Studying Hard vs Financial Planning

I recently had a conversation with a university friend whom I hadn't met in 25 years. During our conversation, my friend, who has two children, mentioned an intriguing question asked by one of their children: "Why should we study so hard when the government approves a minimum wage starting at RM 1,500 per month?" My friend was stunned by this question, and I couldn't help but smile. Determining Your Future Salary The real question to ask is, "How much will be your last drawn salary if you start with RM 1,500 per month now?" Let's assume you begin working at age 20 and plan to retire at age 60, giving you 40 years of working life. For the sake of simplicity, we'll assume a permanent annual salary increase of 4%. The answer is that your last drawn salary upon retirement at age 60 will be RM 7,201.50 per month! In contrast, considering an article that suggests a fresh graduate's starting salary will be RM 2,500, and assuming a permanent increase of

It is too late now to buy REITs

REITs is one of the investments that have almost the same return as rental income. I repeat, almost the same as rental income, BUT not property investment. You need to differentiate between both. Rental income is for a stream of income and whereby property investment is for capital gain.

There are few write up published by the local newspapers, i.e REITs – is the worst over? , REITs sector poised for a strong comeback and REITs remain a good bet

During 2020 whereby shopping mall and offices rental income is badly affected, REITs prices have dropped. However, the price started to regain lost ground. I made a simple chart for a few REITs that have high dividend yield, low PE, and high ROE. Although the date when I prepared this chart was in February, most of the information still maintain relevant at the moment. Hope you can use it as a good reference only for your own research purpose.

#jpost #financialplanning #investmentplanning #REITs


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