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A lot of people think that CPF deduction is "Pay yourself first". It is true to certain extend during old day. But now most of the people use up their OA to pay for property (in somecase need to top up with cash).

(01-03-2013, 03:31 PM)kang Wrote: [ -> ]

(01-03-2013, 02:50 PM)Musicwhiz Wrote: [ -> ]

(01-03-2013, 09:51 AM)kang Wrote: [ -> ]I'm curious how many people actually does pay themselves after receiving their pay cheque every month or is their salary used to pay off bills, splurge on entertainment and miscellaneous?

I've been practising that (in bold) for a number of years already. It's called "Paying Yourself First".

I'm quite surprised that quite a handful of people does not practise this. This should be the way to start one's savings.

So I'm not surprised that when contingency arises, people revert to complaining money not enough.

It really also depends whether the money used is for needs or wants. Sometimes people get confused over needs and wants. The wants become a need. And hence the cycle repeats.

Wow so many prudent teaching here. Just to share, cousin up north salary rm3k, owns 8 cars at home to the extent he can do his own mini personalized car trading hobby. Coe , whatever car tax terms, 50%-60% loan ratios so many ratios & formulaes used here to control pple's behaviors here are merely an illusion.

Pianist, now that you have mentioned it, I do have a close friend(early 30s) who's up north in KL.
Earns an average monthly wage with his wife.

But 3 cars(including a lexus) 2 apartments and a semi D.
There was a little help from the parents but not much, and they managed their
monthly payments despite the high interest rates. Makes me wonder.

haha... official salary rm3K, but a lots of undeclare income ma.

(01-03-2013, 09:18 PM)pianist Wrote: [ -> ]Wow so many prudent teaching here. Just to share, cousin up north salary rm3k, owns 8 cars at home to the extent he can do his own mini personalized car trading hobby. Coe , whatever car tax terms, 50%-60% loan ratios so many ratios & formulaes used here to control pple's behaviors here are merely an illusion.

The Straits Times
www.straitstimes.com
Published on Mar 03, 2013
It's a slow Saturday at showrooms as buyers stay away

By Lim Yi Han

There were more salespeople than customers in some car showrooms yesterday.

Buyers appeared to be staying away, even from used car dealerships, on the first Saturday after the central bank announced tough new car loan curbs.

Despite promotions by some dealers, including Toyota agent Borneo Motors, buyers did not appear to be biting.

Car dealers said it was still too early to tell the direction the market was heading.

Mr Collin Teo, general manager for sales and marketing of Mercedes-Benz dealer Cycle and Carriage, said: "Over the past few days, people have been taking a wait-and-see approach. We introduced promotions to adjust to customers' concerns, and reception has been quite good."

But there were no figures yet for sales.

Among used car dealers who said business had already gone down over the past few days was a gloomy Mr Kelvin Tan, 41, who was already predicting that some would go under.

"We have to mark down prices by 10 to 20 per cent just to entice buyers," he said. "But business will still drop up to 50 per cent."

Mr Walter Koh, 29, a sales consultant at used car dealership Apex Trading, said: "It's a risk to mark down prices but we are more flexible with discounts now. It's hard to buy a car now unless you have cold, hard cash."

At some showrooms for new cars, dealers said sales yesterday were similar to other weekends before the new rules.

Mr Ron Lim, general manager of sales and marketing at Nissan agent Tan Chong Motor, said: "Traditionally, our buyers are more prudent, so the car loan curbs probably will not affect us a lot.

"But the curbs will definitely bring down the pool of people who can afford a car."

Some buyers, however, went ahead to make a purchase.

Mr S.H. Hoo, 58, a manager, said he booked a Toyota Corolla Altis at $97,488 and will have to make a down payment of about $50,000. He placed a deposit of $10,000.

He said: "There's a promotion going on and the price is good. I thought of waiting because the COE price might go down, but we can't be sure."

how come MAS has not restricted 100% financing for expensive luxury watches? I tot the hour glass now has tied-up with banks to allow 100% financing (plus it is interest free somemore) for one to buy their watch? no cap on the number of watches allowed under such scheme?

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(02-03-2013, 02:19 AM)Big Toe Wrote: [ -> ]Pianist, now that you have mentioned it, I do have a close friend(early 30s) who's up north in KL.
Earns an average monthly wage with his wife.

But 3 cars(including a lexus) 2 apartments and a semi D.
There was a little help from the parents but not much, and they managed their
monthly payments despite the high interest rates. Makes me wonder.

maybe u can ask him to find out more..
cousin last month wedding, just visiting cars alone parked inside his house compound is > 50..

due to my stingy ways in always getting a 6-7yr used car n paying for it in full, i have escaped from this coe bubble unscathed. to me, i liken car prices to be like share prices. the real value of a car is actually paper plus body. in a brand new car, the selling price is way way above.it. its like buying a high pb stock. cars nearer 10yrs will be close to this paper plus body value. i call this a value buy. but if the mileage is extremely low n condition extremely good for a car close to its paper plus body, i call this like an undervaluef stock!
i think few pple share this view.
i recall yrs ago, when i bought a 61/2yr gs300for 57k, the saleperson at swee seng credit told me that no one else even enquired abt this car n few pple my age would be interested in such an old car n wld pay full also. cos a person who can fork put 60k cash would more likely use it to downpayment an e class or 5series at the very least.
maybe i am too stingy like my wife says. haha.

(03-03-2013, 05:42 PM)paullow Wrote: [ -> ]due to my stingy ways in always getting a 6-7yr used car n paying for it in full, i have escaped from this coe bubble unscathed. to me, i liken car prices to be like share prices. the real value of a car is actually paper plus body. in a brand new car, the selling price is way way above.it. its like buying a high pb stock. cars nearer 10yrs will be close to this paper plus body value. i call this a value buy. but if the mileage is extremely low n condition extremely good for a car close to its paper plus body, i call this like an undervaluef stock!
i think few pple share this view.
i recall yrs ago, when i bought a 61/2yr gs300for 57k, the saleperson at swee seng credit told me that no one else even enquired abt this car n few pple my age would be interested in such an old car n wld pay full also. cos a person who can fork put 60k cash would more likely use it to downpayment an e class or 5series at the very least.
maybe i am too stingy like my wife says. haha.

I do share your view. That partly explains you are wealthier than most of your peers at your age

(03-03-2013, 09:18 PM)CityFarmer Wrote: [ -> ]I do share your view. That partly explains you are wealthier than most of your peers at your age

Haha CityFarmer, I've never bought a car all my life but somehow I ended up less wealthy than most peers my age, who have at least one investment property! Sometimes, it's also a combination of luck and opportunity in life.

(03-03-2013, 09:21 PM)Musicwhiz Wrote: [ -> ]

(03-03-2013, 09:18 PM)CityFarmer Wrote: [ -> ]I do share your view. That partly explains you are wealthier than most of your peers at your age

Haha CityFarmer, I've never bought a car all my life but somehow I ended up less wealthy than most peers my age, who have at least one investment property! Sometimes, it's also a combination of luck and opportunity in life.

Haha, i agree that luck and opportunity play an important part but not a critical part to success, IMO

Owning an investment property does not automatically mean wealthier. Net worth is the keyword especially if the investment property is bought recently.