A couple of years ago, I attended a talk by EPF. During the talk, we were reminded that the Malaysian retirement age is 56 and that whatever savings we would have dutifully set aside in EPF will NOT last us more than 10 years – and that’s with careful financial planning and living moderately.
Now let’s just say you earn an average of RM1,200 a month after retirement, this would mean that after retirement you’ll be given a pension allowance of about RM600. Please take out a piece of paper and list the things you’ll be able to get for RM600 today. This value will decrease in the coming years. What do you think you’ll be able to afford then? Haven’t thought about it have you?
PLEASE WAKE UP!
You have to start leaning new skills and ways to generate more income for yourself because neither the government nor anyone else is going to ensure that you are well taken care of in your later years. Think having children will help? Dream on. Most of them will be happily doing what they want to do and in any case, do you really want to depend on someone else, family or not?
You have to start learning new skills and ways to generate more income for yourself right now. You must leave your employee mindset behind and become an entrepreneur and forget completely about living one day to the next.
Look at what you’re spending your money on right now. Is there anything that you don’t really need but spending a lot of money on? Cut that away and learn to live simply but comfortably.
And don’t kid yourself into thinking that you’re fine as long as your house and car are paid for and that you have life insurance. You still need to survive. You can’t eat your house, car and insurance policy if you are hungry. Stop taking easy and start busting your behind so you can relax in the years to come. Hard work won’t kill you but an empty stomach will.
3 comments:
Reality again. good reminder.
Very true! Financial Independent is always seem so far away huh.. Ernie has yet to mention about inflation (particularly our clever leaders who jack up petrol price) that is gonna hit us really bad.
In life, we always worry about "leaving" too soon [die to early]; and living to long! I like your phase:
"work hard wouldnt kill you; but hungry stomach will"..
Work hard, stay at the top and over the top!!
Actually most people are dead by the time they are 30. They just retire about 26 years thereafter. Why 30, they got themselves into a deadend job and chose to stay there for the next 26 years.
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