Why Gardenia over NTUC Fairprice wholemeal bread?

I have a confession to make.

Last month, I switched from Gardenia wholemeal bread to NTUC Fairprice wholemeal bread after a couple of readers assured me that the latter has improved in quality.

I remember eating NTUC Fairprice wholemeal bread many years ago and found it dry (almost crusty) and bland tasting. It wasn't worth saving money and getting unpalatable bread, I thought.

Anyway, the fact is I decided to give NTUC Fairprice wholemeal bread another chance. Of course, the fact that there was some monetary savings compared to buying Gardenia wholemeal bread was an incentive for me.

Well, although I must admit that the texture and taste of NTUC Fairprice wholemeal bread have improved plus the fact that I saved some money, I have decided to switch back to Gardenia today. Why?

Look at the photos below:

NTUC Fairprice wholemeal bread. 300gm for $1.15.

Gardenia Super Soft & Fine wholemeal bread. 300gm for $1.90.

I was not getting good value for money with NTUC Fairprice wholemeal bread. Its lower price was a reason for me to make the switch last month and I was wrong.

I also found out that NTUC Fairprice wholemeal bread contains a lot more iron (8.8mg per 100g) compared to Gardenia (3.72mg per 100g) and we really don't need too much iron in our diet as we grow older. NTUC Fairprice wholemeal bread also has more saturated fats (2g per 100g) compared to Gardenia (0.86g per 100g). The levels of vitamin B1 (Thiamine) and B3 (Niacin) are lower compared to Gardenia's too.

Overall, Gardenia wholemeal bread seems like a healthier option to me and switching back to Gardenia will cost a bit more money but this is money well spent.

Related posts:
1. Eat wholemeal bread and win a holiday.
2. Visit NTUC Fairprice and learn about investing.

Tea with Ms. Y: Single, turned 35 and getting a resale flat?

A guest blog by Ms. Y who recently turned 35 and got herself a resale HDB flat:

I'm just a regular white collar worker with not bad a job. Work hard and long hours and get decent pay. However, I do need to provide for my parents as they age. My biggest concern is that they do not have much insurance coverage (but might be different now with Medishield life!) Anyway, they both have some medical condition which doesn't allow them to get insurance coverage now. I'm also now eligible to buy a hdb flat!

I don't worry abt a 1 time operation need. 30k or 50k, it's not difficult to fork out of my savings or even if I have to borrow, it's not difficult. What I worry is about the long term chronic illness such as chemo for cancer and kidney dialysis that is very cash draining. Who knows? I may even have to take no pay leave to look after my parents. Or at least until I can arrange nursing home, domestic help, etc. I don't know how much all that will cost but if I have to fork out 2 to 3k per month, my finances would be drained surely.

So, my plan is to buy a cash generating asset. Need to generate 3k cash per month by renting my flat in the event of need (moving back to parents' place to take care of them as reason for renting out whole flat b4 meeting 5 years minumum occupation period can be approved by hdb).

Of course, my plan needs to be backed up by a good financial standing by complying with the TDSR and MSR. MSR is only applicable to hdb flats purchased. So, I'm using less than 30% of my monthly salary to service my loan calculated at an imputed interest rate of 3.5% by regulation. Tip: b4 buying property, get a mortgage broker to calculate all these. I did so even when I studied the regulations and calculated a couple of times.

Anyways, after getting an approval in principle from 2 banks (w help of mortgage broker), I went shopping for a flat. To yield 2 to 3k of cash flow, it has to be at least 4 room flat and at a good location. Then I checked hdb website for such rental yield and decide amongst them one of a cheaper place for such yield.

Also, I'm quite sick and tired of the >1 hr travel each way to and fro work. So, I'm getting a flat near to town area. It is expensive no doubt, but it is serving my purpose. 

Oh yeah, another reason why I do this is because I know myself. I'm not such a stock whiz that I get great returns in the stock market. Not so good in fact. I do well by squirreling cash away. Out of sight, out of mind. So, I don't spend it. Haha....I have most of my savings tucked away like this. I can say that I can afford this flat quite comfortably. In fact, after I have bought it, another transaction was done with price higher than mine.....hit above the 1 year high. Seems property market is going up again.

My flat is less than 5 years old. So, I plan to stay in it as long as I can. I will downgrade when I am retired to realized gains for retirement (hopefully). Or I'll just leave it and rent it out to finance my stay in a nursing home when I need it.

I have some amt in OA tied up in investments and paid 15% downpayment, stamp duty and lawyers fees. Found that I still have a small excess in OA. I just transferred them to my SA. My mortgage loan is ending when I am 60. So, I plan to pump up my SA now with min sum cpf top up and any excesses in my OA will be trf to SA. Trying to get govt to pay for part of my flat when I am 55.  4% interest in SA vs the around 2% mortgage interest....decision making is a piece of cake.  ;)

A nursing home in Singapore run by First REIT.

Now I have half the current prevailing min sum amt in SA and hit the ceiling of my MA. The only issue I have is that as my SA hits min sum earlier, I may not be able to make further contribution for tax relief purposes.

So, this is the story of my flat. :)

Congratulations, Ms. Y!


TDSR:
Total Debt Servicing Ratio refers to how much of our monthly income do we use to pay our debts. MAS policy is that TDSR cannot exceed 60%.

MSR:
Mortgage Service Ratio refers to how much of our monthly income do we use to pay our debt secured by properties (i.e. mortgage).  Applies to HDB flats and ECs only. MAS policy is that MSR cannot exceed 30%.


Related posts:
1. Buying an apartment: Considerations for first timers.
2. Build a bigger retirement fund with CPF-SA.
3. Don't see money, won't spend money.
4. National Day Rally: Retirement funding adequacy.
5. Millionaire or not, plan for retirement.