He should be an example on fanancial planning for our young.
Theoratically, by the age of 25, one would have reached his
productivity prime. This age would be whereby you would have gain
street-wise knowledge if there is a lack on academic subjects.
Apprenticeship would be over. Your salary would strongly be based
on your productivity, self-sufficiency in an equal opportunities
environment of our world's major international companies, based on
merit, more so in Singapore.
Should his productivity worth be $8,000/mth ( considering the
oil industry is a lucrative employer), saving $4000/mth, he would
still have a quality of life to enjoy with the balance
$4000/mth.
I am assuming he is 45 years old now, and that would have been
an est. $960,000 without interest, in his personal bank
account by today. His present job as a security guard would be just
a past time for him, to keep himself productive and mentally
alert.
Similarly, for our young, at $3000/mth, if set aside $1000 as
savings, it would be $240,000 w/o interest by the time he is 45
years old.
Is that HDTV worth buying and throwing away your 50inch
plasma TV? Is that box in the sky costing $1.0m + another
$1.0m in interest payments over 30 years worth it, as compared to a
similiar sized unit box in the sky from HDB costing only
$300,000 and interest free ( cos you are only borrowing from your
CPF, which is your money anyway), more worth it?
Could it be that we Spore man have too much manly pride, and our
pampered singaporean women too demanding to seek such high quality
materialism in our youth, sacrificing at the expense of our
old age?
But unfortunately, the young never realized that they will get
old until it is too late. They tend to spend 150% of their salary
within 2 weeks, and go hungry for the next 2 weeks till pay day,
regardless of gender and salary scale, a reality in our highly
consumerist world.
They forgotten that one can only get rich by saving,
and NOT by spending. The rich didnt got where they are today
by spending all their salaries. They save every penny of it, and
every penny spent MUST bring in more pennies, or they immediately
cut loss. The young never did learn this lesson often until
too late!
Perhaps, it is high time our society start
another national campaign - Save Money Campaign.
Comming back to the uncle, assuming he has no savings, then he
has no choice but to be more self reliant. Our society will help,
but there is not enough money to help EVERYONE. We will either
go broke by tomorrow or be taxed to the hilt.
Tell him to upgrade himself, never too old to learn.
Get funds from CDC. Save as much as he can, and then later set
up a shop to pass on his skills to FWs. It is too, never too
old to grow rich. The guy who created Genting Highlands got
rich in his 80s. There is still hope yet for him, as long as
he doesnt give up. It will be tough, but only the toughest
will and can survive, as others had gone before him
and succeeded too.
nice assumption that ppl dun have financial planning..
