Example: 2 Graduates started working at the same time with the same job.
It sure makes a difference!
- Income earned
- Expenditure patterns
- Attitudes towards financial planning
- Savings allocated and allocation to investments
- Type of investments made
- Proper use of leverage could help leapfrog
- Risk appetite: Low or high risk
- Calamities or unforeseen circumstances
How to create savings?
Expenses & Lifestyle Chosen
- To upgrade or not to upgrade
- To drive or to go public
- To eat out or to eat in
- To Europe or to Bintan
- To Escada or to Metro
Review Actual Expenditure incurred, evaluate expenditure pattern
- Identify unnecessary leakages
- Identify expenses that may be postponed or even eliminated
- Anticipate any future expenditure that may need to be catered now
Decide on the type of job & income that you can earn from it
- Salaried vs Self employment
- Industry and potential for growth
- Acquiring appropriate skill mix to keep job or advance further
- Willingness to take up opportunity that may take you to higher job prospects
- Create income from assets
