tag:blogger.com,1999:blog-7944902213075756335.post3500314499809538966..comments2024-03-29T10:22:24.187+08:00Comments on A Singaporean Stocks Investor (ASSI): How much should we have in our emergency fund?AK71http://www.blogger.com/profile/16832145412062954289noreply@blogger.comBlogger26125tag:blogger.com,1999:blog-7944902213075756335.post-26791302013290153852019-03-10T19:44:42.087+08:002019-03-10T19:44:42.087+08:00Hi Ben,
Hard truth and we need an emergency fund ...Hi Ben,<br /><br />Hard truth and we need an emergency fund for hard times. ;)AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-59207184155282449752019-03-10T19:38:12.506+08:002019-03-10T19:38:12.506+08:00Siew Mun Kwan says...
Set aside more EF, as you g...Siew Mun Kwan says...<br /><br />Set aside more EF, as you get older as you are less employable. Also set aside more for structural changes.<br /><br />High salary jobs, high % of increment and large bonuses is a double aged sword, be prepared to take at least 30% pay cut. 7 years of prosperity and 7 years of famine it's a life cycle . <br /><br />In good times set aside more in your AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-10962171912936938382019-03-10T19:36:54.094+08:002019-03-10T19:36:54.094+08:00Milo Polo says...
What should one do if u retrench...Milo Polo says...<br />What should one do if u retrench n not much cash? I want to learn<br /><br />Tim Huang says... <br />The thing to do is to prevent such a situation by saving now. Other things could include picking up employable skills to find another job soon if really cash strap.AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-37504425016960300172019-03-10T19:35:58.775+08:002019-03-10T19:35:58.775+08:00Kenji Tay says...
If u dun have emergency fund, ...Kenji Tay says... <br /><br />If u dun have emergency fund, then when you need the money and say, your stocks are down... You will be forced to sell.. Even if its a very good investment.<br /><br />I think its always good to have everything in order, insurance, emergency funds, cpf and then any excess which u dun really need, you can consider allocating for growing yr portfolio.AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-69634139121629551412019-03-10T19:32:03.950+08:002019-03-10T19:32:03.950+08:00Cecelia Ng says...
I understand and agreeing as i...Cecelia Ng says... <br />I understand and agreeing as i had applied to it. <br />Emergency Funds is a must!AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-67931606541059019732019-03-09T22:48:16.679+08:002019-03-09T22:48:16.679+08:00Hi AK,
This goes to show the reality of the corpo...Hi AK,<br /><br />This goes to show the reality of the corporate world. One cannot rely on the full-time employment for survival. The emergency fund is important and give one the power of control on own destiny in the event of the occurrence of the retrenchment. No one can stop the retrenchment apart from the business owners. It's the matter of making hay while the sun shines. The emergency WTKhttps://www.blogger.com/profile/11459028978258841179noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-65649986006968019742019-03-09T10:32:20.217+08:002019-03-09T10:32:20.217+08:00Melvin Yak says...
Agree, I force myself to save u...Melvin Yak says...<br />Agree, I force myself to save up >24 months. the oil and gas industry I’m working I will nvr know when I will kena retrench next dayAK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-53963364833011038562019-03-09T10:17:39.315+08:002019-03-09T10:17:39.315+08:00Irene Peh says...
I am a housewife. After reading ...Irene Peh says...<br />I am a housewife. After reading AK’s blog, I have set aside an emergency fund of one year. Thank you AK!<br /><br /><br />AK says...<br />Your family is lucky to have you. :)AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-8204501898614311892019-03-09T09:54:25.993+08:002019-03-09T09:54:25.993+08:00Raymond Ng says...
Retrenchment may be good at th...Raymond Ng says... <br />Retrenchment may be good at the right time.<br />Some of my friends (including me) opt for retrenchment and enjoy the benefits. Compensation is 1 month salary for 1year service. Some of us has 15~25 months compensation base on last salary. Yummy.<br />,😅😋<br /><br /><br />AK says...<br />Not every company has generous compensation terms, unfortunately. :(AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-17752091129080986582019-03-09T09:38:03.584+08:002019-03-09T09:38:03.584+08:00Tony Yeo says...
Not everyone can achieve a rainy ...Tony Yeo says...<br />Not everyone can achieve a rainy day fund equivalent to 24 months of expenditure....I would think 3-6 months is the usual norm.<br /><br /><br />AK says...<br />And not everyone should have a 24 months emergency fund but for those who need it, they should work at it.AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-92120354665738461272019-03-09T09:08:05.355+08:002019-03-09T09:08:05.355+08:00In the last one week, I received messages from 3 r...In the last one week, I received messages from 3 readers who have been retrenched.<br /><br />Sad news but I am happy to say that all of them have some money socked away for a rainy day.<br /><br />In our pursuit of passive income to achieve financial freedom, it is important to remember that having an emergency fund is even more important.<br /><br />It is immediately accessible and highly AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-48304198442093663492018-08-09T13:45:55.708+08:002018-08-09T13:45:55.708+08:00Hi Ben,
Thanks for reasoning your 84 months emerg...Hi Ben,<br /><br />Thanks for reasoning your 84 months emergency fund in detail.<br /><br />It certainly puts the number in perspective for us. :)AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-26147281604119694322018-08-09T13:12:36.447+08:002018-08-09T13:12:36.447+08:00Hi AK,
Additional point to add in my view of savi...Hi AK,<br /><br />Additional point to add in my view of saving 84 months of expense.<br /><br />I do not have other compelling reason to keep month in the fun. It's a matter of unexpected extreme emergencies which I might encounter. Likewise the same for you, I also have parents to support. If I end up being retrenched in my current job, I feel that there is a need for me to keep more in the WTKhttps://www.blogger.com/profile/11459028978258841179noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-11594773660581953762018-08-08T12:54:22.433+08:002018-08-08T12:54:22.433+08:00Winshern Ho says...
Peace of mind is crucial when...Winshern Ho says...<br /><br />Peace of mind is crucial when planning for the emergency fund.<br /><br />Initially I only wanted to keep 3mths expenses.. but that would not have given me enough “peace of mind”AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-80289939988730306882018-08-08T11:47:51.597+08:002018-08-08T11:47:51.597+08:00Reader says...
I am more conservative than you. I...Reader says... <br />I am more conservative than you. I keep 84 months of expense as emergency fund. Don't ask why it's 84 months. I guess that it happens to be the desired figure which I am comfortable with. I will invest the excess in Singapore listed stocks. <br /><br />AK says...<br />I think 84 months is way too much.<br /><br />It would only make sense if you expect to be jobless AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-53077071368667672572015-06-04T00:10:18.554+08:002015-06-04T00:10:18.554+08:00Hi pf,
I can't and won't comment on his p...Hi pf,<br /><br />I can't and won't comment on his personal circumstances. I respect the decisions he make for himself but to conduct a session in wealth management and to propagate his more adventurous ideas is, I feel, rather irresponsible. If he weren't a trainer, I think I would not have any issue.<br /><br />Most people are not sophisticated enough to do what he does and most AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-85331684127391911472015-06-03T19:27:24.344+08:002015-06-03T19:27:24.344+08:00I think he is just an aggressive in his wealth mgt...I think he is just an aggressive in his wealth mgt. He believes in saving and not spend excessively as well. Some examples he shared...he needed a car when he had 3 young kids but not an expensive first hand car. Modest 2nd hand car will do. Borrowing less than 50% to pay for the car.<br /><br />However, he doesn't let his cash sit idle. He mentioned it was too high opportunity cost to him. <pfhttps://www.blogger.com/profile/07201135543092422698noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-87167655912721735802015-06-03T09:56:32.814+08:002015-06-03T09:56:32.814+08:00Hi pf,
Is this trainer an insurance agent by any ...Hi pf,<br /><br />Is this trainer an insurance agent by any chance? ;p<br />Buys whole life insurance. Hmmm... <br /><br />If he cannot pay for the whole life insurance, it will only be "self paying" if he has been paying for it for many years (e.g. 13 to 20 years). If he cannot pay for it in the early years, it will lapse anyway. Policy loan? There has to be cash value in the policy toAK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-82306926265394970232015-06-02T19:51:54.236+08:002015-06-02T19:51:54.236+08:00Actually he is not too bad. ...shared a good point...Actually he is not too bad. ...shared a good point about life insurance. He said that he buys whole life insurance because in the event he didn't manage to pay premiums, it would go into policy loan. Won't lapse. If it is term insurance, policy will just lapse.<br /><br />I mean, there should be a balance lah. We need to rationalise and define what are emergencies to us lor. <br /><br />pfhttps://www.blogger.com/profile/07201135543092422698noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-33448970863629451232015-06-02T11:38:51.222+08:002015-06-02T11:38:51.222+08:00Hi pf,
Oh, I agree that the example of not having...Hi pf,<br /><br />Oh, I agree that the example of not having even a savings account is extreme. Rely on an overdraft account for emergencies? It seems like a really bad idea to me. Seriously, it boggles my mind and I am concerned that this person is actually a wealth management trainer... -.-"AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-42201802796138694962015-06-02T09:02:29.812+08:002015-06-02T09:02:29.812+08:00Oh...and to add on. I think SRS can be a good emer...Oh...and to add on. I think SRS can be a good emergency fund to tap on for loss of job. Although there is a penalty, but for loss of job, we have no income to pay tax upon. So it's ok for me to draw out SRS for such purpose. <br /><br />Other than that nothing much to be defined as emergency to me.pfhttps://www.blogger.com/profile/07201135543092422698noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-21209616610116406222015-06-02T08:52:15.983+08:002015-06-02T08:52:15.983+08:00Did I mention before?
I attended a course for w...Did I mention before? <br /><br />I attended a course for wealth management recently. The instructor said he does not have any emergency fund. His emergency fund is by way of personal credit.<br /><br />He also do not maintain any deposit account. Amazing. <br /><br />His approach is too extreme to me. But I also do not think we should overdo the emergency funds. Because the most critical of pfhttps://www.blogger.com/profile/07201135543092422698noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-82607998981920723552015-05-30T09:57:44.357+08:002015-05-30T09:57:44.357+08:00Hi victor,
I blogged about my thoughts on the SSB...Hi victor,<br /><br />I blogged about my thoughts on the SSB before and who I think will find it attractive: <a href="http://singaporeanstocksinvestor.blogspot.sg/2015/05/singapore-savings-bond-part-4-good-or.html" rel="nofollow">Singapore Savings Bond: Good or not?</a><br /><br />I believe that it will be a good place for some to park their emergency funds. ;)AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-10575824433224287632015-05-30T09:54:58.622+08:002015-05-30T09:54:58.622+08:00Hi Sun,
Emergencies could take many forms and I w...Hi Sun,<br /><br />Emergencies could take many forms and I will not be so confident as to say that I will never ever need an emergency fund because I have a strong passive income stream from my investments in the stock market. -.-"AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-64322001082620130522015-05-29T14:19:18.914+08:002015-05-29T14:19:18.914+08:00I think all the emergency fund can be put into Sin...I think all the emergency fund can be put into Singapore Savings bonds. better right?victorlsl1https://www.blogger.com/profile/08216513769799631859noreply@blogger.com