Thursday, 11 September 2014

Why 90% of Young Singaporeans Are Worried About Their Financial Future ; Singapore is the Most Expensive Country to Live In

It's pretty simple. I refer to a post from
The Real Singapore (TRS) http://therealsingapore.com/content/survey-90-young-singaporeans-are-worried-about-their-future-finances

90% of 1000+ youths is an alarming number of over 900+ teenagers and young adults that are not confident about their financial future.

What's worrying is that 80% of youths do not have their basic emergency fund. For queries on how and why you should build your own emergency fund refer to my post in August here: http://teenageinvesting.blogspot.sg/2014/08/why-every-singaporean-should-have.html

Emergency Expenses are highly unpredictable, hence the word Emergency. If you fail to plan, you most definitely plan to fail.



And these are not just students from polytechnics or universities. Even many of those that are in the workforce consider their savings as emergency funds. Please understand that emergency funds and savings should and must, be kept as 2 different pools of money.

80% of the people surveyed already have low confidence in their future. Why? Because they have not began planning. Planning doesn't come naturally as you grow up. It comes only when you have decided to take charge of your life and not leave it to fate.

Additionally, most respondents feel that $1 million would be necessary to retire comfortably. But how many actually even come close to saving that amount?

Don't forget Singapore has now come close to being the most expensive country to live in, if it isn't already is.

iPhone 6 and 6Plus cost about US $100-200++? In Singapore it's $1000++...



Start planning early. The choices you make early in life will affect your life many years down the road. Will your future self thank you or hate you for the choices you make now? That's something only you can decide. No one else can.

Signing off,
Teenage Investor
 

6 comments:

  1. Haha! What a joke. No money plan what?

    There is an opportunity cost for the time taken to plan. I might as well spend the time earning more money first and when the rewards from planning are greater then I use the time to plan.

    ReplyDelete
    Replies
    1. Hi Anonymous,
      Having no money shouldn't be an issue. I am not familiar with your financial condition but I assume that you would at least have an allowance, or are working part time to support yourself?

      I also assume that since you have an internet connection to access this blog, your financial condition is no where near the level of "No money"

      I do agree that there is an opportunity cost but it is not as significant as you seem to think it is. Having a plan in mind complements your desire to earn money.

      The rewards for planning may be greater down the road but at what cost? When you're young, time is on your side.

      Delete
  2. It may be one of the most expensive city to live in, but one needs to dig deeper into what constitutes the basket of goods. It seems to be targeted at an expatriate point of view (I think). At the same time, we are among the Top 10 places to live.


    ReplyDelete
  3. Hi Lizardo,
    On this matter there are many possibilities and thoughts from people from different walks of life. However the main reason why teenagers are so worried is because we see that Singapore is indeed an incredibly expensive country to live in. If it's expensive for expatriates, it will be more so for locals. Being in one of the top 10 places to live in comes at a price i guess.

    ReplyDelete
  4. Nice post but on the 'expensive' part, IMHO the news, media is giving this status from a western expat perspective and not from a local/resident living here. On the iPhone part it self, the down payment for iphone in US may be 199 or 200 but that's if you sign up a 80/monthx24 contract. If we sign up the same contract in singapore, probably we can get it too.
    Problem with many people is putting wants in the place of needs and running the race. How many teenagers in singapore carry an iphone vs teenagers in us/au/developed country :)

    ReplyDelete
    Replies
    1. Hi Komatineni!
      Unfortunately, the news is not giving this status from a western expat perspective only. If rich westerners find Singapore expensive, it is much more so for locals living here. Many people are struggling with their everyday lives but their struggles are not publicised.

      Delete