No Kids? Singaporeans Without Children Can Do These 5 Things to Plan for Old Age

Singaporeans are becoming extinct thanks to our spectacularly low birth rate. Many have chosen to live without kids, which means that they may need to plan in advance for old age.

Children have traditionally been the ones responsible for providing the elderly with financial and physical support, but a few decades from now, things are going to very different.

Actually, we’re not just referring to the many future senior citizens who’ll be without kids. As Singaporean households shrink and even those with kids choose to have fewer, the elderly will no longer be able to take it for granted that their kids will be able to financially support them.

In any case, if the thought of changing diapers or spending your weekends at the pool or some shopping mall playground makes you nauseated, enjoy your child-free years, but also make sure you do the following to prepare yourself for old age.

Make a LPA or Lasting Power of Attorney

While most Singaporeans with children would probably appoint one of their kids to handle their assets using an LPA, those without kids really need pick their attorney with care. As family sizes shrink, it will be more and more difficult to find someone who you’re sure will act in your best interests.

Not making an LPA in Singapore, on the other hand, means that should you lose your mental capacity to make decisions on your behalf someday, all those assets you’ve painstakingly amassed over a lifetime could be taken from you by unscrupulous people.

How to make an LPA? You must fill up the LPA form 1 and submit to the Office of Public Guardian office in Singapore. The process takes about 6 weeks.

Consider how you’re going to finance caregivers

A lot has been said of the dismal state of old age homes in Singapore. We’re still light years behind other developed countries when it comes to providing affordable and dignified places to grow old in.

Local nursing homes are notorious for cramming way too many residents into one room, being heavily oversubscribed and so expensive that many elderly people only get admitted when they have multiple medical issues and really can’t manage any longer.

Even if you’re determined to maintain your health for as long as you can, it’s advisable to have a back-up plan for when you’re no longer able to look after yourself. Have a clear idea of the costs of all your options and how you’re going to pay for them. It’s a good idea to look to neighbouring countries if you can’t afford local nursing homes, or prefer to have more for less.

There’s also the option of hiring a private caregiver to look after you at home, but expect this to be costly, unless you intend to do what many Singaporeans do for their parents and hire a maid. Be warned that these maids are trained to clean houses and jaga kids, not look after frail old people with medical needs.

Make your home elderly-friendly with HDB’s EASE

There’s a rising number of elderly Singaporeans living alone, a number that has tripled since 2000. If you’re without kids (or even if you do), you should be prepared for the fact that living alone will get tough as your health declines.

At some point, it will be a good idea to make your home more elderly-friendly, such as by installing railings and making floors slip-proof. All this costs money, which will come out of your retirement nest egg, so start planning early for this expense.

If you live in a HDB and are a Singapore citizen above 65, or have a member in the family between 60 and 64 that requires assistance for one or more of the Activities of Daily Living (ADL), you can get heavy subsidies for installing elderly friendly home improvements like grab bars and non-slip floors.

Consider buying senior citizen insurance 

Assuming you’re lucky enough to make it to old age without dying, you definitely want to consider insurance to keep yourself afloat should the worst happen.

Old age or silvercare insurance is becoming more and more relevant to our ageing population, and can make growing old a bit less expensive by offering payouts should you get into an accident, need a caregiver or go to a nursing home, or have to make your home more elder-friendly.

Read also: Senior Travel Insurance (2018) – 7 Best Plans in Singapore for Elderly Travellers

Write a will 

If you don’t have kids or a spouse, it’s harder to know where your assets will go when you die. Assuming your parents and grandparents have passed away, your estate will go to your siblings and their children. If you’re an only child, your uncles and aunties will get your estate.

Now, if you think your nephews and nieces are spoilt brats and hate the thought of those nosey aunties you see only during Chinese New Year getting their hands on your cash, you’d better make a will so your estate goes to people or causes you really care about, whether they be your best friend or the SPCA.

Don’t wait till you’re too old and senile to validly create a will. You can do it at any time, even now while you’re still a clueless millennial. If you change your mind you can always write a new will to override the old.

How are you preparing for old age without kids? Tell us in the comments!