How much are you earning per annum?

Originally Posted by Unregistered

Jeff, you made good points. I want to share with you and the rest of the forummers here to fully appreciate the meaning of gratitude.

As a couple, even though we are already in our late 40s, we only earn a total salary of $155k pa. Even though our income is so much lesser than people we know, we are grateful with what we earn. There are people we know who live the high life and they live in big landed homes while we are contented with our suburban condo. However we are not so impressed with their achievements as these people back stab others and plot against others' downfall. They cause people to be kicked out of their livelihood.

Our salaries are lower but we know we make an honest living and we do not sabotage others. Our conscience are clear.

While others have net worth of $10m or more, ours is only $2.4m, including our home. We are happy and we hope to retire when we hit 65.

U make it sound like those making big $ are sinners....don't be too bitter

Share with Jeff can already, this is the thousandth time you posted this. The rest of us are well in tuned with your current situation.

Originally Posted by Unregistered

Jeff, you made good points. I want to share with you and the rest of the forummers here to fully appreciate the meaning of gratitude.

As a couple, even though we are already in our late 40s, we only earn a total salary of $155k pa. Even though our income is so much lesser than people we know, we are grateful with what we earn. There are people we know who live the high life and they live in big landed homes while we are contented with our suburban condo. However we are not so impressed with their achievements as these people back stab others and plot against others' downfall. They cause people to be kicked out of their livelihood.

Our salaries are lower but we know we make an honest living and we do not sabotage others. Our conscience are clear.

While others have net worth of $10m or more, ours is only $2.4m, including our home. We are happy and we hope to retire when we hit 65.

These are one of those jokers you meet in in real life that just damn funny. To them anyone doing worse of then themselves they will keep repeating and rub their achievements to make them self feel great.

On the other hand anyone who makes more money then them would be likely because they backstabbed their way there, or have un-filial children, or have womanizing / gambling issues etc (there is something evil these people did which permitted them to have more assets then them)

This guy is a true product of the Singapore system LOL

Originally Posted by Unregistered

U make it sound like those making big $ are sinners....don't be too bitter

Don't look at those who have more than you but look at those who have less. Count your many blessings. No amount of wealth, status, properties, etc in this world will make you truly happy. This world is just a temporary place, a place that we just pass by. We are just travelers.

Have you ever thought of the blessings of your sight? What if you are blind? Would you trade your sight for the whole world and all the riches in it? What about the blessings of your bodily function? Do you take that for granted?

Originally Posted by Unregistered

Jeff, you made good points. I want to share with you and the rest of the forummers here to fully appreciate the meaning of gratitude.

As a couple, even though we are already in our late 40s, we only earn a total salary of $155k pa. Even though our income is so much lesser than people we know, we are grateful with what we earn. There are people we know who live the high life and they live in big landed homes while we are contented with our suburban condo. However we are not so impressed with their achievements as these people back stab others and plot against others' downfall. They cause people to be kicked out of their livelihood.

Our salaries are lower but we know we make an honest living and we do not sabotage others. Our conscience are clear.

While others have net worth of $10m or more, ours is only $2.4m, including our home. We are happy and we hope to retire when we hit 65.

Jeff great post!

what is your recommendation for me and my wife, who are both 46, combined salary $80k, net worth about $300k savings excluding hdb flat.

Originally Posted by Unregistered

passing by here, I want to share my few words. There are all sort of people on this forum - poor (but not too poor since you can afford internet), mid class and rich (but not too rich since the rich don't have time to come and post regularly on this forum).

First of all, I want to talk about equality.

There is no way in any democratic market society, that all people are equal. This means that there are haves and have nots. There is no way around it. Those who have usually have it becuase of hard work (studied hard or worked hard), skill and luck (including luck at work and promotions or in business - even facebook founders are in a large sense, lucky - ask him to start of scratch again and see if he can do it one more time). So unless we want to become communists (and even communists are unequal), there will always be inequality.

Second, I want to talk about getting on the right side of equality.

Since we are unequal, how to we get on the right side (the have side, not the have not side)? Hard work, luck and skill, as mentioned above. Know that Singapore is so small that it is a zero sum game. Because everything is relative, if you fall below the average, you will feel poor and frustrated. Hence you can have a car today but it is a different exclusivity from having a car in the 60s. So study hard and work hard, and try to be at the right place at the right time. The government is a way has tried to make studying hard pay rewards (like good paying jobs in the civil service). What you can't teach is skill - meaning the the character of a person - some people make good marketers, others make good doctors or lawyers or engineers - you need to be in your area of skill in order to be on the right side.

Third I want to mention challenges.

Life in Singapore and the world is only going to be harder. If you look at the world's population - India, Indonesia, Africa is exploding. Even Malaysia's population is exploding. And the fear is that everyone will want more and eat more - people will want to consume more, and they want fish and beef, not veggies. All resources will start to become scarce and more expensive. This will result in more opportunities for work, but more importantly, massive inflation. For those on the wrong side, they will slip further to the wrong side, unable to drag themselves to the right side as everything gets more and more expensive. Some clever people mention putting into S&P index or properties - these barely return more than inflation, maybe less. Forget about fixed deposits and sovereign bonds returns.

Fourth, I mention my ideas.

For the younger set of people, obviously, you need to study hard. That is the best thing you can do for yourself. Know that in China, millions of hardworking kids even from Beijing U, Fudan, do not get better jobs than those grads in NUS/NTU/SMU. So thank the government for (so far) ensuring that first class honours grads are in demand. Be on the right side.

For those in their 20s-40s, you are either on the right side through previous hard work, so continue on; or you're on the wrong side. If you're on the wrong side, you need to either work harder (by now, there is less you can do - working hard often doesn't reap much rewards, when you are in a long queue of promotions and your boss is creating the traffic jam and not promoted), or be lucky (you can't control this), or take more risk.

So what is taking more risk? It is getting out of the comfort zone. It means leaving Singapore or leaving your job to start a business. Being entrepreneural. You can get on the right side by working in Myanmar or Laos or Vietnam (vietname is already crowded), or even Africa (not congo or sudan!), but assisting in trade. Singapore is a great trading hub, and you are blessed with English and Chinese (assuming you're chinese) speaking ability.

For those in their 50s and above, there is little you can do to increase your income. It is already too late if you are slipping into the wrong side, or are already in the wrong side. The truth is that the slide will only accelerate with time, unless you are generating income, or the government provides payouts.

The world is unfair, but there are things that one can control. Those who refuse to work hard, study hard, find their luck, focus on their skills, and take more risk, will have a hard time in this new age. This is the truth and no change in government will change that.

That's all!
Jeff

husband 40 wife 36
income ~220k pa
expenses ~110k pa
drive 5yr old jap car, COE expiring 2019, fully paid up
live in HDB 5 room, worth 700k, with 180k mortgage remaining
co-own very small private rental property, worth 400k, fully paid up
cash+CPF ~400k
stocks ~40k

based on above, net worth 1.36m, real net worth not counting HDB is only 660k.

used to think "I've made it", but now putting these figures down online, feel so small - worse after comparing against what some others have listed here. *truly humbled* - need to work harder/smarter.

any advice/words of wisdom, please?

Sure got hope. Your net worth (excluding flat) is now 840k, not 660k. Since you save 110k pa, in 30 years you will have 3.3m additional savings. So your net worth, excluding your flat will be 4.14m by the time you retire. his is definitely adequate for your retirement.

Originally Posted by Unregistered

husband 40 wife 36
income ~220k pa
expenses ~110k pa
drive 5yr old jap car, COE expiring 2019, fully paid up
live in HDB 5 room, worth 700k, with 180k mortgage remaining
co-own very small private rental property, worth 400k, fully paid up
cash+CPF ~400k
stocks ~40k

based on above, net worth 1.36m, real net worth not counting HDB is only 660k.

used to think "I've made it", but now putting these figures down online, feel so small - worse after comparing against what some others have listed here. *truly humbled* - need to work harder/smarter.

any advice/words of wisdom, please?

Thank you Sir!
I put as 660k as still have 180k mortgage remaining...

We have been pretty conservative, and lucky with out purchases/investments. However, with the kid coming along, our savings of 110k pa will surely drop - and we plan to have 2 (or more, as patriotic citizens!)

Originally Posted by Unregistered

Sure got hope. Your net worth (excluding flat) is now 840k, not 660k. Since you save 110k pa, in 30 years you will have 3.3m additional savings. So your net worth, excluding your flat will be 4.14m by the time you retire. his is definitely adequate for your retirement.

Originally Posted by Unregistered

Jeff great post!

what is your recommendation for me and my wife, who are both 46, combined salary $80k, net worth about $300k savings excluding hdb flat.

You are doing good. Assuming you have paid off your HDB mortgage and assuming it is now worth $700k, your net worth is $1m. You are a millionaire!!!!!

Earning $80k pa is a decent amount assuming you have no loans. If you don't own a car, you can save at least $40k in a year. So, in 20 years time, you would save $800k. When you're 66, assuming your flat continue to appreciate in value, you could possibly reach a net worth of more than $2m.

Some poster here defined "the holy grail" in passive income as an income source that both keeps up with inflation and one that can sustain you throughout your retirement.

The closest thing I could think of to this holy grail of passive income is the CPF Annuity Life which, based on the current minimum sum of $155k, can give you a monthly income of $1.2k from age 65 for as long as you live. The gahmen said the payout would be adjusted to keep up with inflation.

So if you think you need $5k per month, then you should have about $155k x 5 = $755k in annuities equivalent to that of the CPF Life.

For $12k per month payout, you will need a $1.55m annuity value.

Remember that to enjoy this payout amount, you will need to lock in that amount by age 55.

$1.55m for a couple seems quite achievable by age 55 (not including their home).

The problem is that I could not find any private annuity that give such payouts. Meaning none I came across can match what the CPF Life payout. Has anyone come across good annuity plans that beat CPF Life payouts?