After deducting tax, EPF and Socso, should be about 2.4K-2.7K left. I can say if you can save RM1K per month I really  . Until now I'm saving way less than that
Anyway, good to see that you give offering to church as well    Keep it up

you can save around 30% of your salary..your doing good...

is offering to church a must for you ? RM320 is quite a lot ...

Thanks for contributing to the church.
Well,personally i think you're doing well for savng Rm1000 per month.Time to do investments.

a tithe is 10% of your gross income

After starting to work for 3 weeks in the new company, I'm now making some adjustment on the monthly budget

Salary = 3,500

Bonus = (Unknown. I will save all the bonuses anyway if rewarded)

EPF = 280 (=3,500*8%. I choose to pay 8% salary for my own EPF portion, whereby the company will pay according to the statutory rate.)

Home contribution = 350 (=3,500* 10% salary to parents)

Food = 540 (=18*30, previously i planned 5 per meal and 15 per day for food, however I don't find any cheap restaurants nearby Jln. Raja Chulan, so I have to fork out 3 extra for lunch.  Maybe after I get use to the working environment and know which restaurants or stalls provide economic and cheaper food other than going to Pavillion, then only I can spend less on lunch…>_<!!)

Rental = 300

Transport = 100 (I have decided to defer owning a car. Now I walked from home 10 min to LRT station, and take LRT to KLCC. After that I walk another 10-15 min to reach office, just treat it as an exercise.)

Insurance = 250 (might plan to cut 50 on insurance the new company provides some kind of insurance coverage for the workers)

Internet+phone = 100 (=hand-phone prepaid of 30 + celcome wireless of 60, make the sum total approximately 100)

Investment magazine subscription = 60

Others = 120

So each month I can save RM1,400, of which could have exceeded my previous plan to save 20% of the salary after deducting car installment+car expenses. The reason I aborted the car plan is because I plan to save up to 50% of my salary, too bad that with current pay I can only make it max to 40% with my best effort. I hope after going through the probation or working a year in the firm, I could have achieved the 50% savings plan with additional salary increment then, assuming my expenses will not increase in tandem with the increment.

My next move is to save for a 3 to 6-months emergency fund ranging from RM6,000 to RM8,000. After achieving my plan for setting up emergency fund in the next 5 to 6 months, then only I can take the subsequent savings to continue accumulate my investment portfolio.

Currently I have about RM3K sitting in cash+savings a/c. I have not much cash because I have been studied for the last 2 years full-time, just spent about RM4k recently for buying a new PC and new stuffs for the new job and I was over-investing during the bear market.

Before starting this new job, I have been working for 4 years and then continue further full-time studied a professional certification for another 2 years. Just completed the study 2 months ago and now come out to work again.

Nah I'm well read

Good job, Sir.

The professional certification exam that I was taking in the last 2 years is the CFA program. It is indeed designed to be a self-study program but it requires the candidates to commit a lot into reading. Afraid I cannot handle the study while working, that why I decided to take the program full time.

Of course there was another reason I quit job and full-time study. It was because my ex-company (an IT firm) was not doing well during the financial crisis which happened since year 2008. The management of my ex-co. had declared there would be no bonus for the next 2 years and salary increment would be ceased for at least a year (According to what my ex-colleague had told me after 2 years I left the company, he had not received any bonus and salary increment for the 2 years). 

Thus I decided to resign from the job at July-2008, and I knew it was not easy to find another new job during financial crisis, so I decided to make a full commitment into studying and hoped I would complete the program as soon as possible, and if I completed the program in the next 2 years, most probably the world economy should be recovering and thus it would be a good time for me start to look for financial related jobs, this was what I planned during the last 2 years.

I guess on top of this, u should start to think of giving money back to your parents. (people just go into working forces will ignore this, but it is a responsibility that u should bear..)

Since u mentioned about petrol, assume u have a car, u should put maintenance or instalment in the list.. seems like some miss-out items there lar..

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Added on October 30, 2010, 1:32 pmone more thing: no rental?

I would definitely prefer low risk investments. Considering that I am not a Bumi, Amanah Saham options are rather limited and I can't invested to the limit for that (thanks to my parents!) and so with that, I would like to 'plant' more money trees. I have considered insurance, unit trusts and mutual funds.

For insurance, I have heard negative things such as those paying RM X per month for 20 years and receive lump-sum 20 years time is actually less than what I could get in an FD. While I heard that investing in Public Bank Mutual Funds are also bad. Whenever I considered a form of investment and inquired more about them, I end up being put off by hearing bad things about them.

Any truth regarding the insurance bit? And as for unit trusts/mutual funds, any ones that I could look for and more importantly, what should i look for when looking forward to investing in unit trusts?

Thanks for your reply and to everyone else, advice please? I'm definitely eager to learn but I would just like a small nudge in the right direction.

Hello. I need some financial advice too!
I am a fresh graduate in my mid-twenties, single. Just started working for about 3 months now; not attached to any financial debts or loan.
I am driving an old car which my father owned, renting a house near my working place.

I have plan to buy my first house in near future and also to get my life insured.

Salary: RM 4,000 (after EPF)

Utilities: RM 120
Rental: RM 275
Misc Expenses: RM550
Petrol: RM 100

Total Expenses: RM 1,045
I am wondering if i should go for Fixed Deposits, Unit Trust or any other investment plan.
Any kind souls would give me some suggestion please? 

You're doing well not spending like a newbie who just started getting $.

If i may suggest:
1. Focus on money management (see below COPY & PASTE)

2. Then learn and move into coverage (insurance)
At a minimum, U may need some health/medical coverage and perhaps disability insurance.
If U have ppl that are economically dependent on U OR worry about 36 dread diseases (major illness), then pls buy death & disease insurance as well
a. I'd suggest checking up with your HR on what and how much is currently covered by your employer
b. Buy term or whole-life insurance(s) to cover what is uncovered or not enough by your employer.
Term insurance gives the best amount of coverage per ringgit. Of course some will say (mostly agents) that whatever $ U put into term is "gone/burned", ie. no savings factor. Please check it out whether the savings factor is worth the incredibly high cost of insurance/investment-linked. Personally, i'd buy term and invest the difference - a HUGE difference per annum, like 4 times the amount
3. Then move into investments proper
Personally, i dont consider FD as an investment but as a storage for ammunition ($)
See the copy & pasted below on general investment and the ZIP file in an old post.

House - i'd suggest U save up at least 20% of down payment AND buy up to a size where the monthly mortgage is <=20% of your net income.
Reason: It's so much better to live in a home rather than to be eaten alive by one that is an oversized monster
U can always upgrade to another house as your income grows & rentout the old house right?

If U need further clarification after going through these, please feel free to ask
Money Management
COPY & PASTED from previous posting
May i suggest these ratios (massage it to your own requirements):
50% for necessities (like rental, groceries, clothes -not fun clothes ar). If U can reduce this, then go ahead and increase the % below to hit a total of 100%

10% for savings to build buffer fund. Once buffer reaches 6mths or more (you're choice here) of average monthly expenses, pour this amount into investing

10% for savings to invest.
Plan out an Asset Allocation big pix kinda thing first.
No idea? Then just do a simple
34% Equity excluding REITs / exProperties
33% Bonds
33% Properties/REITs
Once U've the big pix plan, then U should filter out what to buy & when to buy these Assets.
Please take a look at the ZIP file i shared earlier on example of Asset Allocation, methodologies, etc. - it's in the PowerPoint file.
http://forum.lowyat.net/topic/1577849/+413 Post #414 i think
Try to do it with a Big Pix (Strategical or Vision)
Then plans to achieve the Big Pix (Tactical)
Then the methods to execute each plan (Operational)
Every ENTRY reasons must have one or more EXIT rules

10% for feel good (charity, boys night out, that changgih Android GingerBread thinggy, fun clothes, fun food, gifting, etc.)

10% for education (pay off your PTPTN using this? or accumulate to further your formal education / street smarts via books/courses)

10% for saving to spend in future big ticket items like hm.. LED TV, new 2nd hand-car, downpayment on a home, etc.
Want something EVEN simpler?
Save 30% of your net salary
Sock away 15% into buffer growing as per above
Sock away 15% into investments
That's it - do whatever U wish with the other 70%

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Added on August 22, 2011, 12:48 pm

Being prepared to take the opportunities that arises is the name of the game.
Thus, U may want to learn, prepare, set your triggers & goals first. When opportunity arises, then U'll know what to do AND have the $ to do it.
Personally, i wouldnt suggest LEARNING & PLANNING ONLY when U want to get into any investments. It should be done way before - like knowing where's the fire exit BEFORE a fire, not searching for it when there's a fire

er.. i think i've miscommunicated badly somewhere somehow.

The simple method: Saving 30%, Spending 70%
The saving of 30% here, i suggested that:
1. 15% be savings to grow your emergency buffer fund
ie. $ to help U get out of trouble when kaka hits the fan like sudden major car repairs or roof blown off by storm.
Once U've accumulated about 6mth's to 1yr's living expenses for emergency buffer funds (held in FD, savings and maybe bonds), channel the additional monthly incoming $ to Investments, thus making it a total of 30% to investments eventually.

2. another 15% to investments
NOT to buy gadgets and stuff. That comes from the 70% U spend
The other $ management method i mentioned has 10% as "feel good" budget.
Note that feel good = whatever makes U feel good, be it alcohol abuse, women, wine, gadgets, vacations
OR
even (shock & horrors) DONATIONS or taking parents & siblings out for a good time.
Low to low medium risk appetite?
If i were that, i'd do mostly Bonds / bond funds + REITs and dividend focused investing (80%)
& a bit of stocks/equity (excluding REITs) funds (20%)

it may take 1 year, it may take SEVERAL years.
The main idea is to develop a habit of spending LESS THAN U EARN.
Much less if possible, in order to build up assets that can generate MORE THAN U NEED in the future.
Comprehende?

Dude - if U can accumulate 6mths to 1yr's living expenses as an emergency buffer WITHIN 1 YEAR, U are one heckuva saver OR struck lottery/windfall 

Hm, personally, i dont think of FD as investment but more of temporary storage while waiting for mega sale (stocks / equity funds / REITs / Properties). I mean, FD gives U what now 3.4%pa VS inflation of 4%pa to 8%pa. To me, that's called getting cooked slowly and dying without knowing what happened.
Mind U, i'm not against FD - it's just for different usage to me.

Bro - i think you're looking at RM800/mth too much
I'm talking about forming a habit to pay yourself first - ie. put aside 30% of your net income for your future self, not DEPENDENT on whether your GF presses U for $ or not

And when did i say FD isnt good or Bonds also not good? It depends on your expectations / risk appetite + how U use each vehicle 

Nevermind.... i mustabinspeakity Mehican

Spot on young grasshoppah (emergency buffer = x months' average expenses; it's how much one keeps/not spend that makes one rich, not how much one makes & spends), you're on your way to financial freedom 

Don't worry lar GymBoi, ALL of us did stupider things in our younger days. U and your Altis, smartphones, DLR, etc. VS. my major "duh!" settling for a wrong partner and paying to cut-loss + test trading KLCI futures. I think "nearly equal" lor

Gambate!