Click here to download UOBAM Invest app 🌟 joshtan.link/uobam Referral links to get $10 each for sign up and deposit of any amount $1 or $100 or $1,000 to qualify 😉
Fact is many Singaporeans cant retire. The proud ones are actually those who wont admit it and think that they can easily with the little they have. My advice is make hay when the sun shines and be the ant not the grasshopper if you want a nice decent retirement
Should not retire and work as long as possible balancing the stress factor if possible, because once retirement comes , if there is no purpose in life , it is one way down to abyss. Seen too many of friends on this path
I disagree. The key is to keep ourselves occupied with purposeful and enjoyable activities to keep our minds sharp and bodies active during retirement. It is important to keep in mind that retirement is a journey and not an end. It’s an opportunity to let go of the grind in life, and not life itself.
Hi Josh, i know him, is my friend. We drink kopi regularly. Just to answer to others doubts on the wife portion, his wife is working and is self sustainable and w good CPF n cash save up too.
Whether its retiring with $2.2 million or $220,000, I believe its enough BUT depending on your retirement lifestyle you want to lead. Dont compare with others because everyone retirement lifestyle and expectations can be vastly different.
After SA a/c closes, (SA+OA)630k at 2.5%+ interest or mthly>$1.3k, and at 65yr the cpf life payout ard $1,350, so only need to top up cash ~$3k then can cover 6k mthly expenses.
I have seen much higher CPF balances previously. One of the highest was $700k in OA, $300k in SA. How it got so high is because in the earlier days, the CPF Board did not restrict the amount of voluntary contributions by individuals.
@DonYang73 that's great and very prudent financial planning. The fellow above is self employed. Just for an update, his OA is now $0 and no longer $700K. He drew it down at the beginning of last year in order to fully pay off his housing loan when interest spiked at the beginning of last year beyond 2.5%.
In Malaysia yes from SDG$2.2M Capital Nett Worth convert to RM$_______ at (3.52 currency exchange) base on FD 3.1%. Factoring you liquidate all assets into Capital. In Singapore can also but frugal Living entire Family. If your Capital Assets SDG$ 6.5 million would be ideal start.
Hi Josh, his HDB is fully paid and condo is on mortgage. If he rents out his HDB (like what you have suggested), can he use his mortgage interest on condo to offset the rental on HDB for income tax purpose? Thanks
For sure can’t. Only expenses incurred for that leased out property can be counted as tax deductible expenses (mortgage interest, mcst, repairs, agent fees etc.)
All the currency in cpf has already lose their value even with 3 to 5 % interest. Every 1 million he has....the currency has lost 50% of his value base on average 2% yearly inflation every 20 to 30 yrs....and weakening of currency if too much money is pump into the system. Even with the interest given....the value of currency still drop
Most important thing is what was/is he working as? Specialist doctor? Senior Partner? What? That alone already puts him at the top 20%. If you don't even have sizeable income, don't talk about investments or CPF, you won't even have enough to put food on the table. Plus did he inherit one or more of the properties or money? Start from scratch? Alot of information are often left out, putting forth only a nice front.
@@joshconsultancy I know of a poly grad (never got his degree) who married a female NUS professor. So you think...he did well because of hard work? Anyway, I am not here to judge. But I think we have to base our recommendations using the average Joe. Many have difficulty paying off mortgage. And based on CPF statistics, many don't even have enough for their BRS in their mid and late 40s. How to help these common group of people move up.
Impressive savings while raising 2 kids, and with 2 properties. He must have been very frugal and worked very high in his career despite not having a local degree. Moreover, he has high savings in his CPF accounts. Maybe he did not service his mortgage (HDB and Condo) through CPF and he made yearly top-ups.
U r right if the $1.8 million is not generating cash n it will b depleted in 25 yrs ,so put the $1.8 million in a bank stock to hv a 6% yield, it can last for a long time…
Very strange that folks have successfully accumulated such immense wealth only to worry if they can retire on small monthly draw down. Basic maths shows it's totally doable. Are they expecting sudden and prolonged increase in inflation?
@@xxxcool2565i dont disagree. Its all relative. At 55, $2.2mil is a good basic to retire with , but still basic to me. After slogging 25-30yrs, i am fortunate and grateful to have accumulated enough to have a good retirement.
Estimated monthly expenditure with zero debt: Food $1500 Wife $5000 Trasport $1000 Utilities $500 Insurance $1000 Entertainment $1000 Incidentals $1000 Children $2000 Therefore my very basic retirement monthly requirement $13k per month. Have not even included overseas travel yet. So at least $20k per mth would be right
If like that amount still not enough, then 90% cannot retire. Money is part of the equation, but health and family is more important. be simple and enjoy our remaining life.....
Click here to download UOBAM Invest app 🌟 joshtan.link/uobam
Referral links to get $10 each for sign up and deposit of any amount
$1 or $100 or $1,000 to qualify 😉
If he can't retire than I believe tons of us will not be... its real fact
I understand your pov. Question is his retirement at his expectation
he is showing off
Fact is many Singaporeans cant retire. The proud ones are actually those who wont admit it and think that they can easily with the little they have. My advice is make hay when the sun shines and be the ant not the grasshopper if you want a nice decent retirement
Thanks for the clear presentation of facts & ideas, indeed a steady case looking to have quite a comfy retirement… wat an inspiration
Should not retire and work as long as possible balancing the stress factor if possible, because once retirement comes , if there is no purpose in life , it is one way down to abyss. Seen too many of friends on this path
Agree👌🏻
I disagree. The key is to keep ourselves occupied with purposeful and enjoyable activities to keep our minds sharp and bodies active during retirement.
It is important to keep in mind that retirement is a journey and not an end. It’s an opportunity to let go of the grind in life, and not life itself.
Semi retirement is the best of both worlds. Can also escape from the wife when she is not in a good mood 😂.
No leh. Retire got alot more things I can do lol
In Singapore people work too long leaving no time to discover other interests outside of work. So retirement maybe a challenge for many.
Thanks Josh! So encouraging!
No probs cya around 👍
With so much in SA even after setting aside for RA, he has definitely done his SA shielding…
don't hate the playa, hate the game. But now also the game rules change liaos
Hi Josh, i know him, is my friend. We drink kopi regularly. Just to answer to others doubts on the wife portion, his wife is working and is self sustainable and w good CPF n cash save up too.
Whether its retiring with $2.2 million or $220,000, I believe its enough BUT depending on your retirement lifestyle you want to lead. Dont compare with others because everyone retirement lifestyle and expectations can be vastly different.
Agree. Everyone has different expectations
Well said.
Good job Josh, u r using this example to teach Total Assets, Net Equity, Investible fund & retirement planning - all at one go.👋👋👋
🙏 thank you for the high praise
Well done to the couple!
Didn’t account. For the 2teenage kids heading to college yet? Unless they r on their own.
What about medical cost in future vs retirement fund?
After SA a/c closes, (SA+OA)630k at 2.5%+ interest or mthly>$1.3k, and at 65yr the cpf life payout ard $1,350, so only need to top up cash ~$3k then can cover 6k mthly expenses.
Agree 👍
I have seen much higher CPF balances previously. One of the highest was $700k in OA, $300k in SA. How it got so high is because in the earlier days, the CPF Board did not restrict the amount of voluntary contributions by individuals.
Mine is higher than that, no voluntary contributions whatsoever. 😅
@DonYang73 that's great and very prudent financial planning. The fellow above is self employed. Just for an update, his OA is now $0 and no longer $700K. He drew it down at the beginning of last year in order to fully pay off his housing loan when interest spiked at the beginning of last year beyond 2.5%.
In Malaysia yes from SDG$2.2M Capital Nett Worth convert to RM$_______ at (3.52 currency exchange) base on FD 3.1%. Factoring you liquidate all assets into Capital. In Singapore can also but frugal Living entire Family. If your Capital Assets SDG$ 6.5 million would be ideal start.
Sgd 6.5m is too big a number 🙏
Thanks Josh, although I'm curious how u avoided paying property tax for yr HDB also? & how does term equity loan work actually?
I paid absd in 2017 7%!
Hi Josh, his HDB is fully paid and condo is on mortgage. If he rents out his HDB (like what you have suggested), can he use his mortgage interest on condo to offset the rental on HDB for income tax purpose? Thanks
I dont think so. It should be in same property in my understanding
For sure can’t. Only expenses incurred for that leased out property can be counted as tax deductible expenses (mortgage interest, mcst, repairs, agent fees etc.)
All the currency in cpf has already lose their value even with 3 to 5 % interest. Every 1 million he has....the currency has lost 50% of his value base on average 2% yearly inflation every 20 to 30 yrs....and weakening of currency if too much money is pump into the system. Even with the interest given....the value of currency still drop
Most important thing is what was/is he working as? Specialist doctor? Senior Partner? What? That alone already puts him at the top 20%. If you don't even have sizeable income, don't talk about investments or CPF, you won't even have enough to put food on the table. Plus did he inherit one or more of the properties or money? Start from scratch? Alot of information are often left out, putting forth only a nice front.
Mentioned towards end. It’s worked way up from a poly grad
@@joshconsultancy I know of a poly grad (never got his degree) who married a female NUS professor. So you think...he did well because of hard work? Anyway, I am not here to judge. But I think we have to base our recommendations using the average Joe. Many have difficulty paying off mortgage. And based on CPF statistics, many don't even have enough for their BRS in their mid and late 40s. How to help these common group of people move up.
is it worthwhile to use OA to buy united SGD fund? altho is 4.1% yield, but i jus look at the fun factsheet long term gains 2.8%.
Depends. Long term gains factor low interest periods of the last 10y that’s why.
Impressive savings while raising 2 kids, and with 2 properties. He must have been very frugal and worked very high in his career despite not having a local degree. Moreover, he has high savings in his CPF accounts. Maybe he did not service his mortgage (HDB and Condo) through CPF and he made yearly top-ups.
He mentioned good progression in career
Interesting 1.8mil using 6k per month will be used up in 25 years until 75 years old... then maybe he can sell his house for another 20+ years usage.
U r right if the $1.8 million is not generating cash n it will b depleted in 25 yrs ,so put the $1.8 million in a bank stock to hv a 6% yield, it can last for a long time…
You mean keeping the 1.8M cash at home without any interest?
@@david888a yea I mean without a stock or anything it's enough for him up to 95 already
In another word, not a sensible example, most viewer won’t correlate
But I don’t think he wants to use up ANY of his $1.865m in assets. So it might not be “chicken feed”. Thanks for an interesting video.
Very strange that folks have successfully accumulated such immense wealth only to worry if they can retire on small monthly draw down. Basic maths shows it's totally doable.
Are they expecting sudden and prolonged increase in inflation?
Don’t think he’s panicking. Having a bit of self doubt can be healthy 👌🏻
It’s just to showcase and draw satisfaction 🎉🎉, you think he is looking for advice? Nah
Just to show off haha
HDB flat should NOT be allowed to be rented out. Its public housing not financial asset.
80% of housing is HDB. If it cannot be rented, we dont have enough. There are MOP rules to guide already
Oh, its a couple, not one person and they still have a mortgage? Better clear your debts before you think of full retirement.
Depends on his age. If he is still young like 50, 55 with a family then $2.2mil is a very basic retirement lifestyle
@@xxxcool2565i dont disagree. Its all relative. At 55, $2.2mil is a good basic to retire with , but still basic to me. After slogging 25-30yrs, i am fortunate and grateful to have accumulated enough to have a good retirement.
Estimated monthly expenditure with zero debt:
Food $1500
Wife $5000
Trasport $1000
Utilities $500
Insurance $1000
Entertainment $1000
Incidentals $1000
Children $2000
Therefore my very basic retirement monthly requirement $13k per month. Have not even included overseas travel yet. So at least $20k per mth would be right
@@xxxcool2565 i am planning to retire at 55, my two kids will still be school albeit tertiary education. So $1000 per child is not a lot
@@xxxcool2565 $5000 for my wife to manage the household and all her other miscellaneous things. Thats less than $200 a day.
@@xxxcool2565to be honest, i probably cant retire at 55 with $2.2mil. Or at least, not my kind of retirement.
Hi Josh, which video of yours is about your home equity loan?
WHY DID I BORROW $150,000? Explaining Good Debt VS Bad Debt ruclips.net/video/bZWtHRMcO0Q/видео.htmlsi=wFeLhlcxMfjcxJ5J
2010 to 2024 only appreciate $500K on property? Hmmmmm not a very good investing imo
LOL
Thats something which most property agents dont see or want to see 😂😂😂😂
If like that amount still not enough, then 90% cannot retire. Money is part of the equation, but health and family is more important. be simple and enjoy our remaining life.....
Agree. His question is for his expectation of retirement 👌🏻
Not enough
His kids gonna have a good inheritance… too bad such good parents are the minority…
not enough imo. the upcoming global debt bubble bomb will devalue cash to 0
Chill … doomsday scenario not worth to delve too much into
Not enough la. Got to be billionaire safer. Then nothing to talk already.
Enough enough 👌🏻
Why not pay up the loan using OA or something lower interest paying asset ?
your channel is for those with million dollars.
For ways to improve and get to financial freedom
nothing is enough becoz human greed n needs has no limit....
It’s a honest question for a second opinion 🙏
Is that u? 😅
I’m 40 😅
Didn’t account. For the 2teenage kids heading to college yet? Unless they r on their own.
What about medical cost in future vs retirement fund?
A portion of medical cost can be prepared with a full medisave account. Top up! =)