GeoLee - y U "kek sim" ar? U've got 3 houses, 2 of which i "ass u me" (my apologies if i'm mistaken) is making U cash flow $ from rental.
Other than that - your other ratios are not in healthy shape IMHO (just an opinion). Spend less, pay off them Credit Card debt & build up yr cash savings as emergency buffer of at least 3 months average expenses. Then you'll have a good base to grow - especially when U have 2 properties making U $.

FYI - my own $ management for Net Salary (excluding all other income - all other income straight recycle into assets)
10% for Feel Good (charity, fun for self / others)
10% for emergency buffer (until built-up 6 months average expenses, then add to investment)
10% for investment
10% for education (books, classes, my child's SSPN)
10% for accumulation for future specific spending (ie. that changgih LED TV i've been eyeing)
50% for necessities

Mind U, before this, i was like nearly everyone else focussing on making $, not managing $ + making $.
Wasn't doing as well now and mind U, i've "just" (3 years ago) went through one of the bloodiest (in terms of bleeding $) times of anyone's life and lost more than 50% of my net worth.

Keep cost low + make more $ = double whammy of asset building

I was just about to ask the same as i couldnt really absorb how... maybe i'm just thick.

RZKB, i really can't make heads/tails of your net worth (again i'm a bit slow ) unless i plonk down your data in a net worth spreadsheet, especially when your net salary should be about $4K pm + net rental income of about $1K, yet your monthly commitments are like.. whoa.

In addition, I understand U took a loan from BoP (Bank of Papa ) to invest in high yielding stuff - 30% per annum returns?! Looks like U are the dude that have to be sharing/teaching us these leh If one cant sustain a 30%pa returns year to year consistently, then one can beat even the Oracle of Omaha (i hope i got Buffet's nickname correct)

Bottom line, something just doesn't tally and your D/E (debt to equity ratio) looks really lopsided (ie. highly geared/leverage) as yr cash flow seems to backed by that 30% pa returns. Well, if BoP stands firmly behind U, i don't think it's an issue but.... Murphy may have his ways.

Perhaps later i'll crunch your numbers via a spreadsheet mate, still running with some stuff.

This post has been edited by wongmunkeong: Jun 6 2011, 11:30 AM

Perhaps your net worth % is tied too much to 1 asset category AND sub-category. What are your EXIT rules or plans for this stock that has a huge impact on your net worth? I do hope U do have some in hand

This post has been edited by wongmunkeong: Jun 6 2011, 09:52 AM

Good karma / fate / etc. gua.

Oh well, this lemming's gotta go back to work.. i owe, i owe, off to work i go.. (to the tune of the 7 dwarves' hi ho, hi ho)

Different people, different circumstances. The main thing is to plan and do the best we can for ourselves, based on our needs, wants and principals right?
Or just keep "keeping up with the Joneses" and be green eyed?

Well, if i was a dumbass teenager, i'd agree but i guess that most people that have reached the MINDSET of maturity keeps improving themselves for bigger reasons other than that. Then again, that's just my opinion, a lemming's point of view

Which is more important - The economy of the country/world OR your personal economy?
Bye bye Joneses (and they can keep their consumer debts, i aint going to follow them)

This post has been edited by wongmunkeong: Jun 10 2011, 04:00 PM

Er.. ppl earning $3K gets overtime? Nice.... which Company ar? I'd like to work with them heheh.

In about 8 companies i've been with (from MNCs to Chinamen Co. to DotComs), once yr basic is >=$1.5Kpm, U eat yrself for OT. Maybe lunch/dinner $ lar, which is like $10 to $50, depending on level and company.

Maybe to some (not all) Gen Y'ers, it's technically accounting accurate mar +ve savings but for general cow sense, it's -ve coz bank of papa & mama is invisibly keeping him afloat, else koyak already.

The good thing is the forumer knows he's in deep kaka and tries to do something about it. Perhaps instead of asking for help in investing, what he should be doing is simplifying his life and cut down expenses

---

Added on July 28, 2011, 7:02 amBro, thank U for reminding me that the world aint that small. I'm sure well connected peons/bankrupts have millions of $ too but they arent the norm lar .

This post has been edited by wongmunkeong: Jul 28 2011, 07:03 AM

Great minds think alike - I buy 5 copies to distribute yearly to relatives,friends & colleagues Buy them during sales and stuff - only about $10 to $19. The simplified (can be tweaked a bit better imho) of 6 buckets for managing $ is a great base to build from.

hm... great minds think alike.. fools flock together.. whoa.. fine difference

Already did since 2008 - hard as nails to live on 50% of net salary... heheh. However, as U get used to it and simplify, U get a tremendous turbo boost in net worth coz necessities cost down, while increasing income. Simple biz logic

Nice details, although i'm no seafood, may i take a stab at this?


This post has been edited by wongmunkeong: Sep 2 2011, 02:22 PM

Take a stab at analyzing your data, in my own point of view lar . Forum mar - share ideas / point of view. My apologies if i'm intruding yar.

Hm.. -ve rental (ie. rental pm < mortgage pm) of RM1,500? That knocks down your monthly cash flow, which the lowest to be about $3K+.
Hehheh - phew, scary leverage in my opinion. Thus, i stay a working lemming

Overall, looks good net worth for a 28 yr old. Just watch out on your D/E leverage which needs good cash flow to support in case of hiccups.
Just an opinion - U may want to stash / asset allocate some % of your assets to bonds / bond funds IF U don't pay yrself EPF.

Milan? who's that?
Joking joking.

This post has been edited by wongmunkeong: Sep 2 2011, 02:34 PM

Bro - you're a man with a plan - one who can't be stopped, it's just a matter of time before U reach your minor & major goals

Yup yup - best customers are PARTNERS IN GROWTH. Win win
other than that, er.. WHO becomes a bit grey/shady Ninja-dozo!

You're right - insurance is a no-win game, it's just coverage UNLESS you're looking to shield a sum from creditors for family to inherit

When U reach $0 insurance needed, in reality, U'd be "in-sourcing" the insurance, ie. self-insured
My aim too heheh but for now, i still need DEATH (no, not life ) insurance & Hospitalization insurance just in case , to cover properties & self until all paid-up and i can more than afford to go zzz in a hospital (choi choi)

As for Mutual funds... U may want to look at bond funds bro.
IMHO, you're on the right track for Asset Allocation - Equities : Properties : Fixed Income
You've got your businesses (Equities), U got your properties, now.. Fixed Income (EPF, Bonds, Money Market, FDs).
Just a thought

This post has been edited by wongmunkeong: Sep 2 2011, 03:54 PM

not as high as can be bro (hitting 40s soon) due to:
a. younger & dumber days activities
b. divorce.. yeouch! effectively more than 60% gone there due to pay out & rebuilding a new home for myself & my little girl
c. worker ant / lemming

Worried "someone" (no, NOT ah longs - worse) is looking here as i used my real name (and try pressing me for more) , thus, if i may give U an idea (but not exact figures) + percentages of asset allocation

a. My current net worth is less than yours if U keep growing it at such rate until U reach my current age
Assuming U've been in biz for 5 years to create your net worth posted earlier, U'll definitely reach my current net worth by the time you're 38
If U've been in biz for less than 5 years (say 1 to 3), holy smokes - U'll cross my current net worth in about 5 to 6 years.

b. Aim to hit >$3M in real assets (ie. excluding cars, furniture, etc.) by the time i chose to retire - achievable all else being samey samey (ie. markets up/down, no pay increase, no bonus increase, nada).
Lala-land Aim: to hit >$6M and leave at least $3M to charities and family.

c. Asset Allocation held currently.
Pls note that this is NOT my planned allocation - i allocated resources to buy assets via VALUE (buy good Companies' stocks during fear) or PROGRAMMATIC (every quarter using DollarCost + ValueCost averaging) but somehow it's all stuck in bonds & FD since mid 2010 .
Thank God since now it's a dip - mega sales coming soon.


If U want more details and discussions (i'm all ears to learn from a biz person's perspective - btw, i'm also in the systems and solutions line BUT auto industry - worker mar), "private message" me .

This post has been edited by wongmunkeong: Sep 2 2011, 07:31 PM

Dont lar sis Debbie - dangerous lar putting in ACTUAL numbers here, especially when i have "someone" looking to press me for more

Anyways, back to biz - i think the sample of Asset Allocation tracking + Asset Allocation based on methodology used tracking is more important, a good example of "one view" can see one's risk exposure if sh** hits the fan

This post has been edited by wongmunkeong: Sep 2 2011, 08:13 PM

Hehehe - rough figure also my antagonist may use against me leh

Anyways, 2nd paragraph = if U look at the snapshot JPG attached in my reply to bro's Q, U'd see a simple one-view to know:
a. Asset allocation held
b. Amount & % of assets invested with what Methodologies used
c. Risk (due to entry/exit methodologies) if market goes down

Just thought it'd be a useful point of view - something like a "management cockpit". Yeah yeah - i'm an IT guy

Bottomline: YES achievable for both RM1M for children's education
AND your retirement
AND added bonus of having something to give back to society & your children's future generation
EVEN WITHOUT additional savings & additional investments (other than re-investing)
Caveat: Assuming (yes, THAT word again ) that the %pa of expected growth/returns & average inflation %pa i used is close enough.

Details and for your own "cooking" of numbers, growth/returns %pa & inflation %pa, see attached
Normal disclaimers apply: Use at your own risk

And yes, i concur with your perception of our local edutainment.. oops, i mean education
In addition, giving our children options and experiences overseas is good if one can afford to without killing oneself - which U obviously can

This post has been edited by wongmunkeong: Sep 5 2011, 09:58 AM


Attached File(s)
 Children_s_Education___Self_Retirement.zip ( 9.96k ) Number of downloads: 23

On this idea (migration then education), just to share what i read over the weekend on Australia (AU)migration:
1. To qualify for migration based on retired investor: minimum AUD750,000 investments in AU
+ need to proof monthly income (when in AU) of AUDx,xxx per month
2. Ppl migrating via such method are not entitled to "free"/gov sponsored health care
3. Processing fee for "consultants" RM40K to RM50K

Mind U, i was flipping through and EXACT details may be off a bit

There are of course other methods of migration to AU (too detailed to post here) - U can read it in this month's Personal Money magazine if i'm not mistaken on the source (read too many donkey stuff over the weekend since my little girl was away with her mother )