$3K salary a month but saving $16K this year!

Hello AK, How are you? One year ago i've start following your blog and chatting with you via FB as well. I got so much things to share and update you. After completed my private degree, i have changed a job and income increased from 2.4k to 3k.  Some of my friends are still earning more than me. i was so stressful to keep up with the market and expenses. But thanks to AK's Blog, everything … [Read more...]

International Healthway Corporation (IHC).

Many readers write to me asking for advice on certain stocks which they hold or are thinking of investing in. They are usually disappointed by my response. Why? I also don't know. Disappointed by my answer? OK, I gave the correct answer. Today, a reader wrote to me about a business which I actually have a stake in but I am sure he was disappointed by my response too. AK says: I don't … [Read more...]

History with Sabana REIT and current thoughts.

The last time I had a substantial blog on Sabana REIT was in October 2015. It was titled "Sabana REIT: What is a fair price and what could they do?" Actually, I thought I would never have another substantial blog on the REIT again but a rights issue happened. Never say never, as the saying goes.  Despite all the bad stuff that we have heard about Sabana REIT and, yes, I contributed to the … [Read more...]

Family is financially healthier after retrenchment.

I won't be wrong to say that many workers live in fear of retrenchment because they are not financially prepared. Many are wage slaves and are utterly dependent on their earned income for daily expenses. The problem is that many are not even aware of this. I have shared stories from readers who have been retrenched before. Retrenchment is a terrible thing if we are not prepared for it and … [Read more...]

Best credit cards for large purchases in Singapore.

How to be ahead of the game? Please don't believe everything bloggers tell you. Sometimes, bloggers can also be minions of wealth destruction. A personal finance blog says if a designer bag you want arrived earlier than expected and you haven't saved enough for it, there are some credit cards with benefits which you can consider using. OMG! It doesn't matter what they say after that … [Read more...]

Buying Croesus Retail Trust and Accordia Golf Trust?

Reader: I am very interested in your views on Japan. I don't have any investment in Japan because everyone tells me the population is shrinking and the economy is dead. However, you seem to be doing well investing in Japan. I regret not investing in Saizen. I feel like investing in Croesus and Accordia now. Any advice? AK: Nope, I don't have advice for you. You could search my blog for my … [Read more...]

Minions of wealth destruction.

I have warned against the evil installment plans and their minions. Don't remember? See related post at the end of this blog post. Minions can be in your face or minions can be in disguise. One way or another, they will lead to wealth destruction. What? Pay for a purchase using interest free installment plan offered by your credit card is not wealth destructive? Aiyoh, they will take money … [Read more...]

Be a wealthy and happy peasant.

"Singapore is one of the world's most unhappy nations?"  Sir Stamford Waffles Jr. Jr. "AK talks about how we should make more money, save more money and try to be financially free. AK makes sense. I am trying my hardest to be like him. Must have $150K in annual passive income and $700K in CPF account by age 45." Alamak! AK didn't say to be like him! Mai luan luan gong hor. I always say I … [Read more...]

Three attributes of a wealthy peasant.

"Basically, the more you catch, the higher your CPPF." Wait a minute! Was that a coded message? The more you top up, the higher your interest income from CPF? I anyhow guess one lah. Life can be unfair. Why am I not born into a super rich family? Why am I not born with super model good looks? Why am I a peasant? Oh, did I hear someone say it is unfair that this peasant is relatively … [Read more...]

Good deal because price has dropped.

There was a time when I enjoyed visits to the banks. As a boy, I was very interested in getting the highest interest rate possible for my savings. I enjoyed visiting the banks to update my savings passbooks when interest crediting became monthly instead of yearly. There were no auto update machines in those days but I didn't mind waiting in line for a teller. I no longer enjoy visits to the … [Read more...]

What an unemployed 53 year old can do with $20K?

Dear AK, I am 53 and I have been jobless for more than a year. I have given up on job search. Fortunately, I am a saver and have almost 200k in savings. Jobless 10 years too soon, I need to make my savings last longer. My sister told me about a 5 years endowment plan from _____Life. Minimum required is $20,000. 2.25% p.a. is more than fixed deposits. (Email truncated.) Hi JK, 5 years is … [Read more...]

The fate of my investment in SPH.

"At SPH, we recognise the power of sharing in a world that's more connected than ever, across multiple platforms." Disruption to the media industry is faster and more frightening than I had expected. Actually, if an IT dinosaur like me can be a blogger, I shouldn't be alarmed by this but I am. That the disruption has impacted SPH is amply evident with its earnings declining in the last few … [Read more...]

Impressive passive income but are you lying, AK?

The love of money is the root of all evil or so the Church says. How much money did you donate to AK? Did you sell your flat to give $20K to AK? This is not the first time I have received an email like this but it has been quite a while. This one is actually pretty friendly: "I know about your blog from a forum... Very impressive passive income... there are people who say you are just … [Read more...]

Why lazy people "want" to continue working?

(I salute Tan Hock and Wilson Poh.) An exchange with another blogger. Blogger: Just thought I'd share this since many investment bloggers (whose plans, like mine and yours) are to live off investments; Not sure if it's because a significant number do not understand the trade-offs involved nor the aspirations of passive investors, but it is a poorly conceived notion that living off … [Read more...]

How AK uses his SRS money and why?

For anyone who pays quite a bit of income tax, I always suggest starting a SRS account. See related post #1. Since the inception of the SRS, I contributed the maximum allowed annually. I won't be doing it anymore since I no longer have an earned income and would not have to pay income tax. See related post #2. Since I have been maxing out my SRS account annually, I must have quite a bit of … [Read more...]

Holistic approach to a secure financial future.

(Decide how much income you will get from anasset and pay a fair price for that.) I am always happiest reading happy stories. I mean who wouldn't be? OK, if you need a reason, well, they are easier for me to reply to compared to sad stories. LOL. It is true that happy stories are easier to reply to and that makes me happy but I am happiest with happy stories because they are an affirmation of … [Read more...]

Average income workers have a choice to be rich!

I went out to lunch with my mom before sending her to the hospital. I went to a supermarket nearby to buy some chocolate which was on special offer before going to a bank to enjoy a cup of tea while waiting for her to call when she was done. I like buying things at knocked down prices (i.e. the chocolate) and I like free (i.e. the tea). Anyway, there was a big screen TV right in front of me … [Read more...]

Tea with LS: Withdraw CPF MSTU and interest at 55?

Very well researched and put together. Hats off to LS who originally placed this in the comments section. Hi AK, I guess this withdrawal regarding top-up money and its interest is causing a lot of confusion. This is due to the frequent changes in CPF policies/withdrawal rules. What is making it worse is that some of our CPF officers are also not as well-versed and providing wrong information … [Read more...]

Do online contribution to Medisave and get $88 Ang Bao.

The Basic Healthcare Sum (BHS) which was known as the Medisave Contribution Ceiling (MCC) in the past has been raised from $49,800 to $52,000 in 2017. This means that we can voluntarily contribute $2,200 now. Of course, for those who are gainfully employed, this contribution will enjoy income tax relief. For people like me whose CPF-SA has already hit or exceeded the prevailing Minimum Sum or … [Read more...]

Mr. Lee Kuan Yew said China could become pushy.

"I don't want to sound apocalyptic but I don't see Taiwan as being able to resist the pull of the mainland. There will come a time when the 7th fleet cannot intervene." Mr. Lee Kuan Yew. A long time ago in ancient China, there was a big village that sat on both banks of a river. One day, there was a big fight in the village and villagers living on the left bank said they wanted to have nothing … [Read more...]