability with Term Insurance (9× annual income) and critical illness insurance (4× annual income). Spend at most 15% of take-home pay on insurance.
• Become familiar with MediShield Life for large healthcare bills.
• Become familiar with CareShield Life for long-term severe disability care.

Investments:

• Start planning for retirement, children's education, home purchase etc. now with at least 10% of take-home pay.
• For short-term: SSBs, T-bills, Fixed Deposits
• For long-term: CPF top-ups, diversified ETFs and Unit Trusts.

3. Supporting Aged Parents (35–59 years old)

You’re caring for others while securing your own financial future. What you need:

Emergency Funds:

• Save 3–6 months’ worth of expenses in Savings Accounts and Singapore Savings Bonds for their liquidity.

Protection:

• Secure coverage for death and total permanent disability with Term Insurance (9× annual income) and critical illness insurance (4× annual income). Spend at most 15% of take-home pay on insurance.
• Become familiar with MediShield Life for large healthcare bills.
• Become familiar with CareShield / ElderShield for long-term severe disability care.

Investments:

• Start planning for retirement and other financial goals.
• For short-term: SSBs, T-bills, Fixed Deposits
• For long-term: CPF top-ups, diversified ETFs and Unit Trusts.
• If you are 55+ explore property monetisation via renting out, Silver Housing Bonus and Lease Buyback Scheme.

Legacy:

• Make your will and CPF nomination.
• Consider making your PoA (Power of Attorney) and Advance Care Plan.

4. Supporting Aged Parents (35–59 years old)

You're part of the 'sandwich generation', managing career, kids, and ageing parents. What you need:

Emergency Funds:

• Save 3–6 months’ worth of expenses in Savings Accounts and Singapore Savings Bonds (SSBs) for their liquidity.

Protection:

• Secure coverage for death and total permanent disability with Term Insurance (9× annual income) and critical illness insurance (4× annual income). Spend at most 15% of take-home pay on insurance.
• Become familiar with MediShield Life for large healthcare bills.
• Become familiar with CareShield / ElderShield for long-term severe disability care.

Investments:

• Start planning for retirement, children's education etc.
• For short-term: SSBs, T-bills, Fixed Deposits
• For long-term: CPF top-ups, diversified ETFs and Unit Trusts.
• If you are 55+ explore property monetisation via renting out, Silver Housing Bonus and Lease Buyback Scheme.

Legacy:

• Make your will and CPF nomination.
• Consider making your PoA (Power of Attorney) and Advance Care Plan.

5. Pre-Retirees (55–64 years old)

You’re transitioning from accumulation to conservation. What you need:

Emergency Funds:

• Save 3–6 months’ worth of expenses in Savings Accounts and Singapore Savings Bonds (SSBs) for their liquidity.

Protection:

• Become familiar with MediShield Life for large healthcare bills.
• Become familiar with CareShield / ElderShield for long-term severe disability care.
• Insure your home.
• Review if your insurance plans remain affordable.

Investments:

• Start planning for retirement, children's education etc.
• For short-term: SSBs, T-bills, Fixed Deposits
• For long-term: CPF top-ups, diversified ETFs and Unit Trusts.
• If you are 55+ explore property monetisation via renting out, Silver Housing Bonus and Lease Buyback Scheme.

Legacy:

• Make your will and CPF nomination.
• Consider making your PoA (Power of Attorney) and Advance Care Plan.

6. Retired (65+ years old)

It’s time to manage withdrawals and ensure your wishes are carried out. What you need:

Emergency Funds:

• Save 3–6 months’ worth of expenses in Savings Accounts and Singapore Savings Bonds (SSBs) for their liquidity.

Protection:

• Become familiar with MediShield Life for large healthcare bills.
• Become familiar with CareShield / ElderShield for long-term severe disability care.
• Insure your home.
• Review if your insurance plans remain affordable.

Retirement Goals:

• Work out lifelong monthly payouts under CPF Life.
• Ensure your spending is within your means.
• Explore property monetisation via renting out, Silver Housing Bonus and Lease Buyback Scheme.

Legacy:

• Make your will and CPF nomination.
• Consider making your PoA (Power of Attorney) and Advance Care Plan.

Citi helps you implement the insights from the Basic Financial Planning Guide with:

• Advisory tailored to your life stage, goals, and evolving needs.
• Access to diversified investment products, including bonds, ETFs, unit trusts, and global solutions.
• Digital tools to track and plan across insurance, investments, and savings.
• Regular reviews to refine your financial planning strategy in line with MAS-recommended practices.

Turn National Guidance into Personal Progress

The MAS Basic Financial Planning Guide shows that strong finances come from a few disciplined moves repeated across life. Combine its clear benchmarks with Citi’s tools and advisory depth, and you gain a roadmap plus the tools to travel it confidently.