[quote=FutureBuilder,Sep 10 2019, 12:16 AM]
[quote=MUM,Sep 8 2019, 01:14 PM]
you are now 29, target is 40, thus 11 yrs to go.
you have 110k in FD,
40k in stocks and
21k in mutual fund
fresh saving RM4000 pm....

unknown to your monthly required expenses,...just try to reduce the FD of 110k to 6 months of yr expenses, use the surplus to put into stocks.
as for the RM4k pm,...If you have parents, try to put all that into their EPF a/c.....under self contribution

I don't suggest putting MORE in FD to generate passive income...for the amount required is too big to generate sufficient amount and returns is too low to be effective for a 11 yrs time frame

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I would consider to use my monthly saving to purchase some reits and stocks with 5-6% annual return, hope can getting more nearer to my target by compound interest within this 11 years. Thanks bro for your kind sharing on financial.

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you are doing very well! just keep doing what you are doing right now and keep on growing your portfolio

just some advice, try to invest into your financial knowledge and look for investments out of the country.. it will work as a hedging purpose as well

Thanks bro for your advice. I would go kinokuniya get some financial books improving myself. 😆

Why if retire at 40, money can only last till 60? Upon retirement, he should have less spending. If he can reduce spending (cos his funds are not a lot), he does not need to delay retiring...reduce by how much? Maybe 30%?

just wondering.. why do you think spending will be reduced upon retirement?

imho, it will most likely be higher

No , I also believe in higher spending ... however, TS funds are limited.. to conserve, must reduce spending lor.. then can last longer instead of 20 years only

This post has been edited by aspartame: Sep 12 2019, 12:48 PM

Alternatively, the better option would be to create streams of passive income during the retirement phase, instead of living on the reserves cash that we have built.
Of course it takes certain effort, strategies and tactics to have the streams of passive income to be built up.

I am also a learner here, aspire to achieve financial independence.

If one does not have to worry about money means they achieved FI? or is there other way to determine if one have achieve FI? sorry newbie question.

This post has been edited by BooYa: Sep 12 2019, 04:13 PM

The basic understanding/definition of Financial Independence would be - you have the income/reserve to sustain your desired lifestyle (on your own terms) without the need to work for active income.

Because the rat race is MORE stressful than that.

Agree on that. In fact what most people want is not huge wealth, but financial independence, being able to have the time to do what they love to do in life.

Ok *Goes back to work on a bigger nestegg*

Together we work towards building a great financial fortress my friend

Do what you love to do and you won't feel you are in any race.

Luckily for me that my work&business is stress free & no traffic jam in Ipoh but not as convenient as in KL and all the lifestyle/happenings can be had there.

Financial independent is easy to achieve when single but with 2 kids, probably after they finish their studies

Actually I have been in an industry that I have passion for. But trust me, if it's not a western country, this statement would never stand true. Period.

This post has been edited by valerie.wen: Sep 12 2019, 07:46 PM

Pace your self, do not need to sacrifice so much earlier on, and find a job with lower but steady income later on.

What rat race?

Contrary to popular belief, your spending goes down significantly after you retire at the right age.

Your appetite for food, as well for luxury decreases considerably.

My in-laws told me 5k a month/couple as their pension is mighty plenty during retirement and they have no means of spending even close to that.

I guess they probably start realising the best things in life are free. Time with children. Having a hobby that generates them income. Friendships etc.

They are very loaded and very healthy anyway. The pension has them sorted financially that they don't even have to touch their passive income from shoplots, rentals, equities, income from hobby, money from children.

I think normal expenditure will come down ONLY in late stage of retirement ... like at least 70 year olds onwards ...

Before reaching that stage, god willing, with good health, expenditure will go up especially if travel is involved ...

Good morning fellow friend in the journey towards FI!
Wish to learn from you and grow together, wishing you a great life of happiness, freedom, and fulfillment.

wow, what website to come out that graph? or you do it yourself?