10 years ago, I recall a conversation with a friend, and a remark he made was, “Sherman, our best chance of having 1 million dollars in our bank account has to be done before the age of 40, before our energy and drive runs out, family commitments come in…”
That memory comes back to me every now and then…
Imagine saving $100,000 a year, then it takes 10 years to save $1 million dollars..
And in order to save $100,000 a year by allocating a sizeable chunk that is 50% of our income, an aspiring 30 year old Singaporean male (a singaporean male’s career normally takes off at 30 years of age taking into account National Service and further studies to be competitive in the market place) would need to earn approximately $200,000 if a “comfortable” lifestyle is desired along that journey of having $1million in cash and investments.
How did I come to that figure in my mind?
From a $200,000 a year income, approx 50% of that goes to:
-Personal food and living expenses ($1500 a month)
-Year end overseas holiday (requires saving $500 a month)
-Health insurance & Medical Insurance ($300 a month)
-Condominium mortgage, maintenance, water, gas, electricity bills (approx $3000 a month, house on 30 year loan)
-Car mortgage, petrol, road tax, insurance (drive a Mercedes/Audi/BMW, approx $2900 a month based on 3 year loan)
-Domestic helper, insurance, FDW levy ($750 a month)
-Children’s education, from nursery to university (requires setting aside $1500 a month)
-Wife’s expenditure, if she’s taking care of the household and not working. ($1500 a month)
-Expensive luxury items (leaving this out)
Household Expenses comes to $11950 per month for a Condominium/Continental Car style of living in Singapore.
Doubling $11950, so that income is double that of expenses gives a target monthly income of: $11950 x 2 = $23900
With a monthly income target goal of $23900 a month, then each year, we can save $143,400 (less then the earlier projected $200,000), while maintaining a “comfortable” lifestyle in Singapore so to speak, occasionally splurging on an AP, Cartier, Chanel Handbag.
So with that income goal in mind, “I gotta earn (at least) $23900 a month”, that was the motivational thought that kept me working days and nights and figure out the business of online marketing.
How about you? Do you aspire for something, buying a dream home, or a Porsche Cayman? I recall a friend who said,” I just want to provide for my kid whatever he/she asks for without having to think if the money is enough…”
If you want to get started in the business of online marketing and hit your income goals, I recommend going here to watch this 10 minute video… because while some of the opportunities that existed 9 years ago no longer exist today, there are something things that still work today, and this is one of them.
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