Class Bloggy
Tuesday, November 27, 2007
Friday, November 23, 2007
INFLATION & value of MONEY
The incredible shrinking of DOLLAR
How do we ensure that our saving are not eroded by inflation?
SIMPLY put, inflation is the increase in prices of goods and services over time,which mean it diminishes the purchasing power of today's dollar in the future.
While $1.20 buy you a can of coke today,you might need $2 in future. So we end up buying less in future with the same amount of money.
INFLATION could hit 5 per cent in the first quarter next year. This would be a 25 year historic high. The last time inflation hit a high level in July 1991, when it reached 4 per cent.
RISK-adverse investors
IT stands to reason then that conservative investors who put their money mainly in bank deposit will eventually end up worse off. Investing at 2 per cent while inflation is running around 4 to 5 per cent will see your wealth steadily eroded.
START early
Having a financial paln early on lets you take a long term investment horizon, which is beneficial on various fronts.
The best time is during the young age of course, as they stand to gain the most from compunding, dollar cost averaging, investing at the lower risk level and maximising of returns over the long term.
How do we ensure that our saving are not eroded by inflation?
SIMPLY put, inflation is the increase in prices of goods and services over time,which mean it diminishes the purchasing power of today's dollar in the future.
While $1.20 buy you a can of coke today,you might need $2 in future. So we end up buying less in future with the same amount of money.
INFLATION could hit 5 per cent in the first quarter next year. This would be a 25 year historic high. The last time inflation hit a high level in July 1991, when it reached 4 per cent.
RISK-adverse investors
IT stands to reason then that conservative investors who put their money mainly in bank deposit will eventually end up worse off. Investing at 2 per cent while inflation is running around 4 to 5 per cent will see your wealth steadily eroded.
START early
Having a financial paln early on lets you take a long term investment horizon, which is beneficial on various fronts.
The best time is during the young age of course, as they stand to gain the most from compunding, dollar cost averaging, investing at the lower risk level and maximising of returns over the long term.
Wednesday, October 17, 2007
TO PROVE SOMEBODY WRONG
You're not the type to buy life insurance.So,to prove that person wrong,he went ahead and bought.
Are there certain types who buy and others who don't?
Yes.Those who don't buy fall into a few broad categories:
1) There are those who feel that they don't wish to leave behind a rich widow.Alternatively,they do not wish to leave behind "too much money" for their children so as not to "spoil" them.
2) There are those who feel that once they're dead they no longer have any responsibility for their family.
3) There are those who feel they are not likely to die soon so they would wait till they're much older when their chances have increased before thinking about getting life insurance.
4) There are those who like to compare policies and prices and never get around to buying.
Those who do buy usually have a strong sense of doing "the right thing" and wanting to do something good while they can."You cannot do a kindness too soon,for you never know how soon it will be too late."
Are there certain types who buy and others who don't?
Yes.Those who don't buy fall into a few broad categories:
1) There are those who feel that they don't wish to leave behind a rich widow.Alternatively,they do not wish to leave behind "too much money" for their children so as not to "spoil" them.
2) There are those who feel that once they're dead they no longer have any responsibility for their family.
3) There are those who feel they are not likely to die soon so they would wait till they're much older when their chances have increased before thinking about getting life insurance.
4) There are those who like to compare policies and prices and never get around to buying.
Those who do buy usually have a strong sense of doing "the right thing" and wanting to do something good while they can."You cannot do a kindness too soon,for you never know how soon it will be too late."
Monday, October 15, 2007
SURE TO MAKE MONEY
Those who are good at calculating odds and chances recognise that life insurance is a "sure thing". This is how it sounds in betting lingo:
"Let's say the Life Company will guarantee, for a small monthly fee,that you will live to 100 years.
If you do,you win.You get back all the fees you've paid.
If you don't,you win.For the Life Company will be penalised and will pay 2 or 3 or even 10 more times than what you've paid to them."
The fact of the matter is that as long as a policyholder pays his premiums on time,in the even of death,the Sum Assured will always be much more than the premium paid.
"Let's say the Life Company will guarantee, for a small monthly fee,that you will live to 100 years.
If you do,you win.You get back all the fees you've paid.
If you don't,you win.For the Life Company will be penalised and will pay 2 or 3 or even 10 more times than what you've paid to them."
The fact of the matter is that as long as a policyholder pays his premiums on time,in the even of death,the Sum Assured will always be much more than the premium paid.
MORTGAGE PURPOSES
When a person buys a house, his happiness is overflowing. What can cloud it is that he may not survive the payment period and the house is re-possessed by the loan company to be re-sold in the market.
The smart thing to do obviously is to add a little more payment to the loan sum by including a Mortgage Reducing Term Assurance policy. If death occcurs, this policy pays up the remaining outstanding amounts to the loan and the widow and family get the house fully-pay up.
"Life insurance isn't an added obligation; it's the best means for meeting the obligations that you already have."
The smart thing to do obviously is to add a little more payment to the loan sum by including a Mortgage Reducing Term Assurance policy. If death occcurs, this policy pays up the remaining outstanding amounts to the loan and the widow and family get the house fully-pay up.
"Life insurance isn't an added obligation; it's the best means for meeting the obligations that you already have."
Monday, July 30, 2007
OSIM Triathlon Bad day!!
What a bad day for me.Have a large impact with other bike as i travel along the PA road towards the U-turn.I flew like a 'superman' and hurt my knee cap and elbow hitting onto the ground.This what the result i got.Just screaming in pain and have to rest for few days.Riders out there please be careful as you ride.
Monday, July 16, 2007
Serious Riders
This bike is known as Litespeed. Made of titanium.What you can see compare to the sunday times is totally diffrence. These bikes are really light and fast. To know more about it check it out! www.litespeed.com.
Just for your info, riders out there are you totally ready for the OSIM triathlon. Well all the best and train hard for it. All the best!
Friday, July 13, 2007
Provision for child's education
If your child is smart enough to qualify for university, will you be smart enough to provide for it?
Obviously, your child got his/her genes from you. It would be far too late for you to wait till the day he/she gets the results for you to make provision. Five or ten years before they are due for university is a good time to start a saving plan to accumulate the fund.
Getting into the university is one thing, getting into one's preferred course of study may be another. Being able to provide for what your child choose to study is foresight par exellence.
But what if after you have provided, your children do not get a place in any university? In that unlikely event, you can cash the $$$ and go for holiday. You deserve it if they don't!
Obviously, your child got his/her genes from you. It would be far too late for you to wait till the day he/she gets the results for you to make provision. Five or ten years before they are due for university is a good time to start a saving plan to accumulate the fund.
Getting into the university is one thing, getting into one's preferred course of study may be another. Being able to provide for what your child choose to study is foresight par exellence.
But what if after you have provided, your children do not get a place in any university? In that unlikely event, you can cash the $$$ and go for holiday. You deserve it if they don't!
Wednesday, July 11, 2007
Investment Strategies that Work!
Planning for your future and retirement relies on planning the right kinds of long term investments. There are many different types of long term financing investments, and everyone needs to have some sort of investments for their future. Planning your retirement and long term investments go hand in hand.
Let's face it. You will not be able to work forever. No matter how healthy you are, there will come a time when you will not be able to work, due to health problems or simply aging. What will you do for an income when the time comes to retire? This is why planning your long term investments carefully is so important. Maybe you think you will be able to rely on Medicare and social security to take care of you during your retirement. Well, if that is your plan, it is time to look at the news.
Let's face it. You will not be able to work forever. No matter how healthy you are, there will come a time when you will not be able to work, due to health problems or simply aging. What will you do for an income when the time comes to retire? This is why planning your long term investments carefully is so important. Maybe you think you will be able to rely on Medicare and social security to take care of you during your retirement. Well, if that is your plan, it is time to look at the news.
Tuesday, July 3, 2007
Changes in Month of July
1st of July 2007
1) GST has increase to 7%.
2) CPF guideline has came out a circular stated that the Minimum Sum, Medisave has increase in the amount for old age/ withdraw of CPF $$$ at age 65 instead of 62.
3) No smoking!!!! Banned smoking in some places.
For your info, start planning for your future, the future lies on your hand not your teachers.
1) GST has increase to 7%.
2) CPF guideline has came out a circular stated that the Minimum Sum, Medisave has increase in the amount for old age/ withdraw of CPF $$$ at age 65 instead of 62.
3) No smoking!!!! Banned smoking in some places.
For your info, start planning for your future, the future lies on your hand not your teachers.
Monday, June 18, 2007
Cold Hard Fact????
1) The $100 a month is NOT for the policy,
The $100 is also NOT for me,
The $100 is NOT for Insurance company.
This $100 a month is TO PROVIDE, for you food and your loved ones something
between $50,000 to $100,000 of food,education, medical expenses, daily necessities and etc!
2) We hesitate over $50/$100 a month on insurance premium, which could change the quality of our life, but we are willing to pay( without second thoughts) $50/$100 for shopping, a disco cover charge, packets of cigarettes, spa and etc!
Now you decide, which is more IMPOTANT?
The $50 a month for YOUR FAMILY? Or the $50 for shopping, cover charge, cigarettes?
3) If you go ahead with this Insurance plan NOW, your obligations are to set aside $100 a month. And the Insurance company's obligation is to pay $50,000 to your family upon a claim.
If you do not want to go ahead with this policy, Insurance company's obligation is ZERO and NIL! And yours is to find the $50,000 should something unfortunately happens.
4) Insurance is sold not because somebody must dies, But because somebody must lives. And living cost MONEY!
5) No one plans to fail, but many fails to plan.
The $100 is also NOT for me,
The $100 is NOT for Insurance company.
This $100 a month is TO PROVIDE, for you food and your loved ones something
between $50,000 to $100,000 of food,education, medical expenses, daily necessities and etc!
2) We hesitate over $50/$100 a month on insurance premium, which could change the quality of our life, but we are willing to pay( without second thoughts) $50/$100 for shopping, a disco cover charge, packets of cigarettes, spa and etc!
Now you decide, which is more IMPOTANT?
The $50 a month for YOUR FAMILY? Or the $50 for shopping, cover charge, cigarettes?
3) If you go ahead with this Insurance plan NOW, your obligations are to set aside $100 a month. And the Insurance company's obligation is to pay $50,000 to your family upon a claim.
If you do not want to go ahead with this policy, Insurance company's obligation is ZERO and NIL! And yours is to find the $50,000 should something unfortunately happens.
4) Insurance is sold not because somebody must dies, But because somebody must lives. And living cost MONEY!
5) No one plans to fail, but many fails to plan.
Just A Few Reminders!!!
1) Accidents and illness happen anytime.It does not wait till you have enough money, till you get your next promotion or when u are over 50 year old.
2) The present cost of living, high cost of medical services- These are the issues that will affect you and your love ones. Have you taken care of them? Do not leave all these to luck,chance or even charity.
3) Normally if something unfortunate occurs, it will affect the entire family.
The question is: Who suffers? Who pays a bigger price?
4) Why worrry for a small amount, you can let the Insurance company do all the worrying!
Ultimately, Life Insurance is the CHEAPEST way to cushion and offset your financial burden should something unfortunately happen. So what are you objecting to???
Just a piece of advice, seriously think about Life Insurance and what it can do for YOU and YOUR FAMILY.
Your decision WILL make a great diffrence!!!
Life is great!!!
2) The present cost of living, high cost of medical services- These are the issues that will affect you and your love ones. Have you taken care of them? Do not leave all these to luck,chance or even charity.
3) Normally if something unfortunate occurs, it will affect the entire family.
The question is: Who suffers? Who pays a bigger price?
4) Why worrry for a small amount, you can let the Insurance company do all the worrying!
Ultimately, Life Insurance is the CHEAPEST way to cushion and offset your financial burden should something unfortunately happen. So what are you objecting to???
Just a piece of advice, seriously think about Life Insurance and what it can do for YOU and YOUR FAMILY.
Your decision WILL make a great diffrence!!!
Life is great!!!
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