Simmy Money Talk

18/06/2020

Someone once asked me if i regretted any decisions in my life and after thinking hard for 10 minutes, I couldn't think of any.
I guessed as a Economic Student, it taught me that I always have to weigh the opportunity cost of every options.

Opportunity cost represents the benefits of the other options that you will be missing out if you decide to go with option A.
Most people are able to calculate the monetary cost. For example, a bubble tea that cost $4.50. If you were to get it, it will increase your spending by $4.50 (Option A). If you were to drink it 3 times a week, that's $702 spent in a year. If you were to save it (Option B) and invest this money at a rate of 6%, you would be able to get almost $10,000 in 10 years.

But what we always missed out are the indirect cost. Such as time spent queuing up to get the bubble tea, health issues that may follow and your feelings when you did not get to drink the bubble tea.

Every decision we make comes with Pros and Cons. Once we are able to understand what are the opportunity cost of our options, it will lead us to make a better decision and may even open up more opportunities for us!

I have created a printable template for you guys to use, hope it will help in your decision making process~

Find out more about opportunity cost decision making: http://zakslayback.com/frameworks-success-opportunity-cost/
https://www.forbes.com/sites/investopedia/2012/08/21/the-role-of-opportunity-cost-in-financial-decision-making/

03/06/2020

Do you know that most savings account only gives a base interest of 0.05%?

Therefore banks have came out with higher savings account years ago to motivate people to save more money. These accounts works similarly by giving you extra interest when you qualify for certain category. The more category you qualify, the higher interest you will get.

However, with the current economy and the Fed Rates dropping to near zero, banks have collectively reduced the bonus interest for these accounts. Is yours still the best in the market?

20/05/2020

Good news that Circuit Breaker will be ending on 1st June. But Phase 1 will last for at least 4 weeks before we enter Phase 2 and unknown how long it will take to Phase 3. Lets all do our part so that we can get to Phase 3 as soon as possible!
Only leave house for essential matters and remember to wear your mask!
Photo credits: Gov.sg https://www.gov.sg/article/ending-circuit-breaker-phased-approach-to-resuming-activities-safely

07/05/2020

Budgeting and knowing where we spent our money on form the basics of good personal finance. But most of us hate doing the admin work of recording each of our expenses down.

Do you know that the DBS app have a NAV Planner function that does the job for you? It consolidates financial information such as your assets, liabilities, investments, income, expenses and more! This function has help me to simplify the whole planning process. With this information, all I have to do is to analyse and make decisions.

Financial planning is about creating a system to automate and manage our wealth passively. So that as we move towards our financial goals, we are still able focus on things that truly matters to us.

The question is: Have you created yours?

01/05/2020

Thank you to all the essential workers that are on the frontline during this period. Hard times like this,let us all be a little more understanding and considerate towards one another. We can fight this battle together! Happy Labour Day!

27/04/2020

Lets do a quick check on what you have done for your finances so far!

Everyone hate meeting agents that are just there to do more sales. Why not equip yourself with more knowledge on what you currently have, have a better idea of what you may be lacking of and you will be able to make a more informed decision during the process!

Drop me a message if you manage to form a bingo and i'll send you a gift! Its a reward for being responsible of your own finances!

22/04/2020

6 Important Questions to ask yourself before buying insurance!

The Covid-19 Virus is making people panic in every way possible. Some panic buy groceries, some panic buy bubble tea and some panic buy insurance.

Yes, this the best time to re-look into your portfolio but not a time for you to be sold more policies for no reason!

Ask yourself these questions before signing on the line or PM me for advice if you really need that coverage.

15/09/2019

We explain the latest and most important changes for HDB grants and income ceiling requirements.

25/04/2019

05/03/2019

just my mini tips, maybe it's helpful for at least one person

19/02/2019

Here's a summary of Singapore Budget 2019! GST Vouchers, better CHAS Subsidies, income tax rebates.