Who Wants to be A Millionaire
The headline that caught my attention this week:
The FP’s estimate that a person needs about 1.4 to 2.8 million to retire comfortably at 55.
Well well isn’t that a big number. Of course to the HNW (High Net Worth) individuals this is a meager sum. But to the majority of the populous the FP’S have a valid projection- with inflation, higher cost of medical care, and if you’ve got kids- then education, and the other miscellaneous expenses can add up to quite a lot.
One of the FP’s projected that in 2026 RM1.4 million is RM639,000 today..anyone ok with less purchasing power?
You can’t just count on your EPF. Cos if you retire at 55 with say RM500,000 in your EPF- minus the mortgages, expenses- and another say 20 years to live will RM500,000 be enough? So the FP’s advice is good financial planning- you don’t need to hear it from them- my parents taught me bout savings and prudence since I was a kid. Bet your folks did too. How much of that which I put to practice well that’s a different story. wink
But I can be proud that I have “forced savings”-monthly deductions from my salary to a savings account (pat pat on the back hihi).
It’s the only way I can save- I can’t trust myself to go to the bank and debit an amount every month- I’d get tempted and highly likely will end up just spending it all! So force save la.
And I do have my eyes and thoughts on doing something on my own- the appeal of autonomy and owning a business is just very appealing- so watch that space.
The need to live comfortably or maintain the lifestyle you have now (especially if it’s one of extreme comfort) would be the preference of majority of people.
There’s this subtle stereotyping that people who seek material wealth are stamped as materialistic- I think that’s silly. Though of course if you are at the extreme of loving money and living for it then yes you are MATERIALISTIC.
But while I believe that money isn’t everything I admit that it is a means to a lot of things. So for me the best diet for my purse is to save some + splurge some. After all it is about finding the perfect balance.
