Thursday, June 30, 2016

Personal Passive Income and Expenses Monthly Report - June 2016

Hi Everyone,

Finally, it is the end of June 2016, as mention in the previous monthly report post, I will be doing a summary of my passive income, expenses and savings in this blog post. With this blog post, I will be able to note down my progress every month.

So below is my report for June 2016:

Investment and Passive Income - June 2016


My investment still remains the same as compared to May 2016 as I did not make any move into purchasing or selling any shares. Understand that Brexit event would have been a good opportunity to grab some cheap shares but I didn't because I am aiming for property next year, so I will continue my investment journey after I have settled my property down payment.

My passive income in June 2016 was $136.42 which are all main from OCBC 360 interest and UOB One account interest. This is a good monthly income as it can cover my travel expenses. Certainly, for the month of July, I hope I can hit $138 (if possible).



Savings and Expenditure - June 2016


Based on the graph below, my expenses break down are as below:

1) Travel: $120 (Planned) VS $120 (Actual) - I bought adult concession so the amount is fixed
2) Food (Weekday): $160 (Planned) VS $97.10 (Actual)
3) Bills: $120 (Planned) VS $91.16 (Actual) 
4) Entertainment: $120 (Planned) VS $124.10 (Actual)
5) Others: $580 (Planned) VS $556.57 (Actual)

Overall: $1,100 (Planned) VS $988.93 (Actual)

Goal - June 2016

I have yet to achieve any goal for this year yet.



150K progress - June 2016

As of now, my savings is around 70%. 30 more percent to go before I hit my target! Wish me luck!



Conclusion - June 2016

This is a good result whereby my entertainment target was the only one that exceed the planned target. However, the overall expenses still within $1,000. This is indeed a good goal for me and I am really happy about it. Of course, I did not included my wedding expenses as I have already set a side the amount that I needed for wedding. 

My passive income was also doing a good job of having $136.42, which practically covers my travel expenses as well as some of my food expenses. I hope by the end of this year, I could hit $150 per month for my passive income.

As of now, I have yet to hit any of the goal that I have set for myself, I am getting worried because the year is ending soon yet I have not accomplished any of my goal that I have set for myself. Well have to see next month then!

Tuesday, June 28, 2016

WHICH CREDIT CARD IS THE BEST FOR OVERSEAS DINING?

Hi Everyone!

Today is another article from SingSaver which is about which credit card is the best for overseas dinning. So if you are a frequent traveler, do check this article out!



Here are 5 credit cards in Singapore that can save you serious cash when dining at major cities around the world. Traveling to a major city in Europe, Australia or North America? Expect to spend hundreds of dollars on food alone. Unlike Singapore, most Western cities don’t have an equivalent of a hawker centre. To buy a really cheap meal, you have to eat greasy fast food or dine by the sidewalk. So if you want to eat well without spending a fortune, you have two choices: hunt for vouchers like a maniac, or use a dining credit card that gives rebates abroad. We’ve rounded up a few credit cards that you can use to earn cashback on overseas dining. Can you spot which one saves you the most money?

Cashback Earned on S$500 Dining Spend in New York*
Credit Card
Dining Cashback Rate
Cashback Earned**
Monthly Cashback Cap
Minimum Monthly Spend
8%
S$25
S$25 on dining
S$888
8% on weekends, 3% on weekdays
S$25 (S$9 weekday, S$16 weekend)
S$60
S$600
5%
S$25
None
None
OCBC 365 Card
3% dining worldwide
S$15
S$80
S$600
CIMB Visa Signature
10%
S$50
S$60
S$500 plus a minimum spend of 8 dining transactions worth S$30 or more within the same statement month














*Assume S$300 weekday spend, S$200 weekend spend. **Credit card terms and conditions apply.
Winner: CIMB Visa Signature Card
If you’re after a credit card specifically for overseas dining rebates, the CIMB Visa Signature is our top pick. With a high 10% earn rate on dining, you can quickly maximise the S$60 monthly cashback limit during a one-week trip. However, earning the cashback is not as straightforward as swiping your card. First, you must spend S$500 on your card a month, and you need to make 8 dining transactions worth S$30+ each within that statement period. But given that the average price of a restaurant meal is around S$48 in a city like New York, meeting these conditions shouldn’t be a problem. The CIMB Visa Signature also has a couple of useful features you can use in Singapore, including a 10% cash rebate on online spend in foreign currencies, 0% instalment plans for up to 20 months, and no annual fees for life. It also has no administrative fee on foreign currency transactions, which is really useful for travel or online shopping. Compared to other cards, however, it’s quite lacking in terms of local dining and retail deals. But the generous rebates and privileges more than make up for it.
1. Citi Cash Back Card
This all-around cashback credit card offers 8% rebate for dining, groceries, and petrol with a minimum spend of S$888 a month. It’s a generous amount, but rebates for each category is capped at S$25 per month. This means that at any given month, S$25 is the most rebate you’ll earn for dining on holiday. However, you can also use the Citi Cash Back Card to earn rebates at supermarkets worldwide. So if you’re crashing at an Airbnb or have access to a kitchen during your trip, consider cooking your own meals. You’ll save so much money this way, and get an extra S$25 cashback too!
2. UOB YOLO Card
The UOB YOLO Card has a number of great dining deals in Singapore, but how does it fare overseas? As it turns out, its dining rebates let you save quite a bit when you travel. Earn 3% rebate on weekday dining and entertainment. And until 30 September 2016, the UOB YOLO Card gives up to 8% rebate on weekend dining and entertainment. If you’re chasing overseas dining rebates alone, the UOB YOLO Card is a better choice for weekend getaways. As you can see from the table above, you don’t earn much from weekday dining. However, the UOB YOLO Card also cuts down on travel expenses beyond restaurant meals. Cardmembers get a 3% rebate on online bookings at Agoda, Airbnb, Jetstar, and a number of travel websites. Check out the full list here.
3. ANZ Optimum World MasterCard
The ANZ Optimum World MasterCard is a powerful piece of plastic. Its rotating cashback feature lets you decide where your savings should go. It’s as simple as choosing one out of four categories at the beginning of each quarter: dining & leisure, travel, shopping, and groceries. You get 5% cashback on that category, and 1% cashback on all other spend. Maximise the overseas dining rebates by choosing the dining category during the quarter you’ll be traveling. Let’s say you’ll be at Melbourne during 15 – 25 August, and your dining expenses add up to S$500. If you choose the dining category before the 25th of July (the start of the third quarter), you earn S$25 cashback. But if you forget to declare your chosen category, you only get S$5 cashback.
4. OCBC 365 Card
The OCBC 365 might have the smallest overseas dining rebate of all the cards in this list. However, it can net you a whole lot of savings while in Singapore. At S$80 maximum cashback per month, the OCBC 365 Card has one of the highest cashback limits in the market. You can use it to get 3% rebate on online travel bookings, plus 6% rebate on Singapore dining and 3% rebates on groceries island-wide. The OCBC 365 Card also gives you access to the Visa Luxury Hotel Collection. Card members get preferential rates for the best hotels and resorts around the world, plus perks like automatic room upgrade upon arrival and complimentary breakfast!

Saturday, June 25, 2016

Understand Yourself Before Starting Saving/Investment Journey

Hi Everyone!

Today's topic is about understanding yourself before you start your investment/saving journey. This is important because it can greatly affect your portfolio and the returns that you can generate.

These are some of the questions that you can asked yourself or make sure that you know about yourself before getting started.

1. Is Your Determination Strong Enough To Complete Every Task?


This question is important because financial saving/investment requires determination before you can reach that financial goal of yours. The reason is because in order to reach the financial goal via saving/investment, you would need to give up some of the excessive lifestyle that you are currently enjoying in order to save up some money to build your first pot of gold.

Initially, you might be able to have some determination to work towards that, but maybe few months down the road, you might think otherwise. You will feel that you are tired of saving money, tracking your own expenses and etc, which eventually goes back to your normal lifestyle where you spend or overspend the money that you earn for each month.


So determination is very important so to ensure that you won't give up half way. Personally, I have been through that stage before whereby I was too lazy to keep track of my own expenses for about 2 months, and after which when I resume on tracking my expenses (without any changes in my daily spending), I actually spend more than what I should have. So I quickly set myself a target, goal and expenses tracking website to ensure that such things will not happen. 


2. Risk Appetite

There are tons of investment/saving tools out in the market whereby you can make your money work for you to earn more returns. So you will have to asked yourself, what is your risk appetite. 

For low risk, you can go for banks with high saving interest like OCBC 360, UOB One or BOC, together with SSB, STI ETF, CPF Top Up and probably fixed deposit.

For high risk, you can go for tradings, invest in shares, FX and etc. 

So it really depend on your risk appetite. However, if you are new to investment, do not go all in at the very first time, set some amount that you can lose and try it out first before increasing the limit of your money. If not, you might lose all your money at one shot.

3. Lazy or Hardworking

Depends on whether you are hardworking or lazy. If you are hardworking, it would be best for yourself to manage your own portfolio. However, if you are lazy, then it would be best to get one agent, middleman or fund manager to handle your money for you. 

The reason is because monitoring your portfolio can take up a lot of your time which makes you have lesser time to slack around in the house, even during your weekends. So if you do not have such time for monitoring, it would be best to ask a middle man to manage it for you (by paying them some commission or price - depending on what you buy, could be insurance saving plan, STI EFT and etc.)


So these are the three things I find that it is important to asked yourself before you start your saving/investment journey. So what is your view about this? Do comment below!

Friday, June 24, 2016

HOW TO ESCAPE LIVING PAYCHEQUE TO PAYCHEQUE IN SINGAPORE

Hi Everyone!

For most salary-man (employee), there are certain date that we are certainly happy about, which is the date where we receive our salary! That's because we will have money to do whatever we want. However, as a financial blogger, there are some things that we certainly have to look out for when we receive our paycheck. One of the thing is living paycheck to paycheck. Although most people might view this as quite common and perceive as not as harmful as they will still get their paycheck next month, but the consequences will surface when one loses their job.

So I have decide to publish this article from SingSaver, which I think is a good way to break the living paycheck to paycheck habit.


Living paycheque to paycheque is not only stressful – it’s dangerous. Here’s how to stop and turn your finances around. If your paycheque seems to vanish as soon as it arrives, and you find yourself surviving on Maggi mee toward the end of the month – you have a problem. Specifically, you’re living paycheque to paycheque. Not only is it stressful; it’s dangerous. A single emergency, such as retrenchment, will send you neck deep in debt. Here’s how to break the habit:


1. Always Pay Yourself First 

Before you start spending your money, make sure 20 per cent goes into your savings. We know the CPF does this for you already, but you can’t take out your CPF money easily. It’s important to have an emergency fund that you can tap into when you need. So the moment you get your pay, take 20 per cent and put it in a separate savings account. You’ll want to keep doing this until you accumulate six months worth of savings (however long that takes). Having an emergency fund means you won’t need to resort to loans in a crisis. It also gives you the confidence to make critical decisions, such as switching jobs or starting up a small side-business. 


2. Reduce Your Loan Interest 

If you find that almost all your money goes into repaying loans, it’s time to reduce the interest rates. One simple way to do this is to use a balance transfer to pay off a credit card completely, or to use a personal instalment loan to pay off higher interest debts. For example: Say you owe $5,000 on a credit card, which has an interest rate of 24 per cent per annum. You could take a personal instalment loan for S$5,000, at just six per cent per annum. You then pay off the credit card with the personal loan. This would effectively reduce your interest rate from 24 per cent to just six per cent. If you use a balance transfer, you might be able to get deals that reduce your debt to zero per cent interest for six months. This makes it considerably easier to pay off the amount owed. You can find the best balance transfer options on SingSaver.com.sg. You should stop using a credit card or credit line after making a balance transfer to pay it off, or using a loan to do so. 


3. Find an Expense Tracking Method That Works For You 

What gets measured gets managed. If you track your expenses, you are less likely to overspend. Here’s the tricky part: the same tracking method won’t work for everyone. For some of us, having an Excel spreadsheet does the trick; the rest of us need methods such as sticky notes or phone apps. Experiment with the methods available, from writing things down to using phone apps. Stick to the one that feels most intuitive. This is the first step to developing a functional budget. Which leads to the next issue. 


4. You Need a Budget, But Forget the Rigid Methods 

The easiest and most effective way to budget is to deduct 20 per cent of a particular expense. For example, if you spend S$1,200 a month on food, see if you can cut it down to S$960. Do this by setting aside $960 in your food budget, and then storing the excess S$240 in savings. You are free to spend the S$960 on food any way you choose – but when you run out, you’ve run out. No cheating and tapping your savings to pay for more. This method is usually more effective than trying to plan out the dollar value of each and every meal. Because we are human beings and not companies, it is not natural for most of us to stick to corporate-style budgets, where the exact amount of each expense is predetermined. Try to use this method for two or three categories in which you spend the most (e.g. food, travel, and clothes). If you fail to keep the budget in one, you may still succeed with the others. 


5. Stop Automating Payments 

If you have automated payments, such as for gym memberships, MMORPG subscriptions, or clubs, we suggest you cut them off. You should always be aware of what you’re paying, and how much you’re paying for them. This will remind you to stop forking out money for services or goods you don’t actually need. On the other hand, you do want to automate your savings if possible. The reason your CPF seems so huge is because the 20 per cent is deducted for you – out of sight, out of mind. 


6. Tighten Your Belt the First Week You Receive Your Pay 

Make a pledge to do minimal to no shopping, on the very first week you receive your pay. The only thing you should do that week is transfer money into your savings account and repay any due debts. This will help to break the habit of overspending in the first week, and then needing loans or credit to get you through the rest of the month. It will also prevent you from needing an advance, something that employers look on negatively as it affects their payment process. 


7. Let Someone Else Do the Shopping 

As a last resort, if you truly cannot control your spending, consider letting someone else do the shopping. Get a spouse, parent, or close friend who is willing to help, and give them a fixed shopping list. Pass them the cash to do the shopping for you, so you don’t get tempted. You can still indulge in the occasional bit of shopping. During the LAST week of the month, if you have a surplus, you may take the money and go shopping yourself. However, you should not bring any credit cards, lest you be tempted to rack up debt.

So what is your view on living paycheck to paycheck? Does this article help you? Or do you have even better idea to break this habit? Do comment below!

Wednesday, June 22, 2016

FIVE SMARTEST THINGS TO DO WITH YOUR PAY RAISE IN SINGAPORE

Hi Everyone,

Having a pay raise is indeed a good thing because this means that you will have more money, also means more savings (only if you maintain your expenses). So with the extra savings there are some of the things that you can do with this extra money from your pay raise. I felt that this article from SingSaver is indeed a good article for me as well as the reader here (I honestly believe) that you will gain something in return after reading this article. 



FIVE SMARTEST THINGS TO DO WITH YOUR PAY RAISE IN SINGAPORE


There’s a good chance your income will increase in the coming years – but don’t waste your pay raise on expensive things. With the Progressive Payment Scheme in full swing, some Singaporeans can expect to earn more in the coming years. In fact, even though job growth has slowed, real wages in Singapore are up around seven per cent. Even labourers see a wage hike from the Progressive Wage Model, with median wages up by 20 per cent. So there is a very good chance that you will see your income rise this year. Before you rush out to splurge on a new tablet or shoes however, see if you can do something smarter with that money:

1. Pay Off Your Debts
There are many reasons to pay down your loans* early, if you can. Loans apply compounding interest to the amount owed. The longer the loan tenure, the more you end up paying. For example, your credit card debts grow at 24 per cent interest per annum. Assuming you owe S$5,000, and pay back S$200 a month, you would take 35 months to fully repay it. That’s a total repayment ofS$7,000, for a debt of S$5,000. Yes, credit card debt is very expensive. This is why we suggest you repay the full amount every time, and never owe anything. In addition, paying down your loans will help your Total Debt Servicing Ratio (TDSR). When it comes time to buy your flat, your loan repayments are capped at 60 per cent of your income. This includes all your loans, including the intended home loan and your car loan, credit card loans, etc. So if you pay down these other loans early, you are more likely to be able to buy the house you want. *An exception is if you have a personal instalment loan, with fixed repayments. There may be a prepayment penalty if you try to pay off these loans early – these penalties might mitigate any savings you get. Compare the cost of prepayments to the amount you would save.

2. Expand Your Insurance Coverage or Payouts
Insurance policies provide protection and can also act as savings plans. If you don’t like to invest yourself, you may want to consider enhancing your insurance. Even a S$100 increase to premiums can result in significantly better coverage. You may be able to upgrade to a policy that covers hospital stays in a better ward, for example. You may also be able to add riders that cover you in the event of accidents, or include riders that mitigate the need to buy travel insurance in future (e.g. a rider that makes your insurance apply even in places you travel to). If your insurance plan has a savings component (it grows your money), raising the premiums can mean a much bigger payout for an endowment policy. The exact amount will vary based on your plan, but it’s worth speaking to your financial planner about. Investing an extra S$100 or more can be enough to cover your children’s tuition fees, or provide for a more comfortable retirement.

3. Build Your Emergency Fund Sooner
An emergency fund consists of about six months of your income. Emergency funds are used to pay for unexpected costs, or to provide for you in the event of illness or retrenchment (remember, even insurance policies may take some time to give you a payout). Having an emergency fund removes the need to use expensive loans when you need cash urgently. The sooner you finish building the emergency fund, the sooner you can put more into retirement planning. Alternatively, if your retirement plans are well in place, building the fund sooner means you will have more discretionary income for vacations and shopping.

4. Enhance Your Retirement with Passive Investments
Now that you have more cash, consider passive investments, such as savings bonds (appropriate if you are older), or blue chip shares and index funds. These are simple investments, which do not require you to trade (i.e. You do not need to time the market, and buy and sell to make a profit). Singapore Savings Bonds (SSBs) provide savings at a higher interest rate than the bank, with the flexibility to withdraw at any month. Blue chip shares and the Straits Times Index Fund can be acquired for as little as S$100 a month – this service is available from participating banks such as OCBC and POSB. But remember not to buy anything with advice from a professional – you can get help if your bank offers wealth management services (this comes with certain types of bank accounts, or premiere banking). Alternatively, speak to an Independent Asset Manager (IAM), or a licensed financial planner.

5. Upgrade Yourself
With the Skills Future programme in place, you already get S$500 to buy training courses. Don’t settle for your current raise – aim to get another one. Combine your new income with the government freebie, and get certified in the right skills. Remember to check with your employer first though. You don’t want to waste money on a course that isn’t relevant to your career, or that will have a minimal impact on your job prospect. Ask your boss what skills the company most values or needs. You should also consider building soft skills, such as leadership or expression skills, which are often needed in higher management.


So how do you feel after reading this article? This article really keeps me thinking whether what should I do when I receive my pay increment. However, I have an answer for that, which is saving for my first property. After I got my first property, I will proceed to save more for my family and also the expenses of having kids in Singapore is really high, so I will have to save more for that.

So hope you can have an idea what you can do with your pay increment.


Tuesday, June 21, 2016

Managing Your Finances by Yourself or By Others (After Credit Scene)

Hi Everyone!

With the previous post on Managing Your Finances By Yourself or By Others - Captain America Civil War, we will have a after credit scene for it where by I saw an article yesterday which states that adults are in debts due to car loan payment. The article is shown below


Some Debtors Say Maintaining Cars Puts Them In Debt

Source: Some debtors say maintaining cars puts them in debt

The crippling debt that came with buying his car made owning one an irony - he had a car but could not afford to drive it.

Adam (not his real name, as he spoke on condition of anonymity), maxed out at least 12 credit cards and six credit lines, chalking up about $50,000 in debt - just to pay for the loan instalments and other essentials required to maintain a car.

The 32-year-old civil servant said it was the worst mistake of his life.

He bought a new off-peak hatchback in 2007 for $60,000. At that time, he was earning $2,300 a month.

By having a car, he thought a life of status and comfort awaited him. But all he got in return was half a decade of "living hell".

"It was hell, really a living hell being in so much debt," he said.

"I was living comfortably before that, with some excess cash from my salary. I already had a big bike then, but I wanted more. I wanted a status symbol."

He was attracted by the fact that he did not have to place a down payment. Plus, he would get a $5,000 cash-back from the $60,000 loan the car package offered. Adam signed a few forms and was soon driving off in his new car. But within three months, when the money from the cash-back was depleted, he realised just how much of a mess he was in. "It was a terrible mistake, a decision that I regretted almost immediately," he said. "It wasn't just the $600 monthly instalments, but the petrol, parking, insurance and other hidden costs, which came up to about $1,000 a month."

 Unable to pay up, he depended on credit cards and lines, opening accounts with six banks just to have enough money for his daily expenses. Paying for his wedding in 2011 added to his debt, and his honeymoon was spent bitterly answering calls from the banks chasing him for payment. He said: "I could not sleep. The banks kept calling and the first few months of my marriage were rough. I had many arguments with my wife." His wife told TNP that she too had her own debt and it was only after the first few months of their marriage that they discovered more about each other's financial troubles.

"I remember that during our honeymoon, we kept receiving calls from the bank and it really affected the mood," said the 31-year-old. "Later on we couldn't really spend on a lot of things. Going out wasn't even an option." TOO MUCH TO BEAR For Adam, the debt became too much to bear and the car became little more than a display piece as he could no longer afford to drive it around. "I ended up paying so much for something I seldom even used," he said. "I took out loans and credit lines to pay the bills, and ended up having to live on just $50 a month for two years after all my essential expenditures.

"It was like covering a hole only to dig another one over and over again." He would get by with just one meal a day and even that meal was a homecooked one. "If I really had to eat out with my friends, I would eat at home first before going," he said. "I would then use the excuse that I'd already eaten at home, which was true." He added that this drove him to take up even more loans from the banks. "It was very hard to survive on that kind of amount monthly, which drove me to withdraw and use money that I did not have and did not belong to me," he said.

"It made it worse, to the point that I got blacklisted by the banks." But there is a silver lining to his story. At his lowest point, in 2012, he turned to Credit Counselling Singapore (CCS) for help, and they helped him get back on his feet. CCS helped him by drawing up a debt management plan and negotiating with the banks. He has since started to pay off his debt slowly through instalments, but he has had to change his lifestyle drastically. "CCS helped me a lot, and I was able to save about $400 a month after that," he said. "That allowed me to breathe and get back on my feet." He sold his car in 2012, and is on track to clearing his debt by the end of next year. Adam has become so traumatised by the experience that he said he will never buy a car again.

"I've done the calculations, and actually for me, taking a taxi every day is cheaper than getting a car," he said. "So why would I ever want to get a car again?" He advises those who are tempted to buy a car now because it seems cheaper to carefully reconsider. "If you really must have a car, then make sure you write down your calculations and understand your financial situation," he said. "If you don't need it, then don't get it. Going through hell just for a status symbol is not worth it." It was a terrible mistake, a decision that I regretted almost immediately. It wasn't just the $600 monthly instalments, but the petrol, parking, insurance and other hidden costs.

 - 'Adam'

She struggled with car loan after switching jobs She chalked up more than $50,000 in debt after buying a car. Jane (not her real name) bought a $54,000 three-year-old sedan in 2011, taking a 100 per cent loan on the full price of the car. The 29-year-old facilities manager said she bought the car as she needed it for her job then, and could "still afford it at that time".

To pay off the monthly instalments and additional expenses which came to about $1,300 a month, Jane used a $1,000 allowance from her employer, on top of her $2,000 salary. But she forgot to fully consider these costs when she switched jobs. Her new job did not provide her with as generous an allowance, and she started to struggle with payments. "One can't stay in the same job forever," she said. "But just two years after I bought the car and changed jobs, the banks started calling and coming to my home." It came to a point where she stopped eating meals regularly, just so that she would have enough money to pay her bills. But that was not enough.


"My new salary just could not sustain my expenses and the car, and I had to use four or five credit cards and lines," she said. She turned to Credit Counselling Singapore (CCS) in 2013 after she found herself more than $50,000 in debt, and has since been able to finance her debt regularly. Jane said: "I have become more prudent with my money, and I am now looking for a new car. "I think the lesson here is that if you want to buy a car, get one that is within your means. "Planning your finances is very important." My new salary just could not sustain my expenses and the car, and I had to use four to five credit cards and lines.

 - 'Jane'


Conclusion


See I told you so...


captain america oh brother bummed deflated hang head
Oh well....

So what are your views on this issue? Do you agree with Iron Man Victory?

Monday, June 20, 2016

POSB Launch Saving Programme For National Service Man or NSF?

Hi Everyone!

Good news! There is a new POSB Programme for National Service Man! I am included! Yay! Oh wait.. Let me take a good look at this article again.. POSB Launches Savings Programme for NSmen

Alright, it is for NSF rather than NSmen, there is a serious mistake written on the Channel News Asia website which is quite misleading for NSmen.

Definition:

NSF: Singapore Man / Permanent Residence who are currently serving their National Service

NSmen: Who are operational ready, in other words, completed their 2 years of National Service.

Image result for POSB launches savings programme for national servicemen

So this program is really good for NSF to save their monthly allowance so that they can build their own savings when they are serving their nation. Under this programme, NSF will get an interest rate of 2 per cent per annum on their monthly contribution to their saving account for the entire duration of their full time national service period.

Below is the diagram for NSF saving programme



My opinion:

For those who are not financial savvy or don't want to take risk in investment, this will definitely be a good tool for you to grow your savings. However, do take note that only your monthly NS contribution will be taken into account for the 2% growth, other than that, it will not be counted in the 2% interest. 

It will be great for officers who are getting huge allowance as they can contribute more to their saving account to earn 2% per year. Let's say if an officer contributes (after expenses) $900 per month, which gives around over $2,000 worth of interest. Of course, for the others, you can still save and earn interest from this programme. So it is certainly a win-win situation whereby it helps you grow your wealth when you are serving your nation.

This is certainly NOT for NSman!

Special Discovery During the Trip Across The Border - (Part 1)

Hi Everyone,

Last weekend, my fiancee and I decided to go across the border to spend our Saturday in order to enjoy ourselves after our busy schedule during the weekdays. Of course, it was also our Monthsary hence we did a mini celebration there.


So, with that said, the place that we went to is none other than Malaysia (Johor Bahru), City Square. We went there frequently to shop, eat and watch movie (as well as wedding shoot). Many would say that things in JB is certainly cheaper than in Singapore, well this I have to agree. However, the things that I am going to share here are the things that wortg sharing.

Without further ado, I will start with my list of discoveries right now!

1. Kam Long Curry Fish Head

 

Kam Long Curry Fish head is one of the best curry fish head that I have ever ate, other than the affordable price for just around RM45 (for medium fish tail curry, as fish tail has more meat compared to fish head), so when we convert in to Singapore currency, it is just SGD$15, and this include drinks as well, the food is tasty!


When you go to the shop during the weekend, I can assure you that you will see people queuing up just to eat their curry fish head/tail!. The picture above is the curry fish tail that my fiancee and I went to eat whenever we go to JB. The curry is certainly delicious and the fish is soft and tender, coupled with the price, this is one of the thing that you should to try.

Address: GPS: 1.459398, 103.764758, 74, Jalan Wong Ah Fook, Bandar Johor Bahru, 80000 Johor Bahru, Johor, Malaysia

2. Cheese Tart (Season)

Just last Saturday, my fiancee noticed that the bakery shop (Season, in JB City Square), sells cheese tart. We were wondering if the taste will be the same as the one in Singapore ion (Hokkaido Baked Cheese Tart), which is pretty famous in Singapore. There is always a long queue and one person can only purchase 12 cheese tarts at one time. http://www.straitstimes.com/lifestyle/long-queues-and-a-two-hour-wait-for-hokkaidos-bake-cheese-tarts



So we decided to try the cheese tart in Season, which cost RM3.50 per tart and 5 tarts for RM14. It is really cheaper than the one that is sold in Singapore ion ($3.50 each and $19.50 for 6). So if you do a calculation, the price is nearly triple of what it sold in Singapore. In other words, if you buy one cheese tart in Singapore, you can buy three in Malaysia!


So when we tried it, it tasted similar to what we ate in Singapore ion! (My fiancee is good at picking up the tasting quality of food, so I trust her view) Before we left JB, we purchased 2 boxes of tarts (one box for each of us, so that we can let our family have a taste of the cheese tart). If you happen to be in JB City Square, do try their Cheese tart. You can purchase one Cheese tart to try first before making the decision of whether to buy more for consumption, since one cheese tart only costs RM3.50 (No harm trying. Is quite cost saving as well if you have craving for Cheese Tart).


3. Uniqlo Winter Jacket


We have decided on our honeymoon trip to Korea, most probably in February 2017(next year). Hence, We would need to get ready for the winter (peak, which means very cold). I managed to get a Uniqlo Ultra Light Down jacket for just RM149, which is around $50 (In Singapore, it would probably cost $79.90). This is a rather good deal, but we have yet to test if the jacket can withstand the cold weather in Korea. The reason for such price is because of Father's Day discount. Thus, if you happen to pass by JB this weekend, maybe you can still get this cheap deal!


4. Acuvue Contact Lens - From OPPA Store


My fiancee wears contact lens on the weekends when going out with me. So every 2 months, she will need to buy a new box of contact lens. On last Saturday, my fiancee bought 4 box of Acuvue contact lens for RM440 (with 6 pair of contact lens for free). We did a search on the internet, we found that Singapore is selling at SGD$238 (which is around RM700). With the saving of around RM260 coupled with 6 pair of contact lens for free, it is really a good deal! Cost savings!




5. Movie Tickets

Cathay Cinema is the cinema in JB City Square, and the price of the ticket is quite cheap (RM36 for two tickets!), this will translate to SGD$12 for two weekend tickets. You probably can't get movie ticket with such a price in Singapore unless there is some promotion going on (Like M1 one for one promotion on Sunday - Shaw Cinema). So whenever there is a new movie, we always go to JB to watch, unless we were busy, then we will drop by Shaw on Sunday to watch movie instead since we are M1 users.



There is ONE more thing that you need to take note of

Do remember, when you purchase anything in JB City Square, do keep the receipt, because sometimes, it will have some events whereby if you spend more than certain amount (by showing them the receipt), you can redeem some reward from them.

One of the things that I got on last Saturday, it is a limited edition justic league mini cup.





Do share with me if you have any discoveries of cost savings ways without sacrificing the quality of the food and stuff. So do share with us by writing down in the comment below!

Sunday, June 19, 2016

Captain America Civil War Comparison on Managing Your Finances By Yourself or By Others?

Hi Everyone!

Today's topic is about whether to manage the money by yourself or by others (third party agents) in order to grow your savings. I am taking reference to Captain America Civil War because this topic is quite similar to what this topic is about.


Managing the Money By Yourself (Captain America Team) VS Other Parties Managing Your Money (Ironman Team)

Both have their good and bad, however, it is really up to the individual to really know what they want to do with their money and their comfort level in managing their own money. There is certainly no right or wrong answer but lets have these two options battle it out like in Civil War!


We will take a look at these few points in order to see which side you want to be on!

1. Control Your Own Finances - Team Captain Win in My Opinion


captain america iron man chris evans civil war

Just like in civil war, whether to let third party to control your power, in this case, your finances. If you control the finance by yourself, you can take control of it and make any decision based on your own views. However, with the control of third parties (like fund managers, CPF or even ILP), you don't need to worry about allocation but just pay your monthly payment to these third parties in order for them to manage it for you. 

Certainly, third parties agenda can changed, at first they can tell you that they will help you to manage your money well and they will be 24/7 on call. However, when they left the companies, they might not picked up your call anymore since other agents will have taken over you case (which they don't really even bother about it since they didn't earn much from you anyway).


2. Financial Knowledge - Draw

This really drives down to individuals whereby are you capable in making money through investment or will destroy your own savings due to lack of knowledge.

Like iron man has mention, leaving to the capable man, they will restrict us to go wild and cause devastation to others (others can refer to your family and friends whereby you can cause burden to them especially if you burn your savings)

Of course as captain america has said, what if their decision is wrong and we cannot do anything about it? This will mean that we will also lose money if we follow the wrong person.

So in this case, really have to weight the importance of who to follow or not following anyone at all


3. Payable Fees - Draw

If we follow team iron man and allow third parties to manage our money, will they make sufficient money for us in order to justify for the commission they get? Well, this is really a tough question because nothing is certain and your agent might not stay with you through your entire plan that you have committed.

So does this fee really justified for agents to earn? Or should you managed your own money and everything you will be account for your own decision that you made. It is really hard to measure to see which side win


4. Investment Returns - Team Iron Man Wins in My Opinion


trailer civil war captain america civil war

If you look carefully, thing like CPF is manage by government and STI ETF are manage by fund managers and they are pretty attractive to low risk investors because of their stability and consistent returns. However if you manage by yourself, you might risk of losing money in bear market. There are many instances whereby people go bankrupt when they are managing their own finances.

So if we look carefully, funds control by third parties can be relatively safe from burning yourself.


So these are some of the points that I have in mind when it comes to this topic. So which side will you choose? Manage the money by yourself (captain america team), or manage your money by third parties (iron man team)



Which side would you choose?


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