3 questions to ask before retirement
When you want to retire? Depend on how you answer the below 3 questions:
I plan to retire at 50 years old, why 50 years old, my housing loan is finished, another 10 years from now. But my lui lui only 14 years old and my son only 12 years old, So I might have to postpone my retirement or work because I want to not because I have to.
1. How much money does he need in life? Are the needs really needs? After all, we only need so much money in life and the rest is for showing off, someone said.
Example: CAR, car only serve 1 purpose to bring you from point A to point B. No matter what brand of the car Mercedes, BMW or SAGA, everyone have to stuck in a jam.
2. How much money is he saving? To save more money, he has to increase his income and reduce expenses. It is quite simple. Find legitimate and ethical ways to do so.
Example: I think I need to teach tuition part time to increase my income. How I reduce my expenses? By buying stuffs during promotion, etc diapers average (pet pet or drypers -RM 31.90.), buy milk powder from chinese herb store (Friso Gold Step 4 RM 47.50, 900g)
3. How much money are his investments making? If he is leaving the bulk of his money in savings accounts, he is doing himself a disservice. He has to make his money work harder. One way is to make use of weaknesses in the stock market to accumulate some good stocks that will generate good income.
Example: Invest in stock market that target about 10% return. This year failed miserably but must learn from mistake.
Source: http://singaporeanstocksinvestor.blogspot.com/2014/11/work-because-you-want-to-and-not.html