You are doing alot better than me! Can you teach me how you managed to settle your 2 biggest debts (House and Car) at a very young age? I have like 28 yrs to go for my house..

Boss check and see whether I can retire earlier in 10yrs + time, coz need to take care of aging parents by then.

AFISH - This is my practise

1st priority go for ASN, Wawasan 2020, Sukuk, secure bond etc if can get,

2nd If do not have 1st priority, go for FD every month

3rd Plan to take a personal insurance Public Bank offer with ING - RM57 monthly accept until age 70 (RM57 fix no increment), RM200K insured, hospitalization- RM200 a day max 90 days, ICU - RM400 a day max 30 days, ...Sifu this one ok?

4th -Go for shares during bearish time, sell during bullish time...2013 potential very bad year, potential shares will be affected.. Thinking of getting Public Bank shares as they offered high dividen return..Buy when stock price go low...ok?

5th - House - Plan to take PR1MA if can get, range between RM100K to 400K. I applied for landed double storey hse in Penang island. Let say I go for the Max RM400K. I intend to pay RM200K downpayment.. Borrow RM200K from bank..Repayment should be roughly around RM1K per month right? I rent out my current Condo at RM1300-1400, and move in new landed house. Rental should be able to cover bank installment. The extra RM300-400, I use them pay maintainance fees, etc - dunno got lots of bill one Indah water, Cantik Api, etc. PRIMA condition is must move in and stay 10 years. Ok I move in and stay 10 years. Then I sell the hse.

Current market price I check landed property double storey is RM700-800K in Penang. If PRIMA let me buy at RM400K untung already. I stay 10 yrs, due to inflation - construction bricks, cement, steel allshould increase. After 10 years, let say the hse is value at RM1.4 million, I sell it lo...Untung RM1 million, the RM400K I pay back bank. I do not think need to pay RM400K that much since I borrow RM200K only. I calculate I will only be paying bank RM400K if I pay installment every month for the next 35 years or less right.

Current condo I am staying market value - RM450K, buy cheap during economic crisis 2008. Sell this one too in 10 yrs time, maybe price at that time around RM700K, or else continue renting..

Then I move back hometown Ipoh lower standard of living, better food, take care of parents.

I calculate my total net worth - RM1 million from landed double storey + RM700K from Condo +RM25K savings per year x 10yrs = RM250K + RM50K from the balance after paying back the RM400k in 10 yrs time.

I should have roughly 2 million...Enough to retire?

Follow AFISH formula learnt from old man millionaire that put every penny into savings, either u suffer now early or suffer later when old..

Easy formula ...Let say u grad age 24yrs old. Save RM2k a month, make it easy calculation RM25K a year like me. If cannot earn that much do part time job, OT , etc to make sure u save RM2K Ok..

Your girl friend do the same ..RM2K per month RM25K per year..

I take sukuk - 100% safe as this is not investment, principle is gurantee

First year - RM50K go buy Sukuk gurantee 5% interest - RM2500
2nd year - RM50K go buy Sukuk, Now you have total RM100K, 5% interest - RM5000
3rd year - RM50K go buy Sukuk, Now you have total RM150K, 5% interest - RM7500
4th year - RM50K go buy Sukuk, Now you have total RM200K, 5% interest - RM10,000
5th year - RM50K go buy Sukuk, Now you have total RM250K, 5% interest - RM12,500
6th year - RM50K go buy Sukuk, Now you have total RM300K, 5% interest - RM15,000

Total intrest collected is RM52, 500

RM25k x 2 persons x 6 years = RM300K...Go buy property at age of 30 with the RM300K, take the interest go get married lo..RM50K more than enough ..If not enough save another year + N or else take the interest buy a car ... Cash is king ! Buy hse cash, buy car also cash !

Ask yourself and your gf this question..Do you want to be bank slave for the next 28 years? They vampire suck your bloody hard earn money...Let say u borrow RM200K, pay installment RM1K per month, 70% -RM700 is intrest and 30% - RM300 is paying principal..

I really think suffer 6 yrs and get back the 28 years of suffering is worth a lot...

This post has been edited by AAAABBBB: Jan 2 2013, 08:56 PM

Wahhh, ur very good in managing ur money, how and where to buy sukuk ? I'm 25 y.o. and edi settle down my car & ptptn and waiting for my first property to be completed, my only commitment is just personal loan roughly rm1.5k monthly, currently my investments channelled to asb, tabung haji, sspn and bank rakyat share ...can u advise how to buy sukuk ?

This post has been edited by anz87: Jan 2 2013, 10:55 PM

Amazing.

What about the following items?

* Household consumables, washing power/liquid, toothpaste, shampoo, toilet paper etc?
* Household furnishings, chairs, tables, fans, TV, air-conditioner, washing machine, stove, frying-pans, fridge, etc?
* Clothing, shoes etc?
* Insurance for your medical, apartment, car etc?
* Car maintenance, servicing, tyres?
* Computer/s? How do you access the internet?
* Council rates/assessment?
* Misc like gifts, ang-pows when you are invited to weddings, birthdays, etc?

SUKUK now no more...that time govt offer 2 times only if not mistaken for 2 continous year..Now I think Bank Rakyat FD highest around 4% for keeping 1 year..

since u bumi ..ASB should be ok return 7% or more..


Amazing.

What about the following items?

* Household consumables, washing power/liquid, toothpaste, shampoo, toilet paper etc? Buy cheap cheap one from China, buy and stock up a lot during sales..
* Household furnishings, chairs, tables, fans, TV, air-conditioner, washing machine, stove, frying-pans, fridge, etc? Buy during warehouse clearance..If can live without live without it..or buy 1 piece at a time....Poor ppl do like this ma,,
* Clothing, shoes etc? Wear cheap cheap one...No branded...I wear till got holes, tampal here and there...
* Insurance for your medical, apartment, car etc? Work la OT, or do part time job - baby sitting, wash car, walk the dog, marketing research CATI, etc
* Car maintenance, servicing, tyres? Work la OT, or do part time job - baby sitting, wash car, walk the dog, marketing research CATI, repair computer, etc
* Computer/s? How do you access the internet? Streamyx RM88 student package 4MB, free netbook given by TM
* Council rates/assessment? this is what I mention the dunno what bill what bill - Indah water, cantik api, etc..Always pay all bills first, never owe anything as the interest can kill u..Then if u notice remaining cannot save RM2K per month, you work harder
* Misc like gifts, ang-pows when you are invited to weddings, birthdays, etc? Work harder lo...

Work harder/OT etc, yes, that's part of your TOTAL income. But that's not my point.

My point is when you add all those things up, they will TOTAL more than the "I just spend RM800+ a month" you mentioned previously. In other words, your TOTAL expenditure is more than RM800+.

In fact, your TOTAL income would be more than what you mentioned too.

Just do not give too many excuse and mention it is impossible to do saving RM2K a month...It is all about discipline..If u think u can u can..

sikit-sikit lama lama jadi bukit..

I just sharing a method of getting rid of liabilities that work for me, if it does not works for others do take note I am not getting any profit or asking u buy anything from me...I just provide some guideline how to be free from house loan and car loan.

Internet: RM88 - Fix need to pay RM88 per month..
Utilities - RM100 (Electricity + water) Not fix..My electricity around RM70+ and water bill RM5.. i put extra coz sometimes got relatives come over stay bill increase a bit..
Apartment maintainance fees - RM150 ( I usually paid in advance quarterly coz I hate go every month pay)..Fix ...I pay in advance..So if no money I work harder..
Petrol: 150.. Not fix...1 week I pump RM30 ..still got left over one..so RM30x 4 weeks = RM120 normally I pump..I calculate 5 weeks coz some month got extra 1 week..
Phone credit: Digi Prepaid balance RM650+, super long talk time.. I think cannot finish credit, I seldom reload....
Food: 400 .. I do not eat RM10 a day..Company got subsidi RM50 per month some more..Breakfast I usually skip, lunch - RM3.50, dinner - RM4.00.. so roughly I pay around RM225.. I put RM400 coz need to eat KFC, RM30 angpow money for wedding, or stuff like that..understand la..
Car loan: No (settle) - BLM
House loan : No (settle) - Living in Condo
Education loan: No (settle)- PTPTN
Credit Card: No
Personal loan: No

so just ignore how much I spend..the important point here is no matter what happen must save RM2K per month...so I put work harder lo to achieve RM25K savings per year.

Salary do increase 2-3% per year, whatever can cut just cut...then can do lo..sometimes do get company profit sharing, shares, bonus, etc those extra income can use for buy the small small things essentials necessity..I use those pay maintainance fees for my condo in advance per quarter..


Read this story Ah Kau, I like the most...

A newspaper seller can drive a Benz, where a finance executive get lay off and still owe a lot of bank loan, car loan, etc

http://www.skorcareer.com/malaysia-eng/ent.../ahkaustory.htm

Read this too.. This is good advise
http://www.wikihow.com/Save-Money


Since u guys wants to know how to make money? partime? Aiya I give u a link lo....Partime photographer for friends wedding also can make money get paid,
http://www.wikihow.com/Make-Money

---

Added on January 3, 2013, 9:31 pmThe Sukuk that I purchased RM50K is this one..
http://www.bnm.gov.my/index.php?ch=en_ssr&..._ssk_all&ac=671

The other Sukuk 1 Malaysia I buy another RM50K us this one..
http://www.bnm.gov.my/index.php?ch=255&pg=816&ac=840

Today I got talk to a Colleague, mention to me old aparment near his place near Bukit Jambul Complex Penang 800sqft price around RM160K..He few years ago buy at RM100K

so if u and gf cannot save RM50K a year but can save RM25K a year, after 6 yrs time, you should have around RM150K, and plus the interest u should be able to get a 2nd hand apartment at RM160K and still some money to buy a local car or 2nd hand car.

---

Added on January 3, 2013, 10:21 pmI think the RM2k per month saving not that hard...my younger brother working govt - teacher in kl primary school also able to do this savings..just start teaching only

Salary: 2700 (after deduct EPF + Sosco)

Internet: Digi - RM30
Room rental - RM250 include Electricity + water
Petrol: 150
Phone credit: RM100 for 3 months.. Digi prepaid.so RM33.33 a month
Food: 300

he also roughly la spend RM800 per month

This post has been edited by AAAABBBB: Jan 3 2013, 10:21 PM

Huh? Who's giving excuses?

I'm talking about basic accounting here, total INCOME minus total EXPENSES = total SAVINGS. If you buy other things, and not include them in RM800+, it is not your total expenses, so that's inaccurate information.

In terms of income, working adults should leave "baby sitting, wash car, walk the dog" to those students who are still in school, and find a "Work smarter, not harder" approach. But hey, if you want to work harder, it's up to each individual.

This post has been edited by howszat: Jan 3 2013, 10:41 PM

AAAABBBB is one of the few "lucky" individuals who don't have to support their parents. Thus, his talks are easy.

Period.

I am not from accounting background.

Did I put my Total Income as RM2800? I put Salary: 2800 (after deduct EPF + Sosco), I did not include in partime income, OT, etc

Why must ppl look down on part time job such as baby sitting, wash car, walk the dog, repairing computer, take wedding photograph, etc? From hobby/ experience put to practical use to earn some hard earn money....even if u bake cookies or cakes and sell during festive season, or sell homegrown vege at morning market is an extra part time income lo..it still generate $

A lot of ppl tell me work smarter but not harder?

I no money that time, I work harder lo - acquire more savings $ cash

then I use my money work smarter - Money make money - with a RM150K cash in hand, getting a 5% intrest that will be RM7500 a year...Isn't it smarter already?

If let say I go buy a property that my colleague mention RM160K the price now in cash.. I can rent it out RM700 per month, a smarter return of RM8400 per year already...so my salary is RM2800 + RM 700 for hse rental already...

When young fresh grad that time need to use energy work harder coz not much money in savings less commitment, when got some money then only we say work smarter ...

Hehe, I'm not the only one?

Happy New Year!

yup lucky...my parents are a lot richer than me...but I am a good son too...I plan to retire early in 10 yrs time move back hometown and take care of them when they are aging instead of hiring a maid or send them old folks home..

so same goes for my younger brother also do the same savings formula RM2K per month..

No right/wrong way, as long as U get to yr goals bro.
Just make sure your numbers are "real".
Your net salary isn't your net $ from working - best to add everything together from "man at work getting $" (exclude yr returns from bonds/FD/etc.)
That's your active income
LESS
what U save
EQUALs
your yearly cost of living. (This is important)

The yearly cost of living is the one that i used for calculating your future cost of living, inflated by 4%pa compounded.
If this "cost of living" is unreal coz one didn't factor in other incomes
eg. ManAtWorkIncome - Spending = Savings

If U did list down all costs of living pa (/ 12 months), then the previous ZIPped Excel works
If U didn't and just agak agak based on Net Salary (didnt put in other active income) LESS savings, then the numbers can go really crazy or a bit crazy.

Just a thought - if need to, try plugging in your numbers again into the yellow cells in the file

My financial management a bit messy lo , that is why I give salary I earn working for company..

others i just roughly know how much I have lo..RM150K + more.. EPF account those all untouch yet..

To keep my mom and dad have a safe heart to sleep at night...

I put RM50K for my mom to buy senior citizen FD hong leong bank at higher rate intrest..she keeps the money for me..I seldom ask how much interest I got

Same i put RM50K for my father..You know la...old ppl when know their son got lots of money savings in their hand they also feel secure I am doing well , no need worry me so much

then I still got RM50K under Sukuk 1 Malaysia under my name, this is the 3rd year last year already...Ah...this I know coz I go get the interest 5% to pay my holidays and sometimes extra for maintainance fees..

got others RM10K in Bank Rakyat FD if not mistaken, another RM11K in BSN senior citizen under father and mother joint account, not remember how much $ in Wawasan 2020 and others...

I rarely count the money in my savings one la...When money not enough I work harder do some part time or OT. Money not at my hand make me more discipline saver...I see I no money I no buy..

I no money I eat bread drink water, or cook porridge eat few days..

I stay discipline by withdrawing max from atm machine RM200 a week..Money finish that is it...if electric bill come RM70, I go pay RM70 so I left with the balance RM130 for the week..If the streamyx bill come RM88 I go pay too ..so I left RM42 in pocket... Breakfast I skip, lunch eat at company got RM50 to swipe for 1 month..and night time I cook maggi mee or make sandwich eat..

If inflations go up too high, I work harder..I do not declare my partime income as not consistent..sometime got do get extra dollar so I can make it through that week..If not I just stay at home and minimize activity of spending money in the weekend.

From the situation on top u know la,,ignore others detail

ManAtWorkIncome - Spending = Savings
RM2800 - RM800 = RM2000

Mom and dad tell me no need worry about those inflations thing coz later going to inherited property from them. should be able to cover inflations rate.
Dad tell me not to worry about taxes too, if I get tax a lot by govt I must be earning a lot more...Should be happy.

So basically I just worry now is can I save 1 million or 2 million in 10 years time and retire earlier.

This post has been edited by AAAABBBB: Jan 4 2013, 12:43 AM

Woh! AAAABBBB u are way ahead from alot of us here.. u really manage your money well!

Below is mine:
saving per mth: about 1.5k (end of this year will be able to save 2k cos car loan finish at Nov-13)

Internet+hse phone: about RM90 (under 1 package)
Utilities - Parent pay
Petrol: less than RM100
Phone bill: about RM60
Food: RM50 (mostly eat at home, breakfast lunch dinner)
miscellaneous: RM300 (occasionally go out with fren and shopping)
Car loan: RM498 (11 more mth) - Myvi
House loan : No hse
Education loan: left RM10k (plan to settle it lum sum before oct-13 get discount ;p)- PTPTN
Credit Card: Pay in time (normally swipe when pump petrol or shopping)
Personal loan: No
Parent: RM400 (RM300 pocket money + RM100 for dinner)


By end of this year, i'm free from loan but if i were to buy a hse then....

Investment:
ASW:41%
FD:19%
Gold: 4% (plan to take out all, but currently at losses lol)
Cash 19%
Share: 17%

As can see FD+cash is almost 40% which is not really good imo (did not work hard enf for me)... should i increase my share to 50% maybe? but the risk is there...or maybe get a hse instead? but i dont really like to have loan on me... but a lot of fren advise me to get a hse

Any advise would be appreciated.

It is good to have some cash liquidity in hands at the moment,,,

Reason?

It is really bad time at this moment, in Penang there are multinasional company closed down a week during Christmas and NEw YEar that time, there are company that working 4 days a week too, there are a lot of laying off VSS on-going

Even carpenter this Sep 2012 on wards, did not get any order to make furniture. Usually year end, they got too many orders that they cannot accept anymore coz overflow cannot finish on time..

With this info, now should be a good time to look at investment like which property is good - open a few portfolio for few good one -maintainance management is good, good location etc, look at which share is good one that gives lot of dividen - open few portfolio too. In another word during free time nothing to do browse mudah.my, property.com, those for more info. Visit those property too.

When chance come economic continue slow down, ppl get fired -opportunity come as a lot of sub fire sale property and shares plunged - good time to use liquidity to grab few good one..

Although I use AFISH method, You will see the 4th Priority is Shares and 5th is House. To increase $ in hand, I go for shares that grab during bearish time and sell during bullish time, I also invest in house when money in hand is sufficient to buy in cash...If let say not enough, short a bit for example RM50K, I just ask from father borrow first, I pay him back in a year or two..For property I am hoping can get the PR1MA one..a lot lower than market price, affordable and new property some more...Do nothing else but go register for one!
http://www.pr1ma.my/

I don't do credit card stuff coz likely get con more, they limit to give me cash back RM50 if I use RM1K per month. All the trouble going thru to pay the bills online, payback on time, etc. No credit card in hand make me more cautious not to spend unwisely. Like when I go pump petrol, I will take out RM30 pay in cash. Real CAsh go through my hand taken out from wallet, I feel the pain and not to pour full tank coz I do not have enough money left for the week if I do so. Pouring more petrol makes me itchy want to drive around more or go futher...

AAAABBBB,

Hi, do mind to share the plan for this name?

This post has been edited by adolph: Jan 4 2013, 11:37 AM

not bad wor!
work harder lar, don't eat bread drink water & deprived yourself a good meal.
word of advice on yr future....kids nowaday are bloodsucking money & derailed yr financial goals unless you topup that difference in income.

Not unless you as a parent educate your kid from young to save, invest and live frugally. Financial literacy is not taught in school

This post has been edited by creativ: Jan 4 2013, 04:48 PM

Hi sifus, my Bro (28 years old) needs some advices on how to growth his wealth.

Currently, he earns 7K per month but no EPF cos working oversea

His spending are as follows:-
House Loan: rm1500 (30 years)
Investment Property Loan : RM3000 (20 years)
Food 30 x 30:Rm900
Entertainment:rm1000
Insurance and saving : 1200

He doesnt has car but got one apartment generates rm800 income.
Next year 2014, one of his property will be completed and estimate can generate at least rm1k income

This post has been edited by Without: Jan 4 2013, 06:34 PM