Anna Agoncillo, Author at MoneyDigest.sg

Best Resources For Retirement Planning In Singapore (These Are Free Too)

In 2014, a survey by DBS bank showed that over 76% of the participants said that their key long-term financial goal is to have sufficient for retirement. Why are these people not ready? Perhaps time and awareness are the factors.

Majority of people think that saving for retirement can wait until you are more stable later on in life. Some may get caught up with their spending patterns and life events such as celebrating weddings and raising children.

There is never a “great” time to start planning for your retirement. But, there are good advantages if you started early. However, if you are starting late today then, you will have to work harder to grow your retirement fund. Moreover, you cannot afford to lose money anymore so; you must avoid investments with higher risks.

After shedding a light into the importance of retirement planning earlier on, here are the best yet free resources for retiring in Singapore (aside from the fantastic Money Digest) :

1. RETIREMENT CALCULATOR BY AVIVA

Aviva is a British multinational insurance company that provides services across 16 countries. Since they have a branch in Singapore, their website features a retirement calculator that tells you how much money you need to live comfortably in your golden years. Also, it takes expected inflation into account. Personally, I found Aviva’s Retirement Calculator as easy and user-friendly but I still want to get more information out of it.

Get it here.

2. CPF RETIREMENT SAVINGS INTERACTIVE CALCULATOR

As I said, I seek more functionality from the above retirement calculator. Which is why I continued my search. In my conquest I found a comprehensive retirement calculator that is validated and created by Central Provident Fund (CPF).

CPF is a social security savings plan that has provided the working Singaporeans with confidence and a sense of security for their retirement years. A part from this, they offer online guides and resources such as the Retirement Savings Interactive Calculator. This calculator allows you to assign values for your current age, desired retirement age, desired retirement income, return of investment, and so on. The results will show the number of years you need to save and the cumulative savings necessary to age gracefully. Furthermore, it provides charts and graphs to enable you to understand the numbers more.

Get it here.

3. VANGUARD RETIREMENT INSIGHTS

A premier international website for retirement information is owned by the Vanguard Group – an American investment company. Vanguard’s retirement resources are divided into three categories namely: saving for retirement, nearing retirement, and living in retirement. They provide tips, guidance, and advice using simple terms that would not require a genius to understand. Additionally, it offers retirement planning tools such as creating a realistic retirement budget.

Browse it here.

4. HSBC SINGAPORE RETIREMENT PLANNING

Going local, you may browse through the articles by HSBC Singapore. These articles feature detailed information about the future retirees in Singapore, 8 steps to have a confident retirement, and a guide to retirement planning. Also, it includes localized researched statistics, charts, tables, and graphs. But, I cannot deny the fact that it advertises HSBC’s own retirement services too.

Browse it here.

Image Credits: pixabay.com (License: CC0 Public Domain)

Things You Should Not Be Spending Too Much On

As all the expenses adult life throws at you outpour, it can be difficult to manage your finances regardless of how much you make. One of the best ways to improve your situation is to trim your daily costs. Figure out what exactly you are paying for by knowing which things you are spending too much on.

1. FOOD

If you have been eating restaurant food almost everyday because you do not cook much then, you really need to cutback on your food expenses. Here are some viable suggestions:

a. If eating out is unavoidable, you must eat smart by making healthier and cheaper choices in just 5 ways.

b. When you are shopping and cooking at home, think about these awesome veggies and fruit hacks that will help you to be healthy and to save more.

c. Just because the food is deemed or claimed as healthy – that does not mean it always is. For example, most diet often has enough protein intakes already but some people still add the protein powder. By doing so, the person is at risk of excess protein, which is actually bad for the health. When your normal eating diet is protein sufficient then, save on expensive medical bills by skipping the protein powder.

2. HANDPHONE INSURANCE

Yes! It is better safe than sorry but some of the Smartphone mishaps can be fixed or even prevented for less. Spare yourself some money and time by subtracting handphone insurance and Smartphone repair to your expenses. Here are some viable suggestions:

a. Instead of paying 3-4 months of handphone insurance because you are scared of water damage, a well-reviewed waterproof case will only cost you S$21.

b. With continued use; your charger may not fit as well into the port as it did before. The simple way to fix it is to use a sharp toothpick to remove the lint and dirt from the port. Clean the rest of your phone by using cotton swab/ cotton buds/ cotton tips with drops of distilled water on it.

c. Overtime, you may experience hearing an inferior sound when you plug the earphones into the “jack” (usually on the upper-right hand corner of the phone). To fix this audio quality, stick a cotton swab into the jack and use it to clear out any dirt.

3. GREETING CARDS

I know everyone would agree that those stores bought greeting cards are too pricey for its materials. A minimum of S$4 per card (i.e., price of a common brand) for every occasion and for every special someone can add to your expenses fast. Do not get me started with the price of famed Hallmark cards!

A frugal alternative is to print free greeting cards that are available online. I personally recommend the free printable cards, invitations, and envelopes from greetingsisland.com.

4. DIAMOND RINGS

Since wedding and engagement are events that happen once in a lifetime, people often rationalize their spending for the diamond rings. Jewelry, in general, is an expensive category in itself. Expensive jewelry plus an emotional event can result to overspending. If you try to spend less, you will feel guilty and cheap. Fortunately, you can negotiate with the prices by knowing the 4 C’s namely carat, clarity, color, and cut.

Image Credits: pixabay.com (License: CC0 Public Domain)

Now, you may ask the local jeweler if he or she is willing to change the setting of the ring for a discount or even for free. That will surely lower down the overall amount.

Sources: 1 & 2

6 Amazingly Affordable Toys That Can Make Your Child Happier And Smarter

I smiled when I saw the definition of the word “toy” at dictionary.com. According to it, toys are supposed to serve as a diversion rather than practicality. It is also an object that typically represents something familiar for children or others to play with. As a children’s teacher I can vouch for that meaning. Sometimes, we use toys to divert the kids’ attention while we prepare for the class. I am sure some moms use toys as a distraction for them to do chores too!

If toys are so helpful and pervasive, are there cheaper alternatives? Fortunately, there are. You can use your imagination and creativity to make handmade toys. Not only can you save more money but you can also increase the toys’ safety.

Two types of toys are mainly in the market today namely: educational toys and entertaining toys. Let us start with the latter…

FUN TOYS

1. MADE OF MILK CARTON

It is vital for kids to consume more milk in order for their bones to grow stronger. And, after they finished the whole carton, do not throw it just yet. You can transform an empty milk carton into a sailboat that can survive sizable splashes of water.

Full instructions – here.

2. MADE OF SPONGES

Have you ever played Jenga or Tumbling Towers? It is a fun game that you and your little ones can get addicted to. But, a new box can cost over S$19. Save more money while retaining its structure by making block pieces out of sponges.

Image Credits: facebook.com/pages/Toddler-Approved/179029702145360?fref=photo

Alternatively, you can practice making patterns or letters out of it. Full instructions – here.

3. MADE OF SHOEBOX

Have you saved up old newspapers, shoeboxes, and rubber bands? Well, you can turn those things into an old-fashioned toy guitar. Browse here for full instructions.

SMART TOYS

1. IMPROVE THE CHILD’S TOUCHING SENSATIONS

Various childcare and preschool centers include sensory tables to improve the fine motor skills and touching sensations of the young minds. Make your own by taking a simple wooden base out of a plastic bin. Then, you can fill it with colorful beads, dried beans, handful of rice, and so much more. This set toy will keep your child occupied for hours!

Image Credits: https://www.facebook.com/RingAroundtheRosies

Full instructions – here.

2. IMPROVE THE CHILD’S VISUO-SPATIAL AND PROBLEM SOLVING SKILLS

Say the weather is not friendly enough to go to the nearby playground, what you can do is to round-up your kids, take a large sheet of paper, and several shaped blocks. Then, challenge them into a giant block puzzle. Let them figure it out on their own. Full instructions – here.

3. IMPROVE THE CHILD’S PHONETICS

A toy made out of inexpensive materials can go a long way in terms of improving your child’s language abilities. Repeat the letters and add sounds as you read along the alphabet board (full instructions – here).

Image Credits: nicandkate09.blogspot.com

Also, you can incorporate magnetic letters for your child to match it with the alphabet board accordingly. This activity is both educational and enjoyable! 🙂

Reminder: Although the ingredients and materials used are safe, it is still essential to look after your child from time to time to avoid any unforeseen events.

Sources: 1 & 2

4 Ways To Significantly Decrease Your Living Costs In Singapore

According to Investopedia, “Cost of Living” is the amount needed to sustain a certain level of living that includes basic expenses such as food, taxes, housing, and healthcare. This factor can make a difference especially if your salary is sustained in an expensive city such as ours. Your salary can go further at a developing city but it may barely go buy at a developed one. Logically, it is important to take measures that help you decrease the costs. Start with these four ways:

1. SAVE ON EDUCATION FEES

Aside from transportation, housing, and food, one of the family’s major expenses is the education fee. Childcare as well as tertiary education is costly for the parents especially if they have two or more students in the family. Topping the fees are the pile of miscellaneous such as school supplies, uniforms, camps, and other extracurricular activity expenses. Fortunately, there are some organizations that offer student grants.

The NTUC Bright Horizons Fund offers financial assistance to children from underprivileged families. The amount of assistance varies according to the gross household income or per capita income. Also, there is a minimum co-payment fee of 2% and an additional S$20 for Union Members.

While adults’ aged 35 and above that earn not more than S$1,900 can upgrade their skills with the Workfare Training Support (WTS) scheme. These adults can benefit from 95% course fee funding on various courses including part-time diploma or specialist diploma at the five local Polytechnics. Imagine how many opportunities you can get after!

2. SAVE ON TAXES

Each year, hundreds of tax deductions and credits may go unclaimed due to the lack of taxing knowledge. Be sure to maximize the tax reloads that are applicable to you by checking out the information provided by the Inland Revenue Authority of Singapore, here.

3. SAVE ON TRANSPORTATION

The good news just keeps on rolling! Early commuters can board the MRT for free before 7:45 am on the weekdays (i.e., excluding public holidays)! The no-cost rides are available at 18 MRT stations namely: Somerset, Bayfront, Bras Basah, Bugis, Orchard, Chinatown, City Hall, Clarke Quay, Dhoby Ghaut, Downtown, Esplanade, Lavender, Marina Bay, Outram Park, Raffles Place, Tanjong Pagar, Promenade, and Telok Ayer.

If you missed the cut-off timing for a few minutes, fret not. You can still indulge on 50 cents off your fare if you exited the designated stations. To be eligible for these, you must not enter from the 18 stations mentioned above. Your savings on transportation can pile up as time goes by.

4. SAVE ON WATER

We cannot live without clean water. Therefore, you must employ saving habits to lower down your bills. Learn a thing or two from this illustration:

Image Credits: pub.gov.sg/CONSERVE/HOUSEHOLDS/Pages/Watersavinghabits.aspx

Sources: 1, 2, & 3

4 Ways To Speak Up And Save More S$

As awkward as this may seem in the context of our Asian culture, if you asked for a good deal…there is a higher possibility of receiving it.

Confidently, politely, and effectively asserting yourself towards the seller, the owner, or the company itself can help you increase both your knowledge and your savings. Apply this notion in these situations:

1. NEW FEES OR CHARGES

New fees or charges can exist if your cable, telecommunications, or other services provider changed their terms. Perhaps you received a lengthy letter, which you ignored, but it is your right to know what these new charges are for. Some companies are open to suggestions and negotiations. So, do not hesitate to ask them for an informative explanation.

2. FLEA MARKETS, SALE FAIR, OR THRIFT SHOPS BARGAIN

Say you are at a flea market, sale fair, or thrift shop and you found a book trilogy but the prices seem high. Instead of challenging the seller in a negative tone (e.g., Why is the price tag so high? or The books are not even in good condition!), you must show your adoration in a positive tone.

For instance, you may tell the seller that you admire the author very much and that you are willing to take home all of it for a discounted price of S$10 (i.e., getting the third book for 50% off). The seller would most likely agree since your approach was respectful.

3. DISCOUNTS FOR GROUPS

I worked previously at a yoga studio that offered cheaper prices if you went for their group classes. It goes the same for other fitness centers or beauty salons especially if they had recently opened. Group discounts can be availed by family members or friends. All you have to do is to ask the counter if they offer it because some of the special rates maybe unadvertised.

4. DISCOUNT FOR MINOR PRODUCT ISSUES

Smart shoppers use minor product issues such as slightly bruised home decorations or missing buttons as bargaining tokens to get at least 5% discount. For example, you noticed that the milk at your local mart is expiring soon, you may ask for a reasonable discount at the counter.

Image Credits: pixabay.com (License: CC0 Public Domain)

They are most likely to agree to this because they are able to keep you as a loyal customer at no significant price loss. 🙂

Sources: 1 & 2

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