Why I’m Financially Afraid for the Future

I’m actually afraid financially for the future. And you might be wondering why? I have my reason and you should too, if you don’t have enough saving in your bank account. And I mean enough means you have at least 6 digit saved in your bank account.

Everything happen in the future, will happen then. Before that we should enjoy our life,

People say,

Don’t worry about tomorrow, tomorrow will have its own difficulties

But that’s not an option in today’s world.


Depreciation of money

The value of our money will depreciate. The buying power will decrease. I remember 20 years ago,

I can get a can of coca cola for RM 1. Today, the price double of that 20 years ago. If our money keeps depreciating the same pace as today, your  1 Million ringgit will only able to buy 500K ringgit value in the next 20 years.

Taking this into consideration, I’m a low income earner. If I’m able to save RM500 per month, constant for 20 years I will have RM120,000. That value might only be half of it 20 years from now.


I’m a low Income earner

Low income but with high expenses will hurt your saving. I like a simple life style. I cut my eat out activity and cook my meal at home. I also don’t really go shopping, unless for food and no for cinema.

But with low income but high expenses, it will hurt your saving account. I can only save a little every month. With little saving every month, I cant achieve my financial freedom goal. And that’s mean I’m going to work for the rest of my life until I die and that is sad.

Currently I’m looking for an extra project for an extra income so I have more to save and to invest.


Future Life expenses

We all know that there are time when our body will not be able to work anymore. And on that point, source of income will stop. We will 100% depends on our saving and EPF contribution.

This is what scare me. I’ve seen people with this problem. They are old and not able to work anymore but they still go out to work. Without working, they have no money. Some of them will depend on their children and it somewhat a burden to their children.

Yes of course, children suppose to take care of their parents when they are old. But we also have to remember,  our children also have heir life to support. If they are earning healthily, that might not be a problem, but if their earning only sufficient to support their life, you are in trouble.

Isnt that nice if we have our own money to spend in our golden age, do what we like, go for vacation without depending to someone else.


How I want to prepare financially for the future

Saving is the key.  Not really saving but its investing to grow your money.

People say, money cant grow on tree but I say’

Money can grow in my investment account.


The easiest in trough Amanah Saham Bumiputra or ASB for short. Just open an account and put money in your account. You will receive a handsome dividend of around 7% a year.

You can also choose like unit trust or for advance, try stocks. I’m no expert in this things cause I’m also still learning. Please consult a professional advice if you need advice.

Just remember Warren Buffet become billionaire because of stocks.


Leave a Reply

Your email address will not be published. Required fields are marked *