Quote:
Originally Posted by Unregistered
This is the scary truth.
Most people do not realise that for a comfortable retirement for spouse and yourself in Singapore, you would need around 1M, probably more.
Some believe that their children will look after them when they are old, but you can never guarantee what happens. I know of a few who paid for an overseas education for their kids, or were guarantors but their kids broke bond. The kids refused to return, preferring life at greener offshore pastures. Not all kids would be willing, or are able to give a substantial parental maintenance allowance either. In short, don't depend on anyone else but yourself and your spouse for your retirement.
Say for example to maintain a nice retirement lifestyle (with a car, eating out, travelling around the world) you need around 5k/ mth for you and your spouse. Assume you live for 20 years after retirement. That is already 1.2M. And it does not include healthcare costs, and erosion of savings+ increase in costs due to inflation.
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Stop scaring yourself and others. If it's true, why do I not see more beggars in the streets?
The fact is even retirees can have some income. You can start a small business, rent out a room or a condo, collect dividends from stocks, etc. Insurance will pay for the bulk of your medical expenses.
And if you are smart about it, you won't be spending 5k/mth if you have only 1.2m in the bank. Don't forget that your children would've grown up and won't need money from you. Your parents would've moved on.
Of course, if you wanna plan for worst case scenario, you can always work till you die. Cheers.