If you have seen the header, yes you are right. I am going to clone myself to work towards my financial freedom. Am I going to create a machine or create a medicine yo do that? No.
In fact many of us has try to clone ourselves to work towards financial freedom which is to investing and collecting dividends.
Cloning is just another way of saying that. So now you might want to leave the post as this post is nothing more than just a passive income post. If you are those who are able to achieve financial freedom, then yes this post is not much for you. However, those who have difficulty in saving money or investment, please take a look at this post as it might help you in the future
Why I say I am cloning myself? Simple, by investing or saving, you are like investing in yourself. However, many people might not think that saving and investing is enough which is why they tend to overspend on luxury goods and services to treat yourself better as a reward.
Yes that is a valid investment as well. But in order to achieve financial freedom fast, you must not think of it this way. Try to think that you are raising your another self to work for you. By raising your another self, you would need to spend time and money on him before he can go work and earn money for you.
Same concept as how you raise your kid. So treat this clone as your child, your child will need lots of expenses like diaper, milk, clothing and etc. So give all these to your clone via money and saving. Actually we already have a clone called CPF. This clone will help you when you are at your retire age by giving you a monthly allowance to you for spending when you are old.
So technically one clone is already there for you so now you can make yourself another clone to work for you if you wish to retire early.
This is a rushed post but just want to share with all that by using another way you can make yourself save more and invest more. Hope you like this post!
In today's blog I will be talking about my personal experience in Owning a Private property
Owning a property in Singapore is expensive but it is necessary be it a HDB or private property because you will need a home to stay in. So come at times you will be facing a decision when it comes to purchase a property.
I have been through lots of question from my family, friends and online commenters that why I go for private property instead of HDB. Certainly HDB will be better for the start because it is cheaper and have tons of grants that you can apply for. Of course the resale value might be higher if you manage to BTO a superb location.
So why? The reason is because my wife already had a condo before we got married. So with this, it leads us to three options, HDB resale, private property resale and private property launch.
For first option, if we go for HDB resale, we will not be able to get any grant due to possession of private property and we have to dispose the private property within 6 months after purchase. During that time we are unsure whether if we can sell away the property and it will be a gamble as the market is not that good at that point of time. So we skip this option.
Second option, we tried to research and find out the possible price for a resale condo, but the price are quite steep during the time when we first searching for private property. The reason is because we will need to fork out around 24% (including lawyer fee and other miscellaneous fees) in order to make the purchase. At that point of time I don't have that huge amount of savings yet.
Then we go for the third option, purchase a private property at sales launch (meaning brand new condo). We though it will be cheaper like high Park residence but in actual fact, it wasn't that case. It was very expensive and the psf was way too high. Don't really justify our money so we look around and wait for bukot batok condo launch. And yes, finally it launch but the price was also way too high. At that time we are still aiming for 600+ square feet condo as it still within our budget but sad to say we didn't get to purchase it cause it is due to balloting. Totally no luck.
So we look around for both sales launch and resale and finally have found somewhere but and cheap but of course if you have these two, you will need to sacrifice one parameter which is the location. So we bought that place and pay the necessary for the purchase.
Understand that many would think that this is it! The payment is done and everything will go well. Well that is not true. Must plan well before you purchase property especially private property. Cause other than the common monthly installments that you have to pay (similar to HDB), you will need to pay maintenance fee as well. That will amount to around $250 to $500 per month, depending on which condo you stay. Also the maintenance fee also depending on the size of your unit. For example, the maintenance fee for 1 bedroom will be lower than the maintenance fee for 3 bedroom within the same project.
Of course the good point is that you have all the facilities free (except booking of function room and etc. That you might need to pay a small fee. But still better than renting a place outside as renting a place outside for function event can cost a bomb. So overall still worth it.
That's all for the post of you need me to clarify or share some more information about .do let me know
This year is indeed a fruitful year for me as the reader might know, i have made a huge purchase last year November 2017 and start living at my own house in Feb 2018 (right before Chinese New Year, after renovation).
So technically speaking, I have $0 saving (excluding CPF SA and MA) as I have put down all my savings in the home purchase, renovation and furniture. Also, going through $0 savings and no portfolio is like a huge miss of opportunity to earn passive income through dividends but the purchase is worth it.
If you didnt read my history post, I made a private property purchase (2 bedroom condo). I will write down the experience in owning a condo in my very next post so that those who had intention to make a condo purchase, can take my experience into consideration if you keen to purchase.
Born in 1988, which means that I am 30 years old this year! 30 years old with $0 savings in February is like lagging too much behind from my peers and you the readers who have started your retirement journey be it saving in bank, Singapore Saving Bond or even shares.
Okay, here's the thing, after 10 months of savings below is my rough result of my saving for this past 10 months
Cash portion Personal Cash/Saving: $4000 Saving from joint account (I am the contributor only) in bank account: $20000 SSB: $10000 Shares: $5,350+($1990 - reserved for investment) - $7300
CPF Portion OA - $5300 SA - $27800 MA - $32200
Well based on my goal in my personal goal page, I did not do quite well as I did not met some of the target like opening kids account and etc. Of course, the kids account I will do it when we are going for kids, should be around 1 or 2 years!
Just to share, I have been moving my OA to SA in order to gain more interest. Also my SA interest hits $1000!! Which is a good thing as now i can safely say that my future SA interest will be more than $1000. So how much have i been transferring? I have transferred around $6000 from OA to SA. Not a lot but for me i am trying to maintain my OA at around a certain level to pay for my housing loan.
Passive income, I will not cover for this year as it is not a complete year for me since i am still building my wealth from scratch and did not invest or getting passive income in the full year, so will start the calculation in 2019.
However, based on my goal, I have not met the passive income portion of hitting $800 for the year 2018. Next year it will be different, I have update my goals in my personal goal page and for those who are in the process of accumulating wealth (aiming for $100K challenge) do drop me a note on your blog so that we can keep track of each other. Challenge is always fun right?
So my goal is to hit $100K in cash portion (includes, cash, shares, FD, bonds and etc.) and hit CPF of $100K as well (should not be an issue though)
See you guys in the next post (experience of owning a private property)
Yes I am rather inactive in my blog as I am seeking for a new job and job hunting is really tough. Am I jobless? Certainly not. I am still working at my current company just that I am seeking for a change in environment and industry to proof my experience to be relavent and at the same time to expose myself into different environment for valuable experience.
Okay! Back to the topic. My personal portfolio, yes I do mention in my previous post that I am starting from 0 and now I have near to $7,500 in my portfolio. Well it's not much but I am still growing. So below is my humble portfolio
Expected dividend yield for next year would be around 6% so Expected dividend for next year would be around $440 per year for next year 2019. Though is just a small amount but I am working hard at it to push it further to at least $500 dividend next year with my bonus coming in. Shall see how it goes and see if I can reach my target for this coming year See you guys next time!
From hero to zero, three years ago I started my saving journey for my wedding and purchasing my very first property and today I have accomplished these goals that I have set for myself. I am really happy living together with my Wife (but not ready for hold Ren yet as we are working towards our financial goal first before having our first kid)
You might be wondering why hero to zero? The reason is very simple, previously I have set my 150k goal which has the sole purpose of purchasing my first property and for my wedding. Now, all these are accomplished so it will also mean that my saving have gone down from high to nearly nothing. Yes, you might say that it is too risky to deplete all your savings just to purchase property, should have waited for one year or so before purchasing so that you will have some emergency fund. Truly agree, but I still go ahead and purchase since I want to have my own nest and also children in the near future, so decided to purchase it
So now I am Low level hero, what now? In life there is no shortcut, so deal with it, start from scratch, both my cpf and my cash savings are similar to fresh grad (maybe I win them through my SA account and MA account).
Because I have a shared account with my Wife and most of my savings is there however this is an individual goal that I laid for myself, I shall exclude the shared account and only focus on mine personal 私房钱, and share some of my goal by end of this year, 3 years later and 5 years later.
It been 5 months and my own personal saving/ investment has hit $7,000. Most of my cash is in shares and is in pool of red except for one so by the end of this year, I target myself to save at least $12,000 in shares and $2,000 cash. Not sure if I can hit the target but if possible I shall go for it (why set a lower target with no challenge right)
How about 3 years later? If the saving trend is stable, I shall hit $36,000 in shares and $6,000 in savings but no, shall go for a bit higher, $42,000 in shares and $8,000 saving. With $42,000 and yearly returns of dividends of 5.5%, I should be able to reinvest another $2,000.
How about 5 years later? If everything is stable, should be able to hit $60,000 in shares and $10,000 in cash. That's too little for a target, I shall aim for $80,000 shares and $10,000 cash. This will give me a rough return of investment per year of around $5,000. I won't touch the dividends portion for personal use, only for re-investment. Because that's the way for me to grow my passive income in a shortest way. With this plan, by 40 years old (10 years from now) I should be able to hit at least $180,000 in shares alone. Which gives me the yearly return of around $9,900 per year. But of course, stock market isn't simple math, there are ups and down so constantly have to re-adjust my portfolio if required.
Do you have the same goal as me? Or don't have goal yet? Can leave a comment below if wish to do the same monitoring and see if we can compete with each other to see who can reach our goal earlier. Winning or losing doesn't matter, the most important thing for this proposal of tracking each other is to motivate oneself to Ensure that you don't derail from your own goal. Is a health competition. Thank you for reading!
Hi everyone, it seems that my savings website is currently down due to unknown reason. Could be because it is a free platform and they decided to take it down Since the human traffic isn't that much. Well is okay, I am looking at some other expenses tracking Apps which can do the same job and if found, I will post the Apps information here and will do the same thing as what I have done previously (taking the screenshot of my updates and post it here)
If you follow my post, you should know that I have recently bought a condo and spend a Sum of money on renovation. So now basically my savings is equal to those who just start working without much savings. But well that was 4 months ago but now I have slowly build my own saving and turn back to stock market to invest in dividends shares. At the end of this month I will provide a update on my progress and do keep a look out at my goals page to see if I am able to hit any of the goal by the end of this year. Thanks for reading!