Having computed my investment portfolio and cash on hand, I note that these two items can last me for 18 years as of now, based on the yield of 2.48%. I can make the duration longer by channelling more cash into the investment portfolio which will in turn generate more dividends for my expense. I am not worried for the current status as I still have the back-up of Central Provident Fund (“CPF”) to supplement. If I include the CPF as well, the total stash will have lasted me for 48 years from now on (not taking into consideration of generated interest from CPF monies).
The assumption is based on the prevailing yield of the investment portfolio. I will channel more cash into the investment portfolio with the aim of generating more dividends and I can afford to take the risk of generating higher dividends.