Importance of Estate Planning in Singapore

“My siblings are already fighting over my properties even though I’m still alive,” my uncle joked, acknowledging the numerous businesses and properties he owns. He stressed the importance of securing a competent lawyer to ensure his assets are distributed fairly.

You see, he plans to use his resources to establish a foundation dedicated to supporting vulnerable communities, particularly children who have been abandoned by their parents. This charitable endeavor holds a special place in his heart. He wants to ensure that his legacy will continue to help those in need even after he’s gone.

If he does not craft a Will in time, his estate will be divided according to Singapore’s intestacy laws. Having a Will will enable him to distribute his estate according to his wishes, after his death. It will allow him to give his money to the people he feels needs it most. Can you imagine how this vital document can change the lives of those around him?

Let us begin to understand what a Will is.

WHAT IS A WILL?

A Will is a legal declaration of how your assets will be distributed after your death. It prevents disagreements and provides clarity over your inheritance, which can be distributed to your loved ones or other charitable institutions after you pass away.

Apart from distribution of financial assets, a Will allows you to appoint your executors and your children’s guardians. You can approach a lawyer to help you draft a Will or use an online writing service. Feel free to change your Will anytime you see fit.

WHAT IS INSIDE A WILL?

Your Will should clearly state who is going to:
a. inherit your estate (i.e., include your beneficiary or beneficiaries),
b. take care of your children who are under 21,
c. carry out your wishes (i.e., your executor), and
d. dispose your assets if your beneficiaries pass away before you.

WHAT ARE THE BENEFITS OF ESTATE PLANNING?

1. As mentioned above, estate planning helps ensure that your assets are distributed according to your wishes after your death.
2. It specifies who will manage your affairs after you pass away to ensure that your matters are taken care of in a timely manner. Lasting Power of Attorney (LPA) allows someone to make decisions on your behalf in the event that you are unable to do so yourself.
3. It can help minimize taxes and legal fees.
4. Estate planning aids in ensuring that your business is smoothly transitioned to your heirs or successors.

CAN YOU PUT YOUR CPF IN THE WILL?

Central Provident Fund (CPF) savings are not covered under a Will and cannot be distributed via a Will.

You are strongly encouraged to make a CPF nomination so that your intended beneficiaries or charities can have quick access to the funds once unforeseen events happen. Moreover, completing your CPF nomination can help lessen administrative delays and avoid paying a fee to the Public Trustee’s Office for administering un-nominated CPF funds.

Not having a CPF nomination can result to your savings being distributed according to Singapore’s intestacy laws (or Islamic inheritance law).

WHAT IF I HAVE NO WILL?

If you die without creating a Will in Singapore, your assets will be distributed according to Singapore’s intestacy laws or Islamic inheritance law. The Intestate Succession Act (ISA) will take effect. Distribution following the law may not be in accordance with your wishes or may not fit your family’s current financial situation.

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Having a Will enables you to distribute your assets on your own terms. Whether you want to provide for your elderly parents or your children, updating your estate plan regularly can ensure that it remains relevant and effective in light of changes in your personal circumstances and the law.

Sources: 1, 2, & 3

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How to Negotiate a Salary Increase in Singapore

Negotiating a salary increase can help you maximize your earnings in the Lion City. Although Singapore’s salaries are among the highest in the region, the cost of living is also high. If you are considering a salary negotiation, here are some ways to increase your confidence and make the task less nerve-wracking.

#1: BE PREPARED

Before entering any negotiation, it is crucial to do your research. Preparation can help you reduce your nerves. Research the industry’s average salary for your designation, the company’s financial performance, and any related economic factors.

You can use Salary Comparison tools online, which are designed to give you a comprehensive overview of key roles and their respective salaries. For instance, you can check out MOM’s Salary Comparison feature to compare your salary across organizations of various industries, establishment sizes, and employee types. This free feature comes with colorful graphs, which makes the information easy to understand.

#2: DESCRIBE YOUR ACHIEVEMENTS

When negotiating a salary increase, display your accomplishments to underscore the value you bring to the company. Highlight any projects you have led or have been involved with as well as the recognitions or awards you have received.

Do not forget to focus on the numbers! You can try to deny it as much as you want, but businesses revolve around making profits and growing numbers. Use statistics as direct proof of your contributions to the company. For example, in the past two months, I have brought in three new clients, which resulted in an 80% total increase in the company’s sales.

#3: IGNORE YOUR PREVIOUS SALARY

Ignore your previous salary. While it is always better to earn more than in your previous job, using your last drawn salary as a benchmark is by no means a good gauge. You have gained so much experience, skills, and knowledge since then. Instead, look at your objective value to the company.

#4: IMPROVE YOUR SKILLS

When talking about value, your added skills and abilities can help the company to flourish. Turn the tables into your favor by having appropriate education, expertise, and experience. Start by focusing on investing in seminars, workshops, and courses.

Best of all? Most of these resources are available at no cost. In the comfort of your own home, you can acquire Google and Microsoft certificates online. There are other online platforms that offer free courses such as Centre for Excellence and Coursera.

#5: BE SPECIFIC

When stating your intent for an increase, you need to be specific and provide a realistic range. This will give the company some flexibility in meeting your expectations while also opening the floor for negotiation.

#6: CONSIDER OTHER BENEFITS

As an HR Consultant, I often give a brief background about the company and emphasize its company benefits to draw candidates closer to the organization. If your company is unable to meet your desired salary increase now, you can consider negotiating other benefits such as flexible working hours, childcare allowance, improved health plans, training opportunities, or additional vacation leaves. Can you imagine having your company shoulder half of your childcare fees or overseas workshop costs? These benefits add to your overall compensation package.

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BOTTOMLINE

In conclusion, negotiating a salary increase can be challenging. However, with sufficient preparation and the right approach, it can also be a rewarding experience. Remember to do your research, highlight your accomplishments, be specific, invest in knowledge expansion, and consider other benefits. With these tips, you can successfully negotiate a salary increase and maximize your earnings in Singapore.

Sources: 1 & 2

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Benefits & Drawbacks of Using Cash Versus Credit Cards in Singapore

KEY HIGHLIGHTS
a. Paying with cash can encourage mindful spending, as it lacks the convenience that credit cards have.
b. Credit cards have security features and a rewards program, which cash does not have.
c. Interest charges and late payment fees can pile up if you don’t pay off your credit card balance on time.

With the easing of travel restrictions, you are hearing more family and friends discuss their latest holiday plans. Some may even brag about the “free upgrades” they received on flights and hotels by using their credit cards’ miles and accumulated points.

If you are feeling tempted to get a credit card to reap its benefits when you travel, remember to do your own due diligence, and understand the pros and cons of using credit cards versus cash. Both credit cards and cash are widely accepted as payment methods in Singapore. It is imperative that you weigh your options and consider your spending habits, before deciding.

BENEFITS OF USING CREDIT CARDS

#1: UNDENIABLE CONVENIENCE

Credit cards allow you to make purchases without carrying cash, which can be more convenient when you need to make large purchases. You do not need to worry about queues at the ATM, or whether you have enough cash in your wallet. Simply swipe the card anytime and anywhere.

#2: REWARDS AND PROMOTIONS

Many credit cards offer promotions and rewards such as cashback, discounts, and points. You can earn rewards by swiping your card for everyday purchases, which can help you save money in the long run. If you play your cards right, you could be one of those people who fly for “free” due to their air miles redemptions. Imagine boarding the plane and redeeming the staycation of your dreams, without any additional spending on top of your usual expenses!

#3: SECURITY FEATURES

Credit cards come with fraud protection features such as receiving a notification for each transaction. This means that if your card is stolen or used illegally, you won’t be liable for charges. Call the credit card issuer immediately to inform them of any unauthorized transaction. Moreover, you can cancel a credit card if it is lost or stolen.

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In contrast, cash does not give consumer protection against fraud and theft. In the unfortunate event that your wallet is stolen, all the cash inside would certainly be gone.

BENEFITS OF USING CASH

#1: NO FEES

While having a credit card does make purchases in foreign currencies seamless, they tend to come with relatively high foreign exchange fees and unfavorable foreign exchange rates. When you use cash, you do not have to fret about paying fees or interest. Furthermore, some retailers offer devices that are cheaper when purchased in cash.

#2: SPENDING CONTROL

At one point or another, you have probably gone down the rabbit hole of splurging on an item that costs more than your budget. When this happens, sticking to your available cash will be your best bet to stay within your means. Using cash can enable you to track your spending and avoid overspending. With a limited amount of cash in your wallet, you are more likely to think twice before making a purchase.

#3: WIDELY ACCEPTED

While credit cards are widely accepted in Singapore, there are still some places where you can only pay with cash. Small local businesses, hawker centres, or street vendors may opt for cash transactions.

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The choice between credit cards and cash comes down to your financial situation and personal preference. If you value convenience, rewards, and security, a credit card may be a better choice. However, if you prefer mindful spending and avoiding fees and hidden charges, then cash may be the way to go.

Sources:1,2, & 3

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How to Save Money When Travelling on a Cruise

Last March, my husband and I witnessed the wonderful union of his cousin and her long-term beau. When the ceremony ended, they packed their bags and went to a cruise that journeys from Singapore to Penang and Penang to Phuket. A ticket can cost as low as S$415 per person for a 4-night cruise.

I wondered how crucial it was for them to book this trip on time. As newly minted husband and wife, they need to save up money to build a life they dreamed of. What are the strategies that newlyweds, retirees, or young adults can use to save money when booking for a cruise?

#1: TIMING IS CRUCIAL

Tickets may be reduced at the last minute to fill up empty spaces in a ship. However, you could score the best prices when you book early. Booking a year in advance will help you snag the lowest rates and get you on the cruise you specifically desire. It is likely to get you the best prices on the most sought-after staterooms too. So, keep checking in or sign up for price notifications to weigh your options.

#2: SAVE MONEY ON BOOZE

You can save money on booze by researching the cruise ship’s alcoholic beverage policy. While some cruise lines let you bring your own alcohol on board, others forbid it. For cruise lines that allow you to bring your own alcoholic beverage, most put a limit of one bottle per person.

For instance, Royal Caribbean International allows each guest of drinking age to bring one sealed 750 ml bottle of wine or champagne. Guests who bring more than one bottle at the beginning of the first sailing should have documentation to share with the security.

#3: CHARGE ALL YOUR GADGETS

When you are limited to one or two electrical outlets in your room, it can pose a problem to keep all your devices charged throughout the day. Solve this issue by keeping a compact travel adaptor to charge multiple devices at the same time. These adaptors are sold for as low as S$4 online.

#4: SIGN YOUR KIDS UP FOR COMPLIMENTARY ACTIVITIES

Several cruise lines offer kid-friendly activities at no cost. Apart from these kid-friendly activities, cruise lines such as Royal Caribbean offer a youth club called Adventure Ocean program, which is essentially a day care for children whose ages range from 6 months to 12 years old. Multiple programs and games are planned out for your loved ones to enjoy. Programs such as these will allow you and your partner to enjoy quality time together.

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#5: CONSIDER THE TIME OF YEAR

Supply and demand dominate the pricing strategy of cruise lines. Thus, it is more costly to book a cruise during Christmas or Summer break. If you have more flexibility to go with your children or your partner during off-peak season, you can save a lot of money.

#6: JOIN QUIZ NIGHTS

Skip on the souvenirs found in the gift shops and join quiz nights to win exclusive prizes instead. Quiz nights are one of the most underrated things on cruises. Spend your evening answering trivia questions to win prizes that you take home with you. Just secure a spot in advance.

#7: LOYALTY PAYS

Once you’ve experienced the luxuries of a cruise, it’s highly likely that you’ll be hooked. Fortunately for you, most cruise lines offer loyalty schemes, which reward returning guests with upgrades and special packages.

Regent calls its membership scheme the Seven Seas Society, which ranges from Bronze to Commodore. While Princess Cruises’ loyalty program is divided into four tiers namely Gold, Ruby, Platinum, and Elite members. Lastly, Star Cruises offer the Star Cruises Genting Rewards, which are split into five tiers. Join a loyalty program that suits you best.

#8: MAXIMIZE YOUR CREDIT CARD’S POTENTIAL

Some credit card reward programs can be used for booking trips on cruises. You can save using your points or cash out your reward points close to your cruise date. This will help you to reduce the cost of your cruise ticket or to help pay for items on your cruise.

#9: GET SEA SICKNESS REMEDIES FOR FREE

Natural seasickness remedies such as green apples and saltine crackers are typically free on a cruise ship. Many crew members strongly advocate these tried-and-trusted natural remedies. Alternatively, you can simply ask Guest Services or your stateroom attendant for some seasickness medication. Do not hesitate to ask!

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Source: 1,2, & 3

 

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Extremely Drained from Work? Here are 5 Ways to Feel Less Tired

There’s something about working eight hours a day that leaves us feeling exhausted. Whether you constantly deal with difficult clients or completing an important project, a day at work can leave you unmotivated to do anything else. How are you supposed to meet up with your friends or to teach your child how to accomplish his homework?

Feeling depleted or burnout due to work demands can manifest in a variety of ways such as:

a. having negative, cynical, or pessimistic feelings about your job,
b. finding it difficult to be productive, and
c. feeling less confident about your work.

If you experience any of these symptoms, it may be time to start identifying the triggers that may contribute to your fatigue and consider making changes to achieve a healthy work-life balance.

WHAT IS STRESS-RELATED FATIGUE?

When you are heavily suffocated with stress in the workplace, you can experience stress-related fatigue. Feeling emotionally and physically down can be due to being sedentary at work, consuming too much sugar and caffeine, not taking enough breaks, and being in a stressful work environment. You may deal with this type of fatigue because of heavy workload, job insecurity, or other life and work stressors.

#1: SKIP ON CAFFEINE

We cannot deny the stimulating effects of caffeine, but if you do not want to spend the entire night scrambling around, drinking espresso after work is probably not a good idea. Try munching a banana instead.

You will be surprised by how a banana boosts your productivity! Bananas are a fantastic source of carbohydrates, natural sugar, and vitamins. All of these helps increase your energy levels.

#2: TAKE A POWER NAP

During your lunch break or after work, you can consider taking a power nap. If you can find a quiet space to rest, napping earlier in the day is better to avoid ruining your nighttime routine.

Even a 20-minute nap will help revitalize your body and make you feel fresh. However, be sure to set your alarm to prevent oversleeping. Otherwise, you’ll wake up feeling groggy.

#3: EXERCISE REGULARLY

After an exhausting day at work, you might feel that exercise is the last thing on your mind. Believe it or not, regular exercise will make you feel less tired in the long haul. Walking and physical activity can help manage stress and increase your energy levels.

Do this gradually. Build up your stamina over time until you reach the recommended goal of 150 minutes of moderate-intensity aerobic exercise (e.g., cycling, doubles tennis, or brisk walking) as well as strength exercises on 2 or more days a week that work all the major muscles (i.e., legs, hips, back, abdomen, chest, shoulders, and arms).

#4: DRINK MORE WATER

You’ll likely notice a change in your mood, ability to concentrate, and energy level when you are dehydrated. In fact, studies have shown that being just half a liter dehydrated can elevate your cortisol levels. So, keep fatigue at bay by drinking water sufficiently. Drinking enough water can help reduce the negative psychological and physiological impacts of stress.

Image Credits: pixabay.com

#5: CONSIDER TALK THERAPY

Research shows that talking therapies such as counselling or Cognitive Behavioral Therapy (CBT) might help fight fatigue or tiredness, caused by stress, low mood, or anxiety. Ask for support from your trusted social circles or seek professional help.

Sources: 1, 2, 3,  4, & 5

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