I don't know you and you do't know me... But as a matter of
public service I'm going to state this.
You plan to retire at some point in your life, no?
Say you are 20 now... you plan to retire at 60 and live another 20
years till you are 80.
That's 40 years of work (provided you have a consistent pay cheque.
ie. you never lose your job throughout your working life) in which
you have to save enough to last 20 years during retirement.
Given inflation, housing rental each month (if you plan to buy your
own place at 2K a month while owning a car... good luck to you),
food, etc... You'll need 2K a month at least!!! Although with
current inflation more likely 2.5K a month.
So 2k x 20(years) x 12(months) = $480,000 (notice I didn't even
talk about falling ill, hospitalisation, etc.)
So now you need to save $1K a month for retirement [480,000 /
(40x12)]
Based on a take home of 1.8K a month - you spend 1k on a car
(monthly + road tax + insurance + parking + petrol + servicing +
occasional repairs).
That leaves you $800 a month... not even enough for retirement
fund, don't even talk about rainy day savings or money left for
your day to day food and clothes, etc...
You REALLY want a car that badly?
Savings for marriage? Kids clothes, food, schooling etc? If you
expect your kids to look after you.. think of this. So hard to make
ends meet now, you think your kids will have it easier in future?
You think they can look after you too?
Do NOT depend on CPF... that is not enough... Think of it as
further insurance incase you live longer than 20 years after
retirement... as well as some misc medical cost (which you will
need when you get older).
