QUOTE(cockee @ Feb 20 2013, 10:26 AM)
I dont quite get it why people has to think 'quiting your daily job' as a sign of success.
Sometimes, the 'day job' can be equally as financially-rewarding as being a 'full time investor'.
Just like taking up to RM8mil of debt to earn RM7.5k nett.. while some high performance employees can earn more than at the same age.
Of course, there are upside to it like capital appreciation and more personal time.
But there are also big risks and headache that an employee would not likely to face; like increase in interest, bubble burst etc. Also if you manage so many property you still need to spend time 'working' for your tenants. You dont get shit from the boss, but you get it from the tenants, or sometimes from the bank manager or ah long when times are bad..
During my younger days, I kept hearing people saying that 'dai kung chai' (employee) cannot get rich. Now, I realized how mistaken those 'wisdom' is. There are many millionaire employees out there, actually.
Just like taking up to RM8mil of debt to earn RM7.5k nett.. while some high performance employees can earn more than at the same age.
agree. but an employee exchange his time/effort for the monetary rewards instead of tenants/properties/investment working for the investor.Of course, there are upside to it like capital appreciation and more personal time.
fully agree.But there are also big risks and headache that an employee would not likely to face; like increase in interest, bubble burst etc.
i think the risk of lay-offs, low increment, termination, redundancy, global financial meltdown is equally high if not higherliving off investment vs daily job
take shit from tenant vs take shit from bosses
can ask tenant to go fly kite (look for new tenant) vs can ask boss to fly kite (resign)
capital appreciation vs bonuses/esos
property bubble risk vs lay-offs/termination/vss/retirement
but time wise, i think there's no dispute that investment is better off then daily job.
millionaire employees? sure, tonnes of them (through collective building of income over time vide epf).
hell, anybody who STOP contributing to epf when they have rm300k total today would still a millionaire 25 years later with just 5% dividend annually.
millionaire / annum, sure, no problem too. just look at genting group's ceo salary alone or syabas's ceo salary per annum.
fact is, i think it's nice that someone have the
option to just quit their daily job.