KUALA LUMPUR: The FBM KLCI erased earlier gains by midday as investors continued to take profit following a six-day rally in the closing days of 2024. At the midday break, the benchmark index was down 2.43 points to 1,630.44. The broader market, however, was positive with 506 gainers compared to 476 decliners, suggesting that investors had turned their attention to picking up bargains among the lower liners. Turnover was 2.4 billion shares valued at RM1.48bil. Investors continue to tread cautiously amid a suggestion by the Federal Reserve that there will be fewer rate cuts this year than initially projected, while the incoming Trump administration will fuel inflation with its growth policies. In China, the Shanghai Composite index dropped 0.46% to 3,247 while Hong Kong's Hang Seng gained 0.87% to 19,794. Singapore's Straits Times fell 1.71% to 3,799. Japan's stock exchange remained closed for a national holiday. On Bursa Malaysia, laggards included Nestle down ...
The poll on "How much do you save from your salary?" concluded in the beginning of the year, however I forgot to blog something on the result. This is because I tends to forget this blog when I blog as it usually get the least attention from me.
The result from the poll "How much do you save from your salary?" really surprised me. Before this, I was having discussion on a forum regarding how much money that some people are saving from their salary and there are just too many forum-ers are replying that they save close to none of their monthly salary and their savings are just from the EPF deduction. It looks like forum-ers are savings close to 0%, while my blog readers are saving more than 20%, though I am not sure whether the 20% is included in the EPF deduction or not.
However, even if include the EPF deduction, it means that there are about 50% blog readers who are savings according to the rule of thumb, which is 10%, while only 10% who are saving less than the rule of thumb.
According to the rule of thumb, it is best to save 10% from your income and to save up to 6 months of expenses (if possible salary) before going venturing to any investment. This is because we will not know what is going to happen next. We might be retrenched and out of jobs for quite some time, but six months of savings should be sufficient to cover all the expenses after retrenched and while we are looking for a new job.
As for myself, I do follow part of the rule of thumb recommended by the professional financial adviser but not all. However, I will make sure that I set my budget and monthly spending guidelines so that I will always allocate up to 9% from my monthly income as my savings. When it comes to bonus month, I will try to save up most of the bonus income. So, it comes to about 10% annually.
More savings not necessarily translate to better retirement life, but not having any savings will definitely leads to a difficult retirement life.
So, are you saving enough money?
The result from the poll "How much do you save from your salary?" really surprised me. Before this, I was having discussion on a forum regarding how much money that some people are saving from their salary and there are just too many forum-ers are replying that they save close to none of their monthly salary and their savings are just from the EPF deduction. It looks like forum-ers are savings close to 0%, while my blog readers are saving more than 20%, though I am not sure whether the 20% is included in the EPF deduction or not.
However, even if include the EPF deduction, it means that there are about 50% blog readers who are savings according to the rule of thumb, which is 10%, while only 10% who are saving less than the rule of thumb.
According to the rule of thumb, it is best to save 10% from your income and to save up to 6 months of expenses (if possible salary) before going venturing to any investment. This is because we will not know what is going to happen next. We might be retrenched and out of jobs for quite some time, but six months of savings should be sufficient to cover all the expenses after retrenched and while we are looking for a new job.
As for myself, I do follow part of the rule of thumb recommended by the professional financial adviser but not all. However, I will make sure that I set my budget and monthly spending guidelines so that I will always allocate up to 9% from my monthly income as my savings. When it comes to bonus month, I will try to save up most of the bonus income. So, it comes to about 10% annually.
More savings not necessarily translate to better retirement life, but not having any savings will definitely leads to a difficult retirement life.
So, are you saving enough money?
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