How much are you earning per annum?

Originally Posted by Unregistered

i am your hdb neighbour.
i take bus every morning at 7 am
reach work at 8 am
lunch from 12 - 1.
take bus from work at 5.30 pm
reach home at 6.30 pm
cook dinner myself or buy from hawker center.
rest and watch tv

i earn 60k per month. single 36 year old.

$60k pa is a lot of money. That's like $5k per month. This is too much for a single lady.

I think the earlier poster is merely saying that we should not be so obsessed with financial planning, but to also give time for other things in our lives, whilst it lasts.

Don't think he is boasting.

Originally Posted by Unregistered

This is the most irresponsible piece of advice I ever come across. Although postings here are anonymous and are not to be taken seriously, I feel that they still have to be done with consideration of the sensitivities of others.

Telling people that they could die young and therefore to enjoy life now without consideration of the financial commitments and circumstances is very risky at best, and totally irresponsible and selfish at worst.

You may have achieved your financial freedom at a young age, but you cannot irresponsibly tell others to live your lifestyle without knowing the circumstances they are in.

For those who died young, I hoped that they have gotten their financial affairs in order and not leave their families in financial distress. If they had followed this poster's foolish, selfish and irresponsible advice, their families will be the ones to suffer for it.

So please, before you post, boast and gloat, think of the others who may not have the good fortune of making it rich early.

If you can afford 2 properties, one here and one in Melaka, you are certainly not poor. You are already better off than the majority of the people on both sides of the causeway.

Originally Posted by Unregistered

We are your typical median income family, earning $8k pm combined. Being both 50 years old, we need to plan for our retirement. After much discussion, we decided that we can't retire here as it would not be cheap. So, we plan to buy a property in Malacca for our retirement. We will rent out our 4 room flat to get $3k pm and plus our retirement payout, we will get $5k pm or RM13k pm. We can retire comfortably with this amount. When we die, our kids will get our hdb flat. Our kids are supportive of our plan and they look forward to visiting us 3 times a year. Malacca has the advantage of good and cheap medical facilities. It is also a safer town compared to JB. What do you think of our plan?

I guess during weekdays, this would be the routine for most office workers, with some variation here and there. So no surprises there.

For our case, my wife will leave home at 7am too. She drives. And she will come home by 6pm. I send my kids to their respective secondary schools by 7:30am. I will then come home to have my breakfast and read the newspapers. I leave for work at 8:30am. I normally leave office at 7:30pm. Dinner for the family is typically at 8 pm prepared by the maid.

Guess what people do during their weekends will be the interesting bits.

Originally Posted by Unregistered

i am your hdb neighbour.
i take bus every morning at 7 am
reach work at 8 am
lunch from 12 - 1.
take bus from work at 5.30 pm
reach home at 6.30 pm
cook dinner myself or buy from hawker center.
rest and watch tv

i earn 60k per month. single 36 year old.

Originally Posted by Unregistered

If you can afford 2 properties, one here and one in Melaka, you are certainly not poor. You are already better off than the majority of the people on both sides of the causeway.

Yes, I think I am very lucky to be a Singaporean. I get to buy cheap HDB flat direct from HDB and now my flat is worth at least $700k. I can keep this flat and buy a Malaysian condo. It is good to be Singaporeans, because our flat go up in value.

Originally Posted by Unregistered

Cheap? A relative of mine just collected key to a 4 room BTO flat at Sengkang bought at $300+k

This is cheap, the resale value is $400k +, so your relative can easily make $100k + profit when he sells after MOP. Easy money. He can use the profit to buy a new car and go holiday to europe. Then he can buy another cheap BTO. Another round of easy money. Singaporeans are pampered.

Spouse and I, 50 & 54 yo, makes a total of $152k pa. We live in an old EC, which we bought in 2007, no more loan. Besides our condo, our other assets include cash/stocks/CPF, $500k in total. As our net worth is low, we need to work for another 10 years or so. When we retire, we will either downsize to a 2 bedroom HDB flat or we will retire overseas. Any posters here know of friends or relatives who have retired overseas? Where did they retire and how much do they need every month to maintain their retirement lifestyle. It would be good to share real life experiences.

47, $110k pa.
Wife, 42, $80k pa.
Savings, 40k pa.
Condo, $1.1m, loan left $300k.
Car, paid up.
Cash, $100k.
CPF, $420k.

Are we doing ok financially?
What is the best retirement plan for us?

I agree the post is some what reckless, those who made it can easily disregard those who have not made it when making sweeping statements.

We all have different obligations with different opportunities presented to us in life, some have jobs that pay exceedingly well and some don't. Some have parents requiring care for (more than just money) and some don't.

Sure we can all drop dead at 30 / 40, get run over, go aboard a doomed airliner but that does not mean we abandoned everything and go party.

I myself am exceedingly wealthy due to inheritance, yet I hold a day job and I definitely do not make such claims to my co-workers who are everyday Singaporeans. I encourage them to clear debt and invest for the future, we should all provide sensible advise accordingly to the what we know of a person situation.

We should all practice some empathy regardless of the anonymity the net provides.

Originally Posted by Unregistered

I think the earlier poster is merely saying that we should not be so obsessed with financial planning, but to also give time for other things in our lives, whilst it lasts.

Don't think he is boasting.

Let me attempt a rough projection on your retirement numbers:

Currently you have combined net worth of $1.32m = $800k + $100k + $420k.
I don't see any other investment other than your home which does not generate passive income.

Assuming your savings can grow at a rate of 5% per year and you work till 60, average of 15 years to go. That would give you another $1.1m. Assuming your home appreciate 2% per year (if the cooling measures are not removed) it's value grow to $1.6m. Total net worth at 60 = $2.9m (= $1.1m + $100k + $420k + $1.6m -$300k)

Out of the $2.9m, I think by then (in 15 years time) the minimum sum the CPF requires will $300k each, or $600k to be set aside for both of you. Combined medisave to be set aside will also probably grow to $300k. The situation could like that in 15 years time:

Combined minimum sum in CPF = $600k
Combined medisave in CPF = $300k

Property value = $1.6m

Cash & CPF available = $400k.

As you can see, your available cash/CPF money that you can use is $400k at 60 years old. Although in another 5 years (when you reach 65), the annuity life will kick in paying you and spouse a monthly payout of $2.0k pm each or $48k pa combined.

Although the numbers may look good, they are not in today's dollars. In 15 years time, the $48k is probably equivalent to $30k today's value because of inflation.

I know it's convoluted, but it's all in the math.

Originally Posted by Unregistered

47, $110k pa.
Wife, 42, $80k pa.
Savings, 40k pa.
Condo, $1.1m, loan left $300k.
Car, paid up.
Cash, $100k.
CPF, $420k.

Are we doing ok financially?
What is the best retirement plan for us?