REIT-TIREMENT - REIT Investing and Personal Finance

A blog about REIT investment and personal finance

Monday, February 24, 2020

Responses I've Gotten when Talking about Personal Finance Topic

Recently, I come across a blog call The Kiam Siap Life (TKSL for short), I found that they mentioned about "The issues with Millennials nowadays" under their About page resonate with me. I've do a quick check and found that I am 1 of the Milliennials; I've always think that I am in Gen X group.
As per year group defined by Wikipedia

The issue that TKSL mentioned not only applicable to Millennials, but also applicable to other age group. Most of the time when I started the topic about personal finance, people will take me as a weirdo. Throughout the year, I have learnt that not to start this topic unless someone started it. And I would stop when I found they are not focusing or listening. Below are the common responses I always get:

Saving:
- How to save more? salary very low.
- I will start saving next month. (which few months has passed)
- I have already save a lot, so it is okay that my saving not growing.
- I work so hard, how can I not spend to release stress and enjoy life.
- I am still young, must enjoy now, I have a lot of time to save later.

Investing:
- Not enough money to save also, how to invest.
- I already have an investment, in Invest-Link-Policy (ILP).
- Investing won't make money one, most people lose money.
- No time to study investment.
- I will start invest next year. (which few years has passed)

Retirement:
- I am still young and too early for retirement planning.
- I will retire when I win TOTO, got buy got hope, no buy no hope.
- Live in Singapore can't afford to retire, I will work until I die.
- Isn't CPF enough for retirement ?

Insurance:
- I never buy because premium very expensive.
- I never buy because money not enough.
- Isn't our company (employer) already buy for us ?

Estate Planning:
- I have not much asset, so no planing is required.
- I don't know how to start will planning.
- Lawyers charge high fee.

Are they really have "not enough money" and "not enough time" ? I wouldn't know. But I do notice their lifestyle as below:
i) Holiday
Generally 1 short distance and 1 long distance per year. I have met one who have 2 long distance and 1 short distance trips per year. He said must enjoy during young time and without kids.

ii) Dining/ Drinking 
Share out pictures of nice dining at restaurant or coffee/tea time at cafeteria in social network profile. Or spend on clubbing.

iii) Car
Own a car, even when it is not required for work or family special need.

iv) Child Enrichment Class
Spend more than S$500-S$600 per kid, I bet you have also heard those above S$1,000 per kid.

I have met a guy who spend majority of household income in Executive Condo, simply because his wife's dream is to stay in Condo. He mentioned that although they can "afford" it but they have "just nice" every month. Oh my god, now I remember that my wife has a dream of staying in 3 storey bungalow with swimming pool and Jacuzzi.
My dream is "my wife forget about her dream"
I believe it boiled to one's mindset, whether to live YOLO or delayed gratification. Of course, it is important to do things that we love, but there ought to be a balance. Both saving and investing are important steps to our retirement. We have a finite years to work for income, why not start saving and investing early to take advantage of compounding effect. If we invest in dividend stocks, those dividend could be used to buy things we love, in a way it is free.
Enjoy now or later ? 

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