Money and Finance
I refer to this link,
Living without money: Nearly half of Singaporean households subsisting from paycheck to pay check
Quoted:
"Savings rates are way too low across the island."
"Here’s an uncomfortable truth about Singaporean households: a report by CLSA revealed that almost half of households across the islands are saving less than 10% of their monthly incomes, leaving them unable to cope with unexpected financial expenses."
The report revealed that 30% of Singaporean households save less than 10% of their incomes, while an alarming 14% have no savings at all.
Majority of elderly respondents are not saving money during their retirement, as most are focused on enjoying their money during this period. However, a high proportion of residents in their 30s and 40s are also unable to save.
Unsurprisingly, 73% of low-income households are saving less than 10% of their monthly income. However, an unexpected 37% of the top-income bracket is essentially spending everything they earn.
“In our view, as a result of the low savings rate, the high proportion of total wealth in non-liquid assets (eg property, CPF, insurance) and high optimism about future earnings potential, 47% of households do not have enough funds readily available to cope with unexpected financial expense,” stated CLSA.
- Frbsf Economic Letter: U.s. Household Deleveraging And Future Consumption Growth
Thanks to Matt and Mike for passing this along. It seems the deleveraging process may take longer and be more painful than most people think (and certainly longer and more painful than much of the media portrays…..surprise, surprise). U.S. household...
- Why Ns Might Be Ruining Your Chances Of Getting Married & Building A Home ; What Your Average Singaporean Really Wants!
It's been 2 days ever since I created my blog and already have gotten slightly over a thousand viewers. I'm quite happy that people actually do find my blogposts worth reading. However, I also noticed a few emails asking me what are my plans for...
- Why Every Singaporean Should Have An Emergency Fund ; Especially Teenagers.
Emergency Funds.... what are they? Why should we have them? Many reasons. In the basic sense of the word, Emergency Funds are for emergencies. Let's say, you currently only have your savings. And suddenly, an unexpected expense occurs. Maybe you got...
- 80% Of Young Singaporeans Have Little To No Savings At All ; Are You One Of Them?
According to this link (http://sbr.com.sg/financial-services/news/disaster-in-making-4-out-5-young-singaporeans-have-no-savings) 4 out of 5 Singaporeans have little to no savings at all! True? Source: Singapore Business Review Now, firstly I would not...
- Saving During Your Growing Years
Everyone wants to be rich, don't they? This is especially true in Singapore, where the gap between the upper and middle class are increasingly widening and the costs of living are absurdly high. Everyone wants money. Some are content with having enough,...
Money and Finance
Living without money: Nearly half of Singaporean households living from paycheck to paycheck
I refer to this link,
Living without money: Nearly half of Singaporean households subsisting from paycheck to pay check
Quoted:
"Savings rates are way too low across the island."
"Here’s an uncomfortable truth about Singaporean households: a report by CLSA revealed that almost half of households across the islands are saving less than 10% of their monthly incomes, leaving them unable to cope with unexpected financial expenses."
The report revealed that 30% of Singaporean households save less than 10% of their incomes, while an alarming 14% have no savings at all.
Majority of elderly respondents are not saving money during their retirement, as most are focused on enjoying their money during this period. However, a high proportion of residents in their 30s and 40s are also unable to save.
Unsurprisingly, 73% of low-income households are saving less than 10% of their monthly income. However, an unexpected 37% of the top-income bracket is essentially spending everything they earn.
“In our view, as a result of the low savings rate, the high proportion of total wealth in non-liquid assets (eg property, CPF, insurance) and high optimism about future earnings potential, 47% of households do not have enough funds readily available to cope with unexpected financial expense,” stated CLSA.
Subsisting from pay check to pay check in other words simply means being a wage slave. You survive on one month's pay check and look forward to the next.
But what if that pay check stops coming? Are you financially prepared to face the worst?
1. Do you have an emergency fund?
2. Do you have alternative streams of income?
3. Do you have enough savings?
Half of Singaporean households are saving less than 10% of their monthly incomes, leaving them unable to cope with unexpected expenses. Do you want to be that half?
14% have no savings at all, do you wanna be part of that 14% possibly increasing it to 20% or even 50% in the future?
37% of top income earners spend everything they earn. When you're earning a lot, they get over-confident. They throw caution to the wind, thinking their pay checks will last for the rest of their lives. Will it?
I've always been an advocating of saving for a rainy day. Sure, materialistic expenses come along once in awhile. After all, we're only human.
However, I do have savings stashed away for a rainy day.
My blogposts in the past have touched on this matter at hand and similar subjects as well. If you wish, take a look and see what I think. And maybe, just maybe it'll help you too.
Saving During Your Growing Years
How much do you need to save for a decent wedding in Singapore?
Why 90% of Young Singaporeans Are Worried About Their Financial Future ; Singapore is the Most Expensive Country to Live In
Don't Expect Money To Fall In To Your Lap From Investing
Why are Singaporeans getting the least amount of sleep ; What I really think about Roy Ngerng
Why Every Singaporean Should Have an Emergency Fund ; especially Teenagers.
80% of young Singaporeans have little to no savings at all ; are you one of them?
Signing Off,
Teenage Investor
- Frbsf Economic Letter: U.s. Household Deleveraging And Future Consumption Growth
Thanks to Matt and Mike for passing this along. It seems the deleveraging process may take longer and be more painful than most people think (and certainly longer and more painful than much of the media portrays…..surprise, surprise). U.S. household...
- Why Ns Might Be Ruining Your Chances Of Getting Married & Building A Home ; What Your Average Singaporean Really Wants!
It's been 2 days ever since I created my blog and already have gotten slightly over a thousand viewers. I'm quite happy that people actually do find my blogposts worth reading. However, I also noticed a few emails asking me what are my plans for...
- Why Every Singaporean Should Have An Emergency Fund ; Especially Teenagers.
Emergency Funds.... what are they? Why should we have them? Many reasons. In the basic sense of the word, Emergency Funds are for emergencies. Let's say, you currently only have your savings. And suddenly, an unexpected expense occurs. Maybe you got...
- 80% Of Young Singaporeans Have Little To No Savings At All ; Are You One Of Them?
According to this link (http://sbr.com.sg/financial-services/news/disaster-in-making-4-out-5-young-singaporeans-have-no-savings) 4 out of 5 Singaporeans have little to no savings at all! True? Source: Singapore Business Review Now, firstly I would not...
- Saving During Your Growing Years
Everyone wants to be rich, don't they? This is especially true in Singapore, where the gap between the upper and middle class are increasingly widening and the costs of living are absurdly high. Everyone wants money. Some are content with having enough,...