Yes, schools are indeed expanding their curriculum beyond academics, yet crucial aspects of adult life often remain overlooked. Many essential skills for navigating adulthood are absent from traditional education, leaving individuals unprepared for real-world challenges. Here are some things we believe you should know that is not taught in schools:
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Central Provident Fund (CPF)
The Central Provident Fund (CPF) in Singapore is a mandatory savings plan to help Singaporeans and permanent residents save for retirement, healthcare, and housing. Employees and employers contribute a percentage of the employee’s salary to the CPF.
These contributions go into three accounts: the Ordinary Account (for housing and education), the Special Account (for retirement savings), and the Medisave Account (for medical expenses). This ensures that individuals have a financial safety net for their later years and essential needs.
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Income tax
In Singapore, tax collection is managed by the Inland Revenue Authority (IRAS). Personal income tax applies to citizens, residents, and non-residents in Singapore, each with different rates and income thresholds.
For individuals, residents pay progressive tax rates from 0% to 22% based on their income, while non-residents generally pay a flat 15% or 22%. Various tax reliefs, like those for dependents and CPF contributions, can lower taxable income.
For corporate taxation, companies are taxed at a flat rate of 17%, with some exemptions available for new and small businesses. Furthermore, it is important to note that there is also a Goods and Services Tax (GST) at 9% that is applicable to most goods and services.
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Housing
In Singapore, housing options mainly include public housing, private housing, and executive condominiums. Public housing, managed by the Housing and Development Board (HDB), is the most common and affordable, offering flats of various sizes to suit different family needs.
Private housing includes condominiums and landed properties like bungalows and terrace houses, while executive condominiums (ECs) are a hybrid, starting as public housing but becoming fully private after ten years, offering a middle ground between HDB flats and private condos.
Each has its own eligibility criteria, including age restrictions and your marriage status, for purchase. These diverse housing options cater to different preferences and budgets, ensuring that most people can find a suitable home.
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Car
In Singapore, obtaining a driver’s license is just the beginning. Getting a car in Singapore involves several steps and can be quite expensive due to the government’s efforts to control the number of vehicles on the road.
First, you need to obtain a Certificate of Entitlement (COE), which allows you to own and use a car for ten years and is acquired through a bidding process. The COE prices fluctuate based on demand and can be very high.
Additionally, you must pay for the car’s registration fee, Additional Registration Fee (ARF), and taxes like the Goods and Services Tax (GST). Other costs include insurance, road tax and maintenance. Despite the high costs, owning a car provides convenience and flexibility for travel in Singapore.
Navigating adulthood comes with various challenges beyond just these mentioned. It would be beneficial to incorporate more practical life skills into our education at appropriate ages to better prepare the younger generation for the realities of adulthood.
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