Hi,

We really need your advice to re-built our financial wall. My wife and I really not good in manage our wealth. Both of us are 30 now and end of this year will welcome another family member, so we really hope to built a strong financial background for our future .
The following are out detail,

Husband:-

Income in RM:

Monthly Salary = 4,400
After Epf =3800

Expenses in RM:

Car Loan = 570 (16 months to go)
Housing Loan1= 820 (current stay)
Housing Loan2= 700 (interest, completed end of 2013)
Phone Bill= 30
Insurance= 190
Food= 500
Parking= 120
Petrol= 250
Utility Bill= 250
Groceries & else= 300


Wife:-

Income in RM:

Monthly Salary = 3,500
After Epf = 3000
Allowance= 250
Freelance= 1000+ (Average, Not consistent, max can reach to 5k per month)

Expenses in RM:

Car Loan = 1000 (5 years+ to go)
Phone Bill= 100
Insurance= 300
Food= 450
Petrol= 200
Groceries = 600
Parents= 800
Others= 500


Our Asset in RM:-

Saving = 20,000 (Cash)
House = 2 units
Car = 2 units
UT= Invest deduct from my KWSP account + (RM1000+RM100/month)
KWSP =RM41,800(-RM13,500)Husband+ RM24,500(-RM7,000)Wife

Last year we just bought a new house as for the investment purpose. We withdraw the money from our EPF account for this house investment. I am notice that our savings backup is very bad, which means we are not suggest to invest again in the market? How do we re-structure our financial management? How to generate more savings backup? Should i change my job to higher salary range?

Hope you all can give us some idea, thanks.

Thanks Wong….you really superb for this thread. Need your more idea or suggestion here .
The following is my explanations for the earlier info and some questions here;

For the food, at least RM30/per day spent for eating. And we always bring my mum eat in restaurant and cost me at least RM40+ for 1 times. Which mean at least RM900 spent in food.

I assume, average RM600 spent in Hyper market for the groceries, I am the junk food "terminator", always looking for some special and expensive junk food to try. Haha. Actually this groceries normally is for 3 pax only. We also include those installment within this category. Example, facial treatment installment, travel package installment etc.

About the else category, this is some unexpected expenses for every months. Like travel to somewhere, balik kampong etc.

Question:
1. Base from my above explanations, how do I increase the % of the investment? We are travel lover, we will think travel oversea at least 1 time per year is the min target for both of us. How do balancing our life with our financial management?
2. We can tap our EPF A/C 2 into our Loan Account or use it as REITs investment? We are not aware of this, please share more. But as mentioned earlier, we already withdraw our EPF money to invest our 2nd house. Possible to withdraw again?
3. Will u suggest us to save the back up savings to FD account or put into our housing mortgage? Currently we are put into the housing mortgage, as saving and able to reduce the interest. But 20k is not much .
4. My investment house currently increase 50k , got value but hard to predict the market in next 2 years. We are plan either move in to the 2nd house and sell the current house. Current house with value and market. At least earn 100k if we sell it. Any suggestion here?
5. UT still in lose level my relative as our agent are helping monitor for us. We are interested with the share market but we have no knowledge and we always think we have no extra $$ to play. Can you please advice for this?

Thank you!