Tag Archives: money-management

I terminated my ASBF

Posted in Everyday Life by

People decide to resign early for various reasons. Maybe you could tell me why.

I think for me, it’s simply that I do not want to chase or achieve everything. I am content with having less of the stress I am facing right now. I do not have to care about everybody. I do not need to give advice to people who wouldn’t listen. I am prepared to eat less. I can buy fewer clothes, fewer books, and less store-bought coffee. Above all, I just want to keep myself busy by caring for my house, my family and my well-being. On second thought, maybe I am just not into primary care. I remember wanting to study psychology because it keeps my stress at bay work-wise. Now that I have completed my Final Year Project (FYP), I have more time to read and consolidate my knowledge in psychology.

Having the aim of an early retirement in mind, I need to keep my finances in check—just enough to keep me afloat until I receive my pension funds. At the same time, I’m learning to live and enjoy life beneath my means. That means less browsing on Shopee. More importantly, I am aiming to shrink my liabilities percentage. It seems that the general advice is to have a percentage between 30% to 35%. After the full settlement of my car loan, the percentage stands at 32%. I decided to take it one step further by terminating my ASBF loan.

No doubt I have reaped the benefits of securing a handsome amount of dividends over the past 12 years with the loan. However, considering a bigger goal in mind to settle my housing loan, I believe terminating my ASBF is a considerable option. After all, I will still be getting my Surrender Value (SV). I could use that SV money to pay the principal of my mortgage. If my calculation is correct and I am still alive by then, I should be able to clear my house loan by 2027.

Terminating my ASBF was easy. All I had to do was walk into my nearest banking branch with my MyKad. There were a few forms to fill in but the process was pretty straightforward. Now it’s the waiting game. Let’s keep ourselves posted on how long it will take for my SV money to be wired into my account.

Reducing financial burden

Posted in Home Management by

A psychiatrist during my medical student postings once told me that when she was in her 40s, she ‘downsized’ her life. She sold off her Jaguar, bought a smaller home, and spent much less on her clothes and accessories. She felt more content afterwards. Perhaps it was her mid-life crisis, she couldn’t tell. I am feeling a similar urge too. To be content with what I have and reduce whatever extra’s that are not necessary.

I went to the bank yesterday to reactivate my account. It has been dormant for the past year because I need to have a debit card to make online transfers. I did not have one. The lady at the counter was enthusiastic about telling me about their account options and diversifying financial portfolios. She persuaded me to get a debit card too! It got so suffocating that at one point I just stopped her nicely and said, “Let me tell you about my plan. My plan is to transfer the current money I have here to my investment account at ASB little by little as per the allowed limit. And then I plan to close my account here“.

But why? You would need backup.

I then told her about my sibling’s experience sorting out my mother’s will. It was a hassle. My late mom has so many eggs in so many baskets to pick up. Hence, the least I could do is put it all in as little baskets as I can. The lady suggested hibah but it comes with a fee. Which I have no interest in paying.

I also plan to pay off my housing loan as early as I can. At least my financial burden could be reduced gradually for me to enjoy my early pension. (if it happens).

Downsizing the amount of accounts I have will be my financial task till the end of this year. I am also planning to keep the amount of money in my Tabung Haji to its required minimum. Just enough to pay for Hajj expenses. The rest of the money will be put into my children’s TH account so that it can be used for their Hajj and also education expenses.