by Helmi Hakim | Mar 23, 2009 | Insurance, Investment
Many of us, today, are holding tight, holding dearly to our CASH, because of the economic uncertainty that is looming wide on us. 🙁
If YOU read yesterday’s straits times’ newspaper, under the finance section, they recommend YOU to keep at least 12 months of YOUR monthly expenses as YOUR emergency funds instead of the usual, recommended 6 months monthly expenses in YOUR bank account.
I think that is a prudent measure & I will like to add on to it 🙂
You see….I believe, overall, in life, many of us have GREAT AMBITIONS to fulfil.
Some of us are entrepreneurial, will love to start our dream business. Some are career minded, looking forward to climb the corporate ladder. Whatever route or path, you CHOOSE, there is 1 BIG PURCHASE that you will do in your life.
I will usually recommend all my clients to settle this 1 BIG PAYMENT as soon as possible before spending on other stuffs. That is….
1) Paying For Your House
Try to pay your house in full as soon as possible.
Yeah…I know, for some adventurous people, they will say, “Helmi….mortgage rate is so low. May as well, I invest the money, and get higher returns”.
The one philosophy that, I shared with all my clients, is anything you want to do, PROTECT YOUR FAMILY FIRST.
This includes buying life insurance, buying hospitalisation insurance plan, and the most important, pay off your house loan as soon as possible.
This is because, in life, many unwanted things can happen. Today, you may be making lots of money, running your own business, or perhaps earning BIG MONEY, holding an enviable corporate position in your company, BUT no one can guarantee you such blissful fate in the upcoming years.
At least, should anything unwanted happen, you know, you got life insurance, you got hospitalization plan and you got YOUR HOUSE all secured.
You then only, depends on your 12 months contingency savings in your bank to pay for your basic necessities.
You know, I always hear people say, those who indulge in business, are taking BIG RISK. In fact, I will say, most of them take “calculated risk”.
Many of those businesspeople, I met are super risk averse. They do anything ONLY with a clear goal and a well developed strategy.
In fact, if you follow what I share with you, in this article, you are taking calculated risk because all your fundamental needs are well taken care of, should your business or career failed. YOUR BOTTOM LINE IS TAKEN OF. You can explore, can indulge in any field of endeavour FREE FROM WORRY & ANXIETY, because why?
Because your main structural support is already in place. You have done your homework. You have a plan for your worst case scenario.
Only then, you can start planning your financial life in a more adventurous way! 🙂
by Helmi Hakim | Mar 5, 2009 | Investment, Miscellaneous
As you know, in my profession as a financial associate, I get to do financial planning for a lot of people. 🙂
It is a special privilege for me, as directly or indirectly, I get to see EXPLICITLY on how the rich and the poor managed their finance.
I realised, its not really how much you earned, that matters. Rather, it is how much you SAVED. One of the tools that enables me to see vividly, interpret the current financial standing of my clients, is the usage of cashflow statement.
I feel sad that a lot of people out there, GROSSLY mismanaged their finance….especially the young ones…. (my age group)
They got the concept, “Why need to save? Got money…ENJOY first….Savings? Do it later!”
They dine REGULARLY at places like Swensen, like Eatzy where it is “normal” to pay $30 for a single meal and drink coffee at places like Starbucks, like Coffee Bean where average cup of coffee cost $7. (You can go on weekly basis with your friends and families, but certainly NOT AND NEVER everydayla)
It is OKAY for them to pay to club, enjoying the occasional “booze”, yet “savings” seems like a jargon to the ear.
These detrimental pitfalls are really doing BAD for many. If you are in your 20s, let me elucidate to you, what will soon be your IMMEDIATE financial commitments in the NEAR future. You got to start planning! 🙂
1) Marriage
You need to set aside (depending on your race), at least $30,000 for marriage.
2) House
You need to set aside 20% downpayment for your house. For a 4 room HDB flat which cost $300,000, you need $60,000. You gotta asked yourself, how long will you want to stay with your parents? Come on….
3) Honeymoon
Depending on where’s your honeymoon destination, you gotta plan for it financially. If you dont have money, how to enjoy? You need at least $10,000.
I have not add in other additional commitments, that will just crop out, (married people got more expenses) but just by these “confirm to come” expenses, it already totalled up to about $100,000.
It is EASY to say, save later….enjoy first….be smoothened by instant gratification….So….EASY!!! Let us do simple maths calculation on this amount.
Example you are 23 years old. Want to get married in 5 years. You need to save at least $20,000/year, which is close to $2000/mth. BUT WHAT IF YOU PROCRASTINATE?
You DELAY….and you continue to delay…..The amount that you need per month,simply just gets HIGHER and HIGHER. That is very, very BAD!!!
Come on guyz…..You gotta plan for it! 🙂
by Helmi Hakim | Feb 28, 2009 | Miscellaneous
I have a special quiz for you. 🙂
Example, you have 1 negative person and 3 positive person, in a team. Who WINS when they challenge each other?
Answer: That very freaking 1 NEGATIVE PERSON
This is because negative things are very easy to spread and absorbed. Having negative people in your team is very risky and dangerous. They are like virus, poison that is there to kill your dreams.
There is this one anonymous guy, who keep posting negative comments in my blog. He also polluted my colleagues’ blog with unwanted remarks. I have compiled all these remarks in my blog, and it amount to more than 30 pages.
Gosh… Isn’t it better, if you could use that energy to HELP OTHERS instead of bringing them down? For some time, I CHOOSE not to respond to his comments and just spend my time deleting it. This is because I do not want to bring myself so low to such a level, where degrading others is synonymous with ones’ lifestyle.
I leave it to God to handle these unethical people.
God is fair. If you do good to others, you will reapt the returns in future. If you do bad to others, dont question yourself later, “why all the bad things are happening to me?” I always believe in karma.
Peace! 🙂
by Helmi Hakim | Feb 17, 2009 | Insurance, Investment, Miscellaneous, Motivation
Yes…. I am writing a book on Financial Planning.
I will complete it by June 09 and then send it for publishing. It will be available in your local bookstores, once ready! 🙂
The “planned” title of the book is “33 Common Questions People Asked Me As Financial Consultant In Singapore“… (title may change, to make it more CATCHY)
Let me detailed you some of the questions that I will answer in the book….
……………………………………………………………………………..
Questions On INSURANCE
– Why You Must Get Insurance?
– How Much Coverage Do You Exactly Need?
– What Are The Different Types Of Insurance Available For You?
Questions On SAVINGS & INVESTMENT
• How Do You Create Your Personal Income Statement, Your Personal Balance Sheet & Your Personal Cashflow Statement?
• Discover 3 Big Differences Between People Who Are Successful Financially & People Who Failed Financially.
• How Do You Increase Your Savings By 10% Without Losing A Tint Of Sweat?
• What Is Parkinson’s Law & How Do You Avoid It?
• Why, When, Where and How Do You Invest In Funds? X% Bonds? Y% Equities?
• How To Logically Create Passive Income, So That One Day You Can CHOOSE Not To Work?
• How Do You Measure, How Much EXACTLY You Need For Your Retirement?
• Why Your CPF/EPF Is Not Enough For Your Retirement?
• Why You Should Never-Ever Buy Stuffs On Loan? Examples?
• 6 Months Of Emergency Funds In Fixed Deposit. Huge Opportunity Cost?
• How To Use A Financial Calculator? Just Remember 5 Variables & You BECOME A Financial Expert. 🙂
• Looking For Instruments With Best Return On Investment? How Is Compounded Interest Different Than Simple Interest? (Learn To Interpret Deceiving Financial Brochures)
• How To Create A Budget?
• Credit Card, Double Edge Sword? How To Use It To Your Advantage?
• What To Look For When You Invest In Stocks? Are You Dividend Oriented Or Looking For Capital Appreciation?
• How To Reduce Tax LEGALLY If You Are An Employee? If You Are A Business Owner?
• What You Should Know When Financing A Car?
…………………………………………………………………………………………….
These are some of the questions that I will answer in the book. (working very hard on it!)
Right now, I need your help. I am very sure that at the back of your mind, you have some BURNING questions, on insurance, savings or investments.
PLEASE…….Please leave your questions in the comments section below.
Should you have a website, and you will like me to include your name and website url in my book, please leave your details below too…. Its a POWERFUL viral strategy for you to market your business for FREE! 🙂
Yes…. Just type one of your burning questions at the comments section, below…. I truly APPRECIATE your help! Thanks so much! 🙂
by Helmi Hakim | Feb 14, 2009 | Motivation
Let me ask you a question?
What is the most DANGEROUS disease that humans in the whole wide world can have?
Answer: COMPLACENCY
Sometimes, when I compare my income with my peers (of the same age as me), I feel that I am much way ahead and start to feel complacent. When I get complacent, I will come late for my roadshows.
I will surf the net in my office instead of doing my telemarketing, calling my existing clients and prospects that I have gathered during my cold canvassing.
I will prefer to call my friends to go JB and relax, instead of doing some reading to upgrade myself.
I will prefer to just listen to music while in MRT rather, than listening to Brian Tracy, Zig Ziglar, Blair Singer audio programs. paid hundreds for it
Are you in a similar position as me? Gheeee…. it just doesnt really feel good, you know…when later, you find yourself at the back instead AHEAD of the pack.
Luckily, I found a method, to stop myself being complacent and cheong fight my way ahead.
The no secret, confirm to work method to avoid yourself from being too complacent is to MIX with people who are BETTER than YOU.
1) When I know, some of my colleagues earning $15,000, $20,000 a month, my complacency level COMPLETELY WIPE OFF.
2) When I see, a number of my colleagues are MILLIONAIRES, living in enviable condominiums, my drive to attain such material possessions INCREASE tremendously.
3) When I see, a new, young agent, who just joined, closing so many cases, I question myself, why SHOULD I STOP?
This is a powerful strategy. So if you want to STOP yourself from being too COMPLACENT, start to surround yourself with people who are way, way, BETTER than you! 🙂
