How to Live Financially Free in Singapore
Singapore is globally known for being a finance and technology hub. With these overflowing opportunities, people, most especially from the Southeast Asia, will break their bones just to secure a job in the Lion City. So that they will be able to attain financial freedom in this well off nation.
Financial independence is the state where you have sufficient money to sustain your basic needs and wants without having to go an extra mile at work. This state where you can take full control of your finances is probably the greatest achievement of a person. With this, there will no longer be some hindrances like monthly bills and debts that will keep you from living your dreams. Financial freedom is not easy to attain, but it is not impossible either. However, if you are in Singapore where the cost of living is sky high, this will be extra challenging. Thus, all efforts must be doubled.
1. Manage Your Expenses
Budgeting is the most basic saving tip wherever you are in the world. However, not everyone has enough knowledge on how to budget wisely. Budgeting does not necessarily mean that you have to buy the cheapest in the market. A wiser approach in budgeting is to consider the item’s utility cost. Managing your household utilities are also important to save on your monthly bills.
2. Build an Emergency Fund
Building an emergency fund is a bold step to make, but it’s definitely worth it. This will be your life saver when unexpected events arise such as medical emergencies, dental emergencies or, worst, job loss. When building an emergency fund, it is advisable to take the 6-month plan and keep secured yet within your reach.
3. Utilize Singapore Savings Bond
The perk of living in a rich country is having access to good services like the Singapore Savings Bond. Many financial experts suggest that this is a right place to secure your emergency fund. As you can freely cash out without losing the accumulated interest in your account.
4. Don’t Cut Back on Insurance
Buy yourself an insurance to protect your assets and of course, yourself. Among all, health insurance should be prioritized. Singapore has a lot of insurance plans that will fit any consumer’s preference.
5. Don’t Settle for a Single Source of Income
A lot of successful entrepreneurs will say that being an employee didn’t get them anywhere. The secret to generating money is to invest continuously in where the money can circulate and grow. Investing has become an attractive source of income nowadays.
Financial freedom takes a lot of perseverance and hard work before it can be achieved. It will also help if you will learn how to be flexible. This month’s expenses may not be the same for the next month’s. You have to adjust your spending appropriately. However, before accomplishing all these tips, you have to put yourself as a priority. Save as much as you can first before buying anything, except for your daily necessities, of course. What you have saved is the true measure of your wealth.
Try to clear all your debts as soon as possible. If you have many bills outstanding right now, you may want to consider getting a debt consolidation loan. What is a debt consolidation loan? It is combining all your bills into one so that it will be easier for you to keep track. By doing so, you will be able to know if you have made the necessary payments for the month. This will also ensure that you do not incur any late fees or penalties, which can be very hefty.
If you are considering a consolidation loan, do drop us a message and we will get in touch with you asap as to whether we will be able to help you. Or you can fill in a simple application form to speed up the process! 🙂 We are a licensed moneylender operating in Singapore providing low interest rates with monthly repayments!