Don’t let financial issues take over your life. Take these tips from financial experts on how to get rich faster, from saving quickly to investing cleverly.
INCREASE YOUR SAVINGS QUICKLY
Need to save a lump sum quickly to buy a new car? Or looking to accrue capital to start a business? Start by setting SMART goals for each of your big-ticket expenses, says Vincent Tey, executive director of Providend, an independent private wealth management firm. That means setting targets that are Specific, Measurable, Achievable, Realistic, and within a Timeline.
When estimating how much you need for a big-ticket expense, Vincent advises adding 10 per cent more to your total target amount as a buffer. This gives you a clearer picture of how much of your income you should apportion to each expense.
With your goals set, you should now work backwards from each lump sum and determine how much you need to set aside each month to save enough by the deadline. Then, use these clever saving strategies to achieve these goals.
1 TRACK YOUR SPENDING
Create a detailed income and expenditure statement, says Vincent. Categorise your expenditure into fixed and variable expenses, and diligently record and review your finances. “Review your total expenditure pattern at the end of the month,” he says. This lets you see what you tend to spend the most on.
Michael Tan, senior account manager at GYC Financial Advisory, says an easy way to do this is to use an Excel spreadsheet.
2 CUT BACK
Study your finance statement and identify areas you can cut back on. Prioritise all expenses. “It’s all about choices,” says Michael. Always ask yourself whether you need something and what purpose it serves.
For example, if you’re planning a family holiday, ask what you value about a trip. Is it beautiful scenery, or time spent with the kids? If it’s the latter, skip the expensive European tour and opt for a cheaper destination in South-east Asia.
Sim Weiping, a professional certified coach at Executive Coach International, says one way to scale back is to cross out three expenses at a time until there is nothing left.
“The order in which you cross out items will give you a sense of what you can cut back on,” she says.
You can even review your insurance plan(s) to see if there is unnecessary coverage you can cut, to save on your monthly premiums, says Vincent.
3 AVOID EMOTIONAL SPENDING
“Do you spend money on a whim or go shopping because you’ve had a bad day?” Weiping asks. “When do you usually splurge the most on things you don’t really need?” Be aware of such times so you can put a stop to unnecessary spending.
“Go for a jog or make someone else’s day better. Do something that makes you feel better instead of indulging in retail therapy,” she says.
4 REDUCE YOUR CREDIT CARD LIMIT
Doing this will train you to be disciplined in your spending, says Weiping. You may not actually be pushing your credit limit, but having a lower one will make you more mindful of what you do spend on.
“What’s great is that it also helps you avoid those huge credit charges when you happen to overspend,” she says.
Alternatively, Vincent suggests leaving your credit card at home and using cash instead. Withdraw a predetermined amount of cash for the week and restrict yourself to that amount, says Michael.
5 AUTOMATE YOUR SAVING
Continue reading your story on the app
Continue reading your story in the magazine
How To Take A Tech Break!
If your kids are hooked on the Internet and their gadgets, it may be time for the family to take a tech break. Here’s how to go about it.
A Little Extra, Please!
Wouldn’t it be great to earn a side income in your free time, be it after work or between minding your kids? Here are some ways you can work on an ad-hoc basis.
How To Keep Your Team Happy In Tough Times!
Are company cutbacks stretching you and your team beyond your limits? Here’s how to ensure everyone stays loyal, motivated and productive.
Top 5 Signs You've Outgrown Your Job
You don’t hate what you do, but you no longer feel happy or satisfied in your role. Here’s how to tell when it’s time to move on.
Awesome Tips On How To Make Your Marriage Last Forever
What makes a marriage last – and be satisfying, passion-filled and joyful too? We asked couples to recount their love stories, celebrity couples to express their love in letters to one another, and marriage experts to share their tips on how to make your union last.
'Help I Have A Sinus!'
What really causes the constant sniffles and blocked nose that plague so many of us?
What Will You Leave Behind?
For your family’s sake, it’s time to start thinking about how you want your assets to be divvied up after you’re gone.
could you be a borderline diabetic?
pre-diabetes affects many women in singapore, but the problem isn’t often discussed. even worse, you could have it and not display any symptoms. here’s what you should know about the potentially dangerous condition.
my helper and i are like bffs
public relations consultant and mum of two, ruth chew, 38, enjoys a strong relationship with her helper, ligaya fenequito (joy), 41. she shares how the pair became so close.
a health scare at the start of 2016 made actress priscelia chan attempt a gluten-free diet. she shares how the switch transformed her health and wellness.
Lower Your Health Care Costs
Health savings accounts help defray the cost of high-deductible health plans. They’re also a powerful way to invest for retirement.
How to Save Money
WE’LL MAKE THIS SIMPLE: THE MORE YOU STASH NOW, THE MORE YOU HAVE TO SPEND LATER. WHO WANTS TO GET RICH?
Money Moves To Make Now!
Among the items on our to-do list: Trim your 2019 tax bill by pruning your portfolio and giving to charity. Boost your retirement-plan contributions. Cash in credit card rewards. We also suggest moves that will boost your bottom line in 2020 and beyond.
How To Downsize Your RMDs
You must start taking required minimum distributions from your IRA at age 70½. But you can reduce the tax bill.
Harvest The Fruits Of Your Savings
How to live well without running out of money.
Tips For Retirees Who Are Single
Of all the letters I have received as author of this column—and I am fortunate to get a ton of them—two of the most sobering came from a couple of readers who are single. “
What To Do If You Are Suddenly Retired
Life throws you a curveball, and you end up leaving the workforce earlier than planned. Here’s what to do next.
How (And Why) Banks Handle Money
How (and why) banks handle money
Lawmakers Want To Help You Save More
Legislation to boost retirement savings looks like a go in Congress.
Solving Your Insurance Puzzle
Weighing your options during open enrollment? Here’s how to get the pieces in place to find the right plan.