How much are you earning per annum?

Why do we feel poor even though our net worth is $5m?

Here are the reasons:
1. Our circle of friends and people we socialize with have higher net worth (most are professionals and some are business owners)
2. Our net worth comes mainly from the property we stay in ($1.8m). Another $1.3m is from 2nd property, but rental income (net) is only $38k pa.
3. $1.2m in CPF (total) (interest about $35k pa)
4. $600k in stocks, unit trusts and single premium insurance (yield $25k pa)

We hold the rest of $100k in cash to cover expenses and for emergencies. Luckily we are debt free.

5. We are well aware that our net worth can easily drop if economy turns sour as we have been through a few economic cycles where our property values and shares have dropped.

6. COE prices are so high. We feel we cannot afford to buy a new car when our current car COE expires

7. Children are still schooling and thus needs to set aside funds for their university fees. If overseas, have to consider selling off the 2nd property to finance that or remortgage.

8. With each passing year, we seem to be saving less. Our income taxes, property taxes, maid salary and levies, road tax, insurances, condo maintenance and sinking funds, utilities, and daily essentials seem to be increasing. I blame it on inflation.

9. We are seeing more young people earning more and more. What they are earning in their 30s are what we managed to earn in our late 40s.

At the end of the day, our disposal income is nothing to shout about. We still have to think twice eating at restaurants, going for overseas holidays, buying new car or even buying new furnitures.

My condolences to you. With your kind of attitude and mindset, you will always feel poor. You will die a miserable death.

I dont give a damn of people and status. I'm happy with who I am and what I have. I've travelled the world and seen real poverty all over. I find joy helping the poor. The rich who don't care about the poor will surely go to hell.

Originally Posted by Unregistered

Why do we feel poor even though our net worth is $5m?

Here are the reasons:
1. Our circle of friends and people we socialize with have higher net worth (most are professionals and some are business owners)
2. Our net worth comes mainly from the property we stay in ($1.8m). Another $1.3m is from 2nd property, but rental income (net) is only $38k pa.
3. $1.2m in CPF (total) (interest about $35k pa)
4. $600k in stocks, unit trusts and single premium insurance (yield $25k pa)

We hold the rest of $100k in cash to cover expenses and for emergencies. Luckily we are debt free.

5. We are well aware that our net worth can easily drop if economy turns sour as we have been through a few economic cycles where our property values and shares have dropped.

6. COE prices are so high. We feel we cannot afford to buy a new car when our current car COE expires

7. Children are still schooling and thus needs to set aside funds for their university fees. If overseas, have to consider selling off the 2nd property to finance that or remortgage.

8. With each passing year, we seem to be saving less. Our income taxes, property taxes, maid salary and levies, road tax, insurances, condo maintenance and sinking funds, utilities, and daily essentials seem to be increasing. I blame it on inflation.

9. We are seeing more young people earning more and more. What they are earning in their 30s are what we managed to earn in our late 40s.

At the end of the day, our disposal income is nothing to shout about. We still have to think twice eating at restaurants, going for overseas holidays, buying new car or even buying new furnitures.

44, 42 yo couple. $150k pa total. Live in a 2 room condo. No car. Are we normal or performed below average? So many here in their 30s claim to earn $400k pa as a couple. Is this true or just bull ****?

Some of the claims could be true.

I see new condos being snapped up like nobody's business, landed properties being torn down to be rebuilt bigger and taller. They must be bought by the younger people since many posters here say they will downgrade when they retire.

There cannot be any speculators since the 7 cooling measures effectively remove them from the market.

My condo next door neighbours are professional couples in their late 30s with young children. I only bought my condo at 50.

Originally Posted by Unregistered

44, 42 yo couple. $150k pa total. Live in a 2 room condo. No car. Are we normal or performed below average? So many here in their 30s claim to earn $400k pa as a couple. Is this true or just bull ****?

I earn $88k pa doing my trading and investing. My spouse earns $110k as a salaried person. As a millionaire in my 40s, I enjoy having the personal freedom to do my own trading and investing. I no longer need to take care a team, which drains me physically and emotionally. I forgo the $200k pa position to pursue my passion. I value my personal freedom more than the position. I am able to do this because I no longer need to worry about any debt as my penthouse is paid up and I have no other debt. Our combined income of $188k pa is more than enough for us as we only spend $90k pa. My net worth is pretty decent and I am happy with myself for my wealth accumulation achievements so far.

Congratulations. Pursue your dreams and passion. Be happy and live a life you enjoy. Don't be a slave of others. Don't need to care what society thinks. Don't be a fool who slave away, dragging their feet to work just because he wants people to think highly of himself. Don't be a prisoner of your insecurities. You are a real man, I salute you.

Originally Posted by Unregistered

I earn $88k pa doing my trading and investing. My spouse earns $110k as a salaried person. As a millionaire in my 40s, I enjoy having the personal freedom to do my own trading and investing. I no longer need to take care a team, which drains me physically and emotionally. I forgo the $200k pa position to pursue my passion. I value my personal freedom more than the position. I am able to do this because I no longer need to worry about any debt as my penthouse is paid up and I have no other debt. Our combined income of $188k pa is more than enough for us as we only spend $90k pa. My net worth is pretty decent and I am happy with myself for my wealth accumulation achievements so far.

If happiness is important to you, which should be to all of us, my advice to you is not to compare with others. And don't visit forums like this one.

You will find that many people will outstrip you in terms of wealth. As you age, you will see younger and younger people overtake you financially, while you keep looking for ways to cut down your expenses and think constantly about downgrading your home and lifestyle.

A life lived like a hermit just to save a few dollars is not meaningful

Originally Posted by Unregistered

I earn $88k pa doing my trading and investing. My spouse earns $110k as a salaried person. As a millionaire in my 40s, I enjoy having the personal freedom to do my own trading and investing. I no longer need to take care a team, which drains me physically and emotionally. I forgo the $200k pa position to pursue my passion. I value my personal freedom more than the position. I am able to do this because I no longer need to worry about any debt as my penthouse is paid up and I have no other debt. Our combined income of $188k pa is more than enough for us as we only spend $90k pa. My net worth is pretty decent and I am happy with myself for my wealth accumulation achievements so far.

Originally Posted by Unregistered

If happiness is important to you, which should be to all of us, my advice to you is not to compare with others. And don't visit forums like this one.

You will find that many people will outstrip you in terms of wealth. As you age, you will see younger and younger people overtake you financially, while you keep looking for ways to cut down your expenses and think constantly about downgrading your home and lifestyle.

A life lived like a hermit just to save a few dollars is not meaningful

Your last paragraph doesn't gel with the rest of what you said.

Thanks for the encouragement. I am enjoying every minute of my current trading and investing activities. And I don't need to downgrade my lifestyle. I still live in my penthouse, drive my fully paid German car and my expenses are way below my annual household income.

I don't need to care people outstripping my wealth. There will always be people who will be richer than me but the fact is I am richer than 99% of the world's population. I'm happy with that, especially given the fact that I used to live in a 2 room flat, sharing with 5 siblings, parents and grand parents.

So, please stop being cynical.

Originally Posted by Unregistered

If happiness is important to you, which should be to all of us, my advice to you is not to compare with others. And don't visit forums like this one.

You will find that many people will outstrip you in terms of wealth. As you age, you will see younger and younger people overtake you financially, while you keep looking for ways to cut down your expenses and think constantly about downgrading your home and lifestyle.

A life lived like a hermit just to save a few dollars is not meaningful

Originally Posted by Unregistered

Thanks for the encouragement. I am enjoying every minute of my current trading and investing activities. And I don't need to downgrade my lifestyle. I still live in my penthouse, drive my fully paid German car and my expenses are way below my annual household income.

I don't need to care people outstripping my wealth. There will always be people who will be richer than me but the fact is I am richer than 99% of the world's population. I'm happy with that, especially given the fact that I used to live in a 2 room flat, sharing with 5 siblings, parents and grand parents.

So, please stop being cynical.

Exactly. What this boils down to is "Different strokes for different folks."

Some people are happy with less. Some aren't happy with even a lot, and desire and crave more. Everybody has different priorities in life. As long as you don't harm others in your process of doing it, go ahead and do what makes you happy.

It's as simple as that.