Anyone jobless for a long time before?

Originally Posted by Unregistered

Are you guys mocking the poster (yesterday (Monday) at 2:17pm) out of jealousy or disbelief? The passive incomes he claimed are realisable and have been achieved by many who were lucky to have invested in shares and property during their early years. Unbeknown to you, the average looking uncles and aunties you see daily in coffee shops and in NTUC shops could be enjoying such passive incomes.

Dont be blinded by your current plight that there are people out there who through frugal spending and savings can still achieve comfortable lifestyle with passive incomes.

I am very surprise most people seem to be in shock & denial that got people can have passive income from rent or dividend of 10k+ monthly. I personally know of many people in late 30s or early 40s achieve that.

For me I am 34 this year and passive income is close to 4k. Hoping to hit at least 10k per month by 40.

In the past very achievable maybe because the cost of living was low and the HDB were cheap.

My parents (no education) retire after working for 26years, now drawing 14k/year from shares... not a lot but still livable...

Looks like investing in shares is better than children LoL

what about the market value of the shares generating the passive income? the passive income can cover loss in share price?

Originally Posted by Unregistered

what about the market value of the shares generating the passive income? the passive income can cover loss in share price?

Good question. Share price goes up and down and so do the dividends. As long as you dont borrow money to buy those shares and as long as the company dont go bust, you should not worry too much about price swings.

I have been building my shares portfolio over the years buying a few lots every now and then especially during bonus months. Some relatively cheap but stable stocks that also provide consistent and good dividends are Sing Post (about 6%) and Sabana Reits (about 8%). I am now deriving about 10K annually from these two stocks.

Others like Starhub, SPH and SATS also provide good and consistent payouts but cost more to acquire. Unlike savings in a bank, these stocks can appreciate in value or at the very least they keep up with inflation.

With a stable of these stocks in your portfolio, you can comfortably retire on their dividends. Bear in mind these investments (as long as the company is around) can be passed to your children for them to continue receiving the dividends when your time is up!

I have a few buddies who are happily receiving up to 50K per year just from dividends, and attending AGMs for the free meals!

50K in dividends (assuming extremely fantastic 10% returns) implies minimum 500K in shares?
With that amount of money in shares it could have been leveraged up to buy a 2.5M house.

I'm cash-negligible.... somehow when i save up enough I'll put it into property and start from nearly zero cash again.

Wonder how other people get to the perfect state of both cash rich and asset rich? Can share?

My passive income (from rental) >3K a mth. But after factoring the agent fees, maintenance, monthly loan repayments, tax, it goes back to net zero. So I feel no different from before, am living no better, though my taxable income looks high .... wondering if this is the right way to do things. My salary is very average.

Originally Posted by Unregistered

50K in dividends (assuming extremely fantastic 10% returns) implies minimum 500K in shares?

My passive income (from rental) >3K a mth. But after factoring the agent fees, maintenance, monthly loan repayments, tax, it goes back to net zero. So I feel no different from before, am living no better, though my taxable income looks high .... wondering if this is the right way to do things. My salary is very average.

of course you're doing the right thing. You know how much cash you need to put in order to earn 50k dividends? Almost 1m SGD or more! What happen if share crash like in 2001, 2008, 2009? Company got busted , CAD probe? Company get bought over? What happen? I don't believe one bit just earn 50k dividends. Yes, of course, there are people like that. Just not that many that post in this forum!

You are honest about your passive income. It is OK. At the moment , it should be net zero. Of course! You still need to pay off the loan, so it's not passive income. You have no passive income. But it will come in time. Time is your best friend. In future, your property will appreciate, and when your loan is paid off, then you have passive income, or capital gains. The problem with believing forum posts is that one ends up feeling tht one is not taking enough risks, then things may go wrong. Slowly. It will come.

Dividend Warrior

a nice guide for noobie

Originally Posted by Unregistered

of course you're doing the right thing. You know how much cash you need to put in order to earn 50k dividends? Almost 1m SGD or more! What happen if share crash like in 2001, 2008, 2009? Company got busted , CAD probe? Company get bought over? What happen? I don't believe one bit just earn 50k dividends. Yes, of course, there are people like that. Just not that many that post in this forum!

Aiyah, you dudes jumped to conclusion too hastily. Let me explain. My buddies and I are middle aged and middle wage earners. My buddies have built up their wealth through shares accummulation from the day they drew their first pay checks. Their stocks may be worth 700K to 1mil now but that's only because the shares grew in value. Many of their stocks were acquired at or after IPOs, and many of the shares have splitted and gave out bonus shares since then. In all, if I recalled correctly they only invested 500k or less. Shares are easier to accummulate and more liquid than properties to manage - well suited for conservative middle income earners to hack and still be able to sleep soundly at night.

My buddies, they off loaded some of their appreciated shares to buy investment condo. They only paid 30% and took loan for the remaining 70% of the property cost. And why not? Housing loans are at all time low of 1% (or lower in the first year). The rest of their wealth are kept in shares with dividend returns of 6 - 8%.

I only mentioned their dividend incomes of 50K, because their rental income (about 40K) are being used to pay off the housing loan. When their housing loans are paid up eventually, they will be looking at 90K passive income annually. Can shake leg and attend AGM for free meals.

50k dividend although not very common, actually not that rare. I expect these people to be at least 40+.

Its just not really that worth it to put that much cash into stocks anymore, nowadays its more worthwhile to leverage it into property.

That said both holds a cross related risk, if you dun trust money, buy gold. Although returns are not as lucrative, if other investment blows, you can cash out immediately with higher returns and grab the unwanted stuffs at low prices, cycle repeats itself

Or if you dun trust life, then just spend it away(be sure to enjoy while doing that), who knows maybe we left a few more days to survive only.

Originally Posted by Unregistered

Dividend Warrior

a nice guide for noobie

This guy is an online attention whore who keeps spamming his blog all over many forums like CNA, HWZ, Asiaone, SGA... Holdings and passive income quite pathetic and yet talk like some super lao jiao.

Baiscally the whole blog just keep repeat the same thing in every post - buy REIT and STI dividend stock. Might as well go SGX website list out all the REIT and STI stocks faster and more comprehensive