How Long Can $1mio last?

[NightWind]

Ang Mos can do this coz in the US, Oz, NZ etc land is cheap. $60-100k gets u an apartment (or small house) in certain parts of the states for eg.

 

Here in today's singapore its a different story. And bro i m quite sure when the time comes you will also chip in and help out your kid la. You will be a nice Daddy lol

 

 

 

i disagree on the asian mentality of forking out for children housing!! education.. ( i envision myself for only local base studies and its not cheap already)

 

 

we should be more like the AM ... by 18 already kick out their children to fend for themselves..

 

goodlucks!!

 

er i doubt it will be just $10-20k. Maybe $100-200k.......just look at todays property prices.

 

 

In my opinion, helping children should be done within individual's mean. If it has reach a point of breaking piggy bank to help children buy house or buy car, obviously the answer is no no.

 

However, if the help is something like giving them 10-20K for renov, or as downpayment for a new car but beyond that it has to be the children to fund the rest, I don't see any big issue. Taking 10-20K from a 1M saving is ok lah.

 

 

 

 

er i doubt it will be just $10-20k. Maybe $100-200k.......just look at todays property prices.

 

 

In my opinion, helping children should be done within individual's mean. If it has reach a point of breaking piggy bank to help children buy house or buy car, obviously the answer is no no.

 

However, if the help is something like giving them 10-20K for renov, or as downpayment for a new car but beyond that it has to be the children to fund the rest, I don't see any big issue. Taking 10-20K from a 1M saving is ok lah.

 

 

 

 

[Mrmilktooth]

Ang Mos can do this coz in the US, Oz, NZ etc land is cheap. $60-100k gets u an apartment (or small house) in certain parts of the states for eg.

 

Here in today's singapore its a different story. And bro i m quite sure when the time comes you will also chip in and help out your kid la. You will be a nice Daddy lol

 

 

 

 

no la,, i dont see myself doing that.. i also grow up in low income family..

 

can help i help.. but $$ wise is very limited.. education projected 20 years later is around 140K for local degree... that one i can cover..

 

rest is up to individual already.. daddy not superman also.. i gotta depend on myself too .. u know??

 

i dont have 1Mil in pocket as per your topic title too.. if have then easy to say..

[Solar]

Bro its not just the school fees. What happens after graduation? In todays Singapore the going is very tough fer new young folks entering the job market. They not only have to compete with FTs, they have to contend with price escalations in housing and transport that are not matched by the adjustments in their wages.

 

In the good old days the newly wed couple are generally financially independent and can buy their own homes. Now, increasingly i see the older folks having to chip in to pay fer the deposits or installments on the new couple's home.

 

 

 

 

i agree with the bros that responded to this.. especially u mentioned the keyword, on their own and not dependable..

financing the education can be considered a parent's basic responsibility to enable him the essential skills (ie. a basic degree) to earn his own keep

but getting or financing the son a house and car imo is really stretching it.

[Jamesc]

 

i suppose u mean 1 mio last the lifetime of the couple. which also mean 500k each.

i think you missed out health insurance.. without it, once the couple grows old and get sick (inevitable), the medical care and stuffs, plus with other daily expenses u list above, the 1 mio will probably be wiped out very quickly.

 

one thing about the cpf... at least, use the medisave in there to buy some insurance.. when the need comes, any payout amount will be good.

i think u can work it out such that the interest earned there can sustain some medi or eldershield without forking out cash.

 

those earning 200k annual will see this 1 mio lasting them only 5 yrs.. 100k, 10yrs, and 50k, 20 yrs

heng i diam diam on that..

 

anyway, it depends on one's lifestyle lah..100k can last only 3 months for some, but 3 years for others.

 

I am always broke so for once I am so happy about being broke

 

cos that 1 mio will last me forever.

 

[Jamesc]

All those people that earn like $500,000 a year.

 

Too bad for you.

 

That 1 mio will just last you only 2 years.

 

Serves you right for earning so much.

 

 

 

[Jman888]

 

i disagree on the asian mentality of forking out for children housing!! education.. ( i envision myself for only local base studies and its not cheap already)

 

we should be more like the AM ... by 18 already kick out their children to fend for themselves..

 

goodlucks!!

 

 

There are older generation wish to leave something behind for their kids, usually to get them a house. Not only older gen, i see some couples in their 30s and 40s working their a** off to service loan on 2-3 properties, saying they want each of their kids to have one property

 

i wish none will kick them out when they were old

[Fuelsaver]

All those people that earn like $500,000 a year.

 

Too bad for you.

 

That 1 mio will just last you only 2 years.

 

Serves you right for earning so much.

 

 

 

then minsters how??? 1 mil last only few mths???

[Freestylers09]

 

 

There are older generation wish to leave something behind for their kids, usually to get them a house. Not only older gen, i see some couples in their 30s and 40s working their a** off to service loan on 2-3 properties, saying they want each of their kids to have one property

 

i wish none will kick them out when they were old

 

 

children can never pay off the debts for the parent..

 

however parents mostly will give the best for their children

 

end of the day, the children wan to do what to parents is what the parent can never think of..no matter how well they thought they have brought them up etc..

 

human can never easily to fathom...lol

[Jamesc]

Children's education is very important

so I told the kids, all the money I am saving now

and not spoiling you with unnecessary branded

 

things I will be taking your mother for a round the world

trip when we retire.

 

If you want to go to uni and make the big bucks

you can either study hard now and get one of those

 

nice scholarships or just enjoy yourself now

and then get a low level job and study at night

and pay for your own school fees.

 

All those people that study at night with their own

money told me they were very motivated to do well

and motivation is very important for children.

 

No need to worry to much about this. Some countries

don't even have schools for all children and everyone

still has a job.

 

[Mrmilktooth]

 

 

There are older generation wish to leave something behind for their kids, usually to get them a house. Not only older gen, i see some couples in their 30s and 40s working their a** off to service loan on 2-3 properties, saying they want each of their kids to have one property

 

i wish none will kick them out when they were old

 

there is a saying that children were the parents enemies in their past life!!... dunno how true... hahaha

[Enye]

 

can help i help.. but $$ wise is very limited.. education projected 20 years later is around 140K for local degree... that one i can cover..

 

 

wah your projection very high

 

medical degree is it?

 

then minsters how??? 1 mil last only few mths???

 

i think 1 mio can last 10 generations for me

 

[Jamesc]

then minsters how??? 1 mil last only few mths???

 

I don't know why but some how I just don't

 

feel any sympathy about that.

 

[Joseph22]

Ang Mos can do this coz in the US, Oz, NZ etc land is cheap. $60-100k gets u an apartment (or small house) in certain parts of the states for eg.

 

Here in today's singapore its a different story. And bro i m quite sure when the time comes you will also chip in and help out your kid la. You will be a nice Daddy lol

 

 

 

 

er i doubt it will be just $10-20k. Maybe $100-200k.......just look at todays property prices.

 

 

 

 

er i doubt it will be just $10-20k. Maybe $100-200k.......just look at todays property prices.

 

 

 

Why need to help them buy house buy car??? I never need help from parents for both. Neither do all my friend.

 

Plus price of house and car go up and down constantly. Doesn't mean now high future will be high.

[Jamesc]

Why need to help them buy house buy car??? I never need help from parents for both. Neither do all my friend.

 

Plus price of house and car go up and down constantly. Doesn't mean now high future will be high.

 

Absolutely right.

 

People always take things for granted but its not guaranteed that in future it will be high.

 

It could be super high that if you cannot afford now, no chance next time.

 

[Fuelsaver]

 

wah your projection very high

 

medical degree is it?

 

 

i think 1 mio can last 10 generations for me

 

pls teach me how to last 10 gen.

 

I don't know why but some how I just don't

 

feel any sympathy about that.

 

they don't need that

[Donut]

Hi all this is an old topic which i am trying to approach from a slightly different angle. How long can SGD1mio last a household based on the following assumptions;

 

1) Household consists of husband and wife with a teenager in local Uni (final year)

2) The teenager son/daughter cannot be depended on for any income source and is infact a current liability untill he/she is financially independent.

3) Both husband and wife have reached mandatory retirement age

4) All houselhold loans and liabilities have been paid off. The house, car etc have all been paid off

5) The household has no other source of income other than their cash savings of SGD1mio

6) Assume null balance in CPF. No value is given to money that you cant see smell or touch.

7) Everyone is in normal health with no big health issues for now.

8) The household has a japanese sedan (Toyota) 1.6l which has 5years COE left

9) The family intends to retire and live here in Singapore

 

Based on the above, if they want to maintain their current lifestyle can they retire now and live on SGD1mio cash? How long will this last them?

 

We had this talk with some colleagues over lunch and the estimates were quite surprising.

In all honesty, based on your pointers, 1 mil is more than enough to retire for this couple.

 

Take care of the most impt factor, which is medical cost coverage. This couple should have the max medical coverage. This will help to pay off any medical cost in the future. The coverage does not need to be the most expensive, aka private hospital A Ward, but it must cover 100% medical cost in a govt hospital.

 

Then this 1 mil can go a long way for this couple, with normal daily living expense. Can even go for holiday once a year.

 

Our daily expenses are actually quite cheap. Get wet market food, home cooked food, its not expensive. Just eat normal, drive normal, shop normal, 1 mil can last a long time. Put some money in low risk Bond or Fixed Income.

[Solar]

 

there is a saying that children were the parents enemies in their past life!!... dunno how true... hahaha

 

more like karma debts.. some come to pay back,.. some come to collect..

[Ahseng]

if u have 1m before u purchase any sort of property, u need to dump all in lor. but if buy resale hdb u would still have some left.

 

But for the old couple in the example, i believe should have no problem surviving all the way la.

 

So old liao, still can enjoy wat meh, everynight go KTV? call mei mei? buy fast fancy cars? no right..at most is slow and relax holidays, just dun go too often can last a long time.