I looked at my current financial situation. It's not that ideal because I am still paying my debts and also there is not much saving left. Furthermore, with marriage around the corner how should I manage my financial better. I take a glimpse at the % breakdown of my salary and a pie chart is drawn as below.
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- Reduce my allowance for my family (Home-9%)
- Service 2 house loans-48%. (*I only need to start service the full amount for Eve Suite in 2 years time)
- 3% of saving
From the breakdown of the expense type, I can say that 63% of my salary will goes to service my debt. I felt this is not healthy. 25% will goes to expense (Food, Misc, Utilities, travel and credit card bill).
For the near future this is my plan to extract some money out just in case my dear is not able to find a job in Penang.
- Since I don't need to service the 2nd home yet, this money can be reserve
- Also, cutting down the expense by eating in and not travel so often to hometown
- Look into other means of income like public mutual etc
- Worst case, then I need to exercise my company's share and stock options
Well, I will work with my dear to sort things out and support my dear.
Financial planning is part of the life-cycle that I need to go through. I think it's one of the very important planning in life.
No worries dear. I think you are going to have a good finance manager to handle this for you. She will help you to target saving rate increase to 15% after marriage. In fact a healthy financial planning for retirement is to target save 1/3 of your salary...of course EPF already 11-12%, so you need to add in another 18-19% savings.
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