How much are you earning per annum?

Lol, so the lessons learnt are :

1. Jobs are not for life. You can get retrenched
2. Not all retrenchment are bad. Good things can come out of it.
3. Invest in a good property as early in your career as possible, so that you can downgrade when you need to.
4. Condo living (with at least a swimming pool) is better than landed.
5. Paid tuition are not that effective as home tuition by parent.
6. Both couple working leads to stress at home, wife becomes housewife better for family life.
7. Halve your income, and the quality of life improves tremendously.

Originally Posted by Unregistered

We used to earn a high total income but my wife got retrenched last year. After a year of trying and not getting another job, we decided to downgrade from our big landed property to a smaller 3 bedroom condo unit, which we paid in full cash. We also use the cash balance to clear our car loan and other personal loans. Today, we are debt free.

We also stopped having a maid and stopped tuition for our kids as my wife can teach them easily. She spends a lot of time nurturing the kids and taking care of the household. My kids are now doing very well under my wife's guidance, much better than when we sent them to tuition classes.

As a family, we have more quality time together. As a couple, we argue less as my wife is less stressed compared to when she was working. We also have more quality couple time together.

All that happened is a big blessing for our family. Even though we live in a smaller place and our income has halved, our quality of life has improved tremendously. We are lucky to own a valuable landed property which allows us to make the necessary adjustments.

The kids actually love living in the condo as they can swim in the condo pool.

Your salary range between you and your wife is impressive, but you are right though the financial industry is a rocky place to be and one cannot predict how things will evolve in the future.

You mentioned you are looking to seek financial freedom, whats your idea of financial freedom? 10M / 15M? You seem quite satisfied with your current residence so I assume you and your wife like travelling in comfort? Best profile your lifestyle accordingly.

Do you do any property / financial investments to further your net worth?

My net worth is roughly about yours but mine is made mostly thru property investments. If you are serious about gaining financial freedom this is something you can consider especially in Singapore. But best ask someone to advise you on this before you leap.

Originally Posted by Unregistered

Ok, what do you need to be convinced. I can provide as much info as possible as long as it doesn't compromise my anonymity.

Age: 39, 37
Work: both in financial industry, in a support function (so not your banker, salesperson, trader etc)
Total income: $509K, $230K (I didn't say I earned $740K, I said "We")
Residence: 5rm HDB, our first property and lived for 14 years.
Car: 6-yr MPV (red-plated as we work downtown and don't drive to work. Use the car only on weekends to ferry kids).
Income tax for FY2014: $44.5K, $1.7K cos of working mothers' tax relief, SRS, CPF top-up etc.
Savings: $1.7m (adding around $300K per year not counting investment returns, as I mentioned we save 65% of MONTHLY income plus whatever is left over from spending the bonus)
Networth: $4.3m at end 2013.

Agree we are in a good position but as I said, I know of many people of my age who are much better financially. So I learn not to compare, but am really sincere in learning from the forumers here to increase my wealth and financial knowledge. tks.

Originally Posted by Unregistered

We used to earn a high total income but my wife got retrenched last year. After a year of trying and not getting another job, we decided to downgrade from our big landed property to a smaller 3 bedroom condo unit, which we paid in full cash. We also use the cash balance to clear our car loan and other personal loans. Today, we are debt free.

We also stopped having a maid and stopped tuition for our kids as my wife can teach them easily. She spends a lot of time nurturing the kids and taking care of the household. My kids are now doing very well under my wife's guidance, much better than when we sent them to tuition classes.

As a family, we have more quality time together. As a couple, we argue less as my wife is less stressed compared to when she was working. We also have more quality couple time together.

All that happened is a big blessing for our family. Even though we live in a smaller place and our income has halved, our quality of life has improved tremendously. We are lucky to own a valuable landed property which allows us to make the necessary adjustments.

The kids actually love living in the condo as they can swim in the condo pool.

Do you mind sharing how much was the reduction in the combined income? Was your wife earning more than you before her retrenchment?

Finally, someone who actually believe in me and willing to give advice on my financial situation...

My idea of financial freedom is to have passive income equal my expenses, or better yet equal my combined income. I estimate that $5m cash and $10 networth would fulfil the former objective. I am targeting to hit the milstones by 50 years old.

We are comfortable in our current residence (5rm HDB) but as with everyone else, we aspire to a higher standard of living but will only upgrade on my own terms.

My $4.3m networth breakdown as follows:

a) 5rm HDB = around $800k (although it may have dropped a bit due to the cooling measures)
b) Savings / liquid investments = $1.7m
c) CPF = $383,000
d) 3 investment properties (2 of which are shared with a relative) = combined market value is $6.2m; my share is $4m and equity is around $1.03m (therefore my share of the mortgage liability is around $3m).
e) Deferred bonus which is due to me = $150K (my bonus usually deferred over 3 years)
f) Market value of 6yr old MPV = $65K
f) Miscellaneous = $240K (e.g. cash value of insurance, cash in bank, wife's own investments etc).

I'm seriously considering various types of properties (including overseas) but for the local market, thought that it's the wrong part of the cycel to add on to my property portfolio.

@ 3937

Originally Posted by Unregistered

Your salary range between you and your wife is impressive, but you are right though the financial industry is a rocky place to be and one cannot predict how things will evolve in the future.

You mentioned you are looking to seek financial freedom, whats your idea of financial freedom? 10M / 15M? You seem quite satisfied with your current residence so I assume you and your wife like travelling in comfort? Best profile your lifestyle accordingly.

Do you do any property / financial investments to further your net worth?

My net worth is roughly about yours but mine is made mostly thru property investments. If you are serious about gaining financial freedom this is something you can consider especially in Singapore. But best ask someone to advise you on this before you leap.

Originally Posted by Unregistered

I doubt is either. I arm chioed. Where got COL or superscale folks so free come to forums to post? Name me an example.

I see a lot of army friends (LTC etc) posting frequently on FB during office hours. I just hadn't realised the kind of money they were being paid to do that!!

Originally Posted by Unregistered

Do you mind sharing how much was the reduction in the combined income? Was your wife earning more than you before her retrenchment?

Our income dropped from $250k pa to $130k pa, she was earning $120k pa.

Married couple in our mid 40s, total income $150k pa. Upgraded from a HDB flat to a condo in 2006. Bought the condo for $500k, now worth $1m. Loan outstanding $200k. Drives a european car, no loan.

We are a typical middle income Singaporean couple with two kids. We go for holidays twice a year. We are happy with our lives as we can afford a condo and a car. We have achieved the Singapore dream. This is a big achievement. Many people still living in HDB flats, just like many in this forum. We are lucky.

Actually, by social status, you are in the top 20% of Singapore's society. Only the top 20% lives in condo or landed. You have made it.

Originally Posted by Unregistered

Married couple in our mid 40s, total income $150k pa. Upgraded from a HDB flat to a condo in 2006. Bought the condo for $500k, now worth $1m. Loan outstanding $200k. Drives a european car, no loan.

We are a typical middle income Singaporean couple with two kids. We go for holidays twice a year. We are happy with our lives as we can afford a condo and a car. We have achieved the Singapore dream. This is a big achievement. Many people still living in HDB flats, just like many in this forum. We are lucky.

Married with 2 kids
42 &41 yo
150k & 115k.
HDB EA waiting to buy 2nd property. No outstanding loan. Net worth 1.7m

Originally Posted by Unregistered

Married with 2 kids
42 &41 yo
150k & 115k.
HDB EA waiting to buy 2nd property. No outstanding loan. Net worth 1.7m

Why not sell your HDB flat (prices falling) and upgrade to a bungalow?