Hi again

  My father-in-law passed away last Wednesday and I was busy with the wake, and subsequently, the funeral yesterday. We discovered that he had made a nomination in 1966 for his CPF* money and the nominee wasn't anyone in the family. He got married in 1959 and because the nomination was made after his marriage, it was a valid nomination in the eyes of the law. In simple terms, this means that all his CPF money goes to the person named as nominee (the beneficiary) regardless of whether that person is related to him or not. Such is the CPF law in Singapore. It also means that his family members - wife, & children - have no right whatsoever to the CPF money.

  Sounds cruel, doesn't it? I mean, a person dies, and his family members have to pick up the tab for the funeral expenses, which in this case amounted to S$14000, and someone else gets to enjoy life with the CPF proceeds. I made an enquiry at CPF's helpline but it didn't make matters easier. I was told that the CPF Board sends out statements of account every half-yearly to all members. In the statement is a line in which the nomination date is mentioned. In my father-in-law's case, according to the CPF representative, in the last 34 years he did not change his nomination although he had been receiving such statements. My retort that my father-in-law couldn't read or write English didn't convince that person on the other end of the line. Her reply was that he could have got someone to read the statements for him.

  We could go on and on without reaching anywhere so I thanked her and hung up. I checked CPF Board's website and found that it encouraged members to make a nomination to ensure the loved ones are protected. Apparently, CPF Board was doing the right thing on the Web. But, what about those cases, such as my father-in-law's, in which dependants are left out in the cold? I am quite sure there are many such cases out there, mainly because of ignorance on the part of the CPF member. Who's going to help them resolve the problem? 

  Perhaps, the CPF Board should send out letters to its members every year to remind them to nominate their loved ones, if they have forgotten to do so. It could save a lot of heartaches. My purpose in relating this case is to remind you, if you have not done so, to nominate your spouse as the beneficiary of your CPF money, for that money is separate from your estate if anything happens and does not automatically go to your spouse and children.

  Anyway, in my father-in-law's case, it was a spot of luck that although he had gone through the traditional Chinese wedding in 1959, his marriage was only registered with the Registry Of Marriages in 1980. That means, his nomination, which was made in 1966 before the registration date, is null and void in the eyes of the law. What a lucky ending  for his family! But what about the hundreds of families out there which are not so fortunate?

  *Central Provident Fund - compulsory contribution to this fund from a worker's salary.