47, sole bread winner, salary $65k pa. Wife is a housewife. One son. Our home is a cosy 3 bedroom flat. Paid up the flat a few years ago since we bought at a very low price. Goes to work by MRT. Luckily our home is next to an LRT station which brings me to the nearest MRT station. Now focusing on saving up my CPF and in cash. When I retire, we plan to rent out our one spare room (after son got married and move out) and also getting payout from my CPF Life. Also will spend some money from my savings.

From this forum, we also got some good ideas on retiring overseas. One possible idea is we can rent out our whole flat for $2500 pm. Plus my CPF Life monthly payout of $1200, I will get $3700 pm and if we convert to RM, we will get RM9500 pm in passive income. We can rent a 3 bedroom condo in JB for only RM1000 (due to oversupply of empty properties in JB) and our spending in retirement will only be RM5000 in total. We can then save the rest.

We Singaporeans are lucky that we get to buy very cheap BTO which we can pay off easily. Our flat then becomes our retirement asset. Our CPF Life system is also good as we will get a monthly amount when we reach 65. A retired couple who meet the minimum sum will get $2400 in total every month. So if we retire overseas and rent our flat at $2600 pm, we will get $5000 in passive income. This is a lot of money if we retire in Malaysia or Thailand (Chiang Mai, Koh Samui, Phuket, Krabi). If we retire in places like Chiang Mai, Phuket or Krabi, we can enjoy sitting by the beautiful beaches everyday. How nice!

i disagree. going by your opinion, this forum should be shut down because people are posting savings and assets and for the purpose of? At the end of the day, no matter how we sugar coat it, we are still comparing with each other.

Look on the brighter side though - at least the guy knows what caused him to be moody, and it's somewhat justifiable because money though can't buy happiness, is without any saying so impt. There are some people out there who doesn't even know what is causing them to be moody everyday!

And pls don't start on self-actualisation.

Hi,
Other than the job security risk, what other potential issues will I be likely to face?

Critical illness, accident

Economic crisis, oversupply of properties which make your condo empty for years, interest rates shoots up

Just to name a few

To mitigate the risks, you need to have insurance

You also need lots of cash buffers that can service your condo loan in case there are no tenants.

Do you have all these into consideration when you invest?

I'm 45 and don't have much savings. My cash savings is $20k only and my CPF is only $140k. Am I doing ok? I earn only $50k pa.

20K savings at age 45 is dicey. But there is always hope. As long as you are healthy and willing to work hard, you will survive. And you wont be alone working till 70, you will have many fellow elderly Singaporeans working alongside you. Even now, you can see many elderly people (over 60 yr olds) working.

Thanks. I love working because I will be bored staying at home. When I'm working at least my movement will be less controlled. I look forward to working till I am 80. I enjoy meeting new people and doing new jobs. I don't really enjoy relaxing at home, watching movies nor traveling.

Cash $42,000
Stocks $26,000
Debt $0 bec no car, no house..

Single, female, 26, current salary $3800 (havent minus cpf...), diploma/degree fully paid by self.

My first full time salary was $2000 when i was 22..

are you planning to get married soon?

Me 38, wife 36 in banking and legal line

Cash: $480K
Stocks and funds: $430K

Other assets: Cpf, terrace house, car

Everyone seems to be very rich in this forum. All earn big money and can save so much with fully paid up condo/cars...

It is only natural that those who succeed like to boast and brag about their success whether it is due to hard work or pure luck.

The typical 40 year old guy lives in a 4 room HDB BTO flat which he got cheap and still living in it. He earns an income of $4k pm, married and has two kids studying in a neighbourhood school. This is the middle class, neither poor nor rich. Live a contented life generally.

When he retires, he will rent out two of his rooms and get money from CPF Life. Rent $2000 pm (each room $1000), CPF Life $3000 pm ($1500 each for the retired couple), children $1000 pm ($500 from each kid). So passive income is $6000 pm.

As long as they don't have a maid, don't own a car, don't smoke, don't drink, don't party, don't gamble and the husband don't womanize, they should be able to retire well.

why stop there....also add on your G5 Jet....sure are alotta ppl out there with small D***s that need to compensate for them....

all these talk about when retiring, can rent out 2 rooms to get passive income is pure bulls**t. Imagine when you are 60-70+ years old, would you want to share your home with a bunch of strangers? of course not! you work so hard all your life and the least you want is just to rest in privacy in your own home and not have tons of strangers around in your retirement. who knows what dangers they may bring and also disrupt your peace... all these posters about renting out rooms for passive income in retirement are just talk only.. by the 16-17 years old posters...

seriously..your constant nagging is getting old...its 2015 come up with some new material lah....

I wouldn't be so quick to rubbish this, as this really is happening on the ground. That people are indeed renting out rooms to strangers, not just to foreigners (eg M'sians) but also to Singaporeans who either cannot/don't want to stay with their own families.

Already I have 2 M'sians colleagues who rented rooms in HDBs while the owners (not so elderly couples) still staying there. My colleagues are paying about $600 - $800 pm.

And thinking back, when I was an undergraduate at NUS, a couple of my classmates and I (Singaporeans all) rented rooms in flats near NUS - Dover, Ghim Moh and Clementine areas. I am very sure students are still doing this, ie renting rooms in flats around the areas.

take it with a pinch of salt, too many bs or dreamers here!

read before replying. your colleagues obviously are still working, that person was referring to retirees!

This forum is about assets and income. If you dont like what is written then dont read. By the way, having those assets is not uncommon for those in banking, law or medicine. In fact I have acquaintances and friends who are 40 and already own semi-ds or bungalows in D10.

hmm so among your friends you have a small "d" lah...

Sole breadwinner, 50, $6k pm.
Cash savings $20k
Spending $5.5k pm
Cash savings $500 pm

40, sole breadwinner, $2k pm

Cash: $3K
Hdb loan: 180k

3 kids: 2 in primary, 1 kindergarten

Likely to work beyond retirement age

what's your highest qualifications?
how do you survive with $2k pm?
why is your wife not working?

ITE. Spend on kids a month abt 500. Parents take 500. I spend the remaining including paying for utility. On good months still able to save a bit. Wife is no longer around.

Sorry to hear about your wife. I suggest you seek financial help with the relevant welfare organisations and authorities. There are many schemes for low income households.

Take care and all the best.

Thank u for the concern but will not be seeking any financial help at the moment. There are many more who are more unfortunate than me. By seeking help would deprive someone of that chance, someone who needed the help more than I do. We are contented to have a roof, 3 meals a day and good health. Thats all that matters.

Since you have 3 children and a big HDB loan, it is best you get financial help. You can call the Comcare helpline. I think you are spending too much on your kids given your low income. With financial help, you may get help for your kids' kindergarten and school fees. You can then use the savings to buy insurance (health & accident) for your family (assuming you don't have) or build up your emergency fund. You are actually one pay check away from financial crisis. This is my sincere advice.

your kids are apply for bursary too.

People like you restore my faith in humanity. Your post also lends perspective to all those on this forum who seem to earn a lot but are never contented.

Contented people don't progress. As a country, as a society, we need people who strive for more, for better life for themselves and their families. Once contentment sets in, society stagnates and declines relative to others.

Let me share with you a story. Back in my old neighborhood in punggol years ago before there was any HDB flats, my neighbor (let's call him Ah Hong) was quite a happening character. Everyone (well, at least among my parents and neighbors of that generation) was in awe of Ah Hong and his "exploits" and knowledge. We were in our teens then and we often heard of our parents talking about Ah Hong and how successful and seemingly wealthy he was. This Ah Hong, we heard, travelled to "Ang Moh" countries and worked there. Neighbors were eager to hear his stories, and so were we children.

When the whole neighborhood was resettled to HDB, Ah Hong and his family got a 4 room flat, did it up nicely and he decided he earned enough and retired. He was 53 years old then. I was just starting my undergraduate studies in NUS after my NS. Initially his savings were enough, and he lived comfortably but as years went by, he kept cutting back on his lifestyle. Now at 75, he is worried his money will run out before his time.

For us and many of our old neighbors, we have since upgraded to condo from our resettled flats. It is important not to be complacent and contentment must be tempered with preparedness especially when it comes to personal finance. Now that life expectancy is higher (Singaporeans are expected to live beyond 85), we must ensure that contentment does not lead us to complacency. Yes, enjoy the fruits of your labour every now and then, but do not stop to strive for better. Again as a society, a country, once you stopped striving, you will be overtaken, and the country will slide back.

The problem with ah hong is that he retired without passive income. most likely he just had savings and this deplete over time. what ah hong should have done is to buy good quality high dividend yield stocks. the blue chips would have appreciated and by now at 75, ah hong would have been a multi millionaire. if he had invested in US blue chips like in Bershire stocks, he would be very rich today, richer than you and your family combined.

27 years old 26K in bank. I'm a poor as ****. thanks

What happened?

I was as poor as you at your age. Depends on your effort and luck, things may change for the better.

Am already better off now at age of 42 with my family and cash rich comfortably. Not wealthy, just happy.

Try changing a new job to have a reasonably increase in salary, ITE doesnt really matter if you prove yourself worth more than the cert.(except for management position i guess).

Dont be complacent with what you are now, if you are coming to this forum to pour out your current situation, i guess deep inside, you still want to have a better life for your kids! Make the change Bro! 三分靠天意，七分靠自己！

Quote： singapore business review....

FINANCIAL SERVICES, HR & EDUCATION | Staff Reporter, Singapore Published: 20 Jan 15 800 views - See more at: [url=://sbr.com.sg/financial-services/in-focus/work-until-you-die-over-half-singaporeans-grossly-unprepared-retirement-#sthash.kpAGHWaB.dpuf]Work until you die: Over half of Singaporeans grossly unprepared for retirement, reveals HSBC | Singapore Business Review[/


WHERE ARE YOU STANDING!?

Work until you die: Over half of Singaporeans grossly unprepared for retirement, reveals HSBC 1 in 3 residents older than 45 have no savings. Retirement is costly business, and a distressing majority of working-age Singaporeans are extremely unprepared for retirement. According to HSBC’s the Future of Retirement study, 53% of Singaporean workers say that they cannot afford to retire comfortably while 15% believe that they will never never be able to fully retire. Even more alarming, 30% of workers aged 45 and over claim that they are not saving or do not intend to save. The report revealed that future retirees in Singapore expect their savings to last just 13 out of an average of 23 years in retirement. Lack of financial preparation during their working years, negative impacts of economic downturn and other life events are the key reasons for the savings shortfall. “Whether it is the high cost of living or an expectation that our pension will cover us in retirement, the reality is many Singaporeans are at risk of getting caught very short, financially, towards the end of their life,” said Matthew Colebrook, Head of Retail Banking and Wealth Management at HSBC Singapore. - See more at: [url=://sbr.com.sg/financial-services/in-focus/work-until-you-die-over-half-singaporeans-grossly-unprepared-retirement-#sthash.kpAGHWaB.dpuf]Work until you die: Over half of Singaporeans grossly unprepared for retirement, reveals HSBC | Singapore Business Review[/

I see some good outcome of this survey. At least those people who said they would need to work till they die are aware of this. Also a good number of them in the survey also realised that their savings can only last 13 years from the moment they retire. If they stopped at 65, their savings will last them till they are 78.

There are many people, from what I gather from the various posts here, who think they have enough money and can retire early (at or before 55). For these people, the rude shock may come too late when they find that their savings run out even before they hit 65!

So, if you dont know how long your savings can last you, just continue working as long as you can. Dont take the chance.

Agree ! many Singaporeans live by Hand-to-Mouth, hoping CPF will let them live thru retirement. I bet many cant save enough becuz the cost-of-living, or should i say the cost-of-the needs & WANTS is too expensive. Singaporean are too pressurised by peer pressure, must stay bigger house and drive bigger cars than neighbour....

I wait to see how many would survive the coming recession cycle..

male 33 years, married no kids.
cash - $95k
stocks - $8k

my cpf has close to nothing as it was used for condo downpayment and to service the mortgage.