By Sherry Koh | Mar 12, 2010
Property millionaires, Michael Tan, 34, and Juanita Chin, 39, have proven that “you don’t need large sums of capital to invest.” Both of them have achieved financial independence through property investments in just a few short years.
It is rather easy for one’s self-admiration to balloon out of proportion with a burgeoning bank balance, but Michael and Juanita remain firmly grounded and truly believe in paying it forward by sharing their strategies and success stories in their upcoming seminar.
Property millionaires, Michael Tan and Juanita Chin.
Tell us about your background and how you became involved in property investment.
Michael Tan (MT): My parents encouraged me to be a professional. You know, the likes of a doctor, engineer. I studied engineering and worked for a couple of years and then ventured into a few businesses. It took the loss of a job, two big failures and one near bankruptcy to realise that making money does not equal to keeping money.
I then decided to pursue property investment. Now, I have 12 properties valued at approximately RM2.9million.
Juanita Chin (JC): I was a bank teller earning RM400 per month. I have no degree and I only finished Form 5. But I had big dreams to be successful despite my lack of education. I first started investing in year 2003 because I wanted more time with my children. Working for long hours wasn’t getting our family anywhere. My husband, Ignatius, and I wanted a better life and not be stuck in the rat race.
After attending two life-changing seminars, we took action within a month. To date, we have 13 properties valued at RM5.6million. We now have the freedom of time, and my husband is able to pursue his passion in options trading.
How did you get to know each other?
MT: I attended a seminar that Juanita was co-sharing and spoke with her on the last day of the seminar. I consider her as my sifu (mentor) and I am very inspired by her story. Against all odds, she and Ignatius managed to be financially free.
So, is this the first collaboration between both of you?
MT: No. The first collaboration was in December 2009, for a charity event. I called Juanita to participate and she readily agreed. The second would be an upcoming seminar on 20th and 21st of March 2010.
Tell us about your first investment.
JC: We attended a RM57 property preview and learned that we can invest with little money. So we decided to try the strategy and negotiated with a property developer. We signed the SPA (Sales & Purchase Agreement) for RM5,000 for a property in Gurney Drive. The property’s lease was priced at RM450,000 and it has appreciated to approximately RM570,000 to RM580,000.
It is rented for RM3,000, while the monthly installment is RM1,800. Minus the service charge (maintenance fee) of RM200, we get a passive rental income of RM1,000.
MT: Also, mind you, she has four kids.
JC: Yes, it is important to mention that I have four kids. When we started investing, we already had two kids. The worse thing that could happen is losing money, but at least we tried. We then bought two more units on the lower floors at the same block with the same method.
MT: Also, I would like to mention that the units are not prime units or the nicest ones.
Juanita, where are your other properties located?
JC: All in Penang.
Michael, which was your first investment?
MT: As a business person, I wanted to do different things. I took a more conservative approach. I paid RM6,000 for a low cost unit and made RM18,000 back. I shared my money-making skills with my staff as well. One of them (at his mortgage broking company) paid RM1,180 as downpayment and she made RM14,000 after three months.
JC: It is possible to start with not much and achieve great success despite limitations. Educate (yourself) and take actions. It is not always a breeze. There are obstacles but it is worth it.
So, it is safe to say that the biggest myth in property investment is that you need large sums of capital.
JC: Yes, that is the biggest myth.
Juanita, what are these obstacles?
JC: Some of them include raising cash. We have to convince the banks. If you are determined to reach your objectives, you won’t let it stop you. I live in Penang and travel to Kuala Lumpur very often. Not many people would take the trouble to travel.
MT: Tell them about your furniture shopping trip!
JC: Oh! Ignatius and I would drive all the way from Penang to KL to buy furniture. Pack it all up in our car, tie things to the roof and then drive all the way back, on the same day.
MT: I have known her for only two to three months, but I see her in KL very often. I am blessed to have met and known her.
Wow! Where do you find the energy and drive?
JC: It’s just like a mother loving a child. I don’t mind not resting. As a mother, the saddest thing is not having time for them, (or) providing more for them.
What are the essential traits or qualities to be a successful investor?
JC: The person must love property. (He/she) Must be literate about real estate or finance.
MT: Financing can be a headache. One must be able to balance financing well enough, to pay loans well. Bear in mind, our properties might be worth millions, but we also have millions in debt.
Juanita has written a book titled “Inspired To Change”. Michael, any plans to follow suit? MT: Yes. I am planning to release my book in October this year. Soon… soon, I will start writing.
What are the key things to look out for when investing?
JC: Be practical. You need to decide on a particular location and who you are targeting. For example, if you are targeting expatriates, then buy (property) in the area where they usually are.
MT: You could identify a fixed area and buy in the same area over and over. For me, I focus on good deals in Kiara only and areas where I can attain a rental yield of 8%.
Some of the strategies include focusing on low and medium cost projects. For those who are younger and do not have much cash, start with that. There is still a demand for such units. Some people prefer commercial, so go with what works for you.
Any advice for aspiring property millionaires?
MT: Be real. Be yourself. Be grounded.
JC: Believe that it can be done. One of the other things that we hope to impart from the seminar is, “Who are you going to be when you reach your financial goals?” Success is not just about money. We take a holistic approach. We want to get there (be successful) in the right way.
Being rich is about who you have beside you at the end of the day. Surround yourself with good people.
MT: It is fulfilling as a person, to see the changes in people, to see how their lives have improved. I hope to share my knowledge and affect 10 million people. We also do charities from time to time and are currently supporting a home for the underprivileged, House of Joy, in Puchong.
Wednesday, January 19, 2011
Property millionaires share their secrets
By Sherry Koh, Apr 7, 2010
It has been done over and over - making money out of property investment, but it is not without its share of peril. At a recent Property Millionaire Convention, four property millionaires shared their journey towards financial freedom.
The convention was organised by Paysolution Technologies Sdn Bhd. The company’s founder, Michael Tan, 34, channeled positive energy and vibes through a “motivational” approach by eliciting “I” from his questions. “Who wants to be a property millionaire?” and the crowd goes “I”. “Do you want to be financially free in five years?” And the crowd hollers, “I”. You get the picture.
The convention was also interspersed with stretching exercises and participants giving one another high fives. Additionally, each participant was given an egg to take care off. So right off the bat, it was an eye-opener for many participants.
Tan’s financial advice
Tan has been involved in property investment for approximately four years, with wealth accumulation of more than RM2.28 million. Through his mortgage broking firm, he has taught more than 220 students within 8 months and has helped them purchase properties worth more than RM8.07million.
He also advised all to find out how much one can borrow, to find out how much one is worth. “If you currently have rentals, then your income (level) goes up. For example, if your monthly pay is RM10,000 and rental income is RM2,000, the amount that the bank will calculate is based on RM12,000. Therefore the (borrowing) limit goes up,” Tan explains.
Tan also provided a few formulas. One included determining one’s Finish Line, which translates to determining how much you need to have in order to retire within your limits. Not surprising, all 150 participants’ figure ran up to the millions.
“Last time, to be a millionaire is a privilege. Now, it is becoming a necessity due to money inflation,” he explains.
Tan’s formula – calculate your required Pension Fund
Pension Fund (PF) is the amount you need when you arrive at your desired retirement age, in order to receive your Desired Monthly Income (passive income).
DI (Desired Income) = Ideal passive income monthly
CA (Current Age) = Current age, rounded down to closest 5 years (e.g. 48 becomes 45)
RA (Retirement Age) = Ideal retirement age, rounded up to 5 years (e.g. 48 becomes 50)
POA (Passing On Age) = Age of passing, rounded up to 5 years (e.g. 81 becomes 85)
PF = DI x (POA-RA) x 12 months
For example:
PF = RM10,000 x (75 – 45) x 12 months
= RM3,600,00
Which means, I would need to have RM3,600,000 in savings, so that I can retire by 45 years old and enjoy a passive income of RM10,000 per month (assuming that I pass on at age 75)!
Chin’s investment strategies
One of Tan’s convention co-sharer, Juanita Chin, 39, became a property millionaire in less than five years. She currently owns RM5.6million worth of properties comprising resort condos, shop offices and office suites. She cautioned would-be-investors to be rational and not emotional. It is all about money and sense.
All her properties are in Penang and her first property was with a low downpayment of RM5,000. The property was in Gurney Drive. Chin said, “It was a balance unit. On the 4th floor. Facing a graveyard. Leasehold.” After the chatter of amazement eased, she added that she did research and discovered that Japanese community favoured living in the area and preferred the lower floors. The first unit was rented out and fetched a positive cash flow of RM400. She has since purchased two more units and is getting a total of RM3,000 in rental from the three units.
Some of the strategies that she employs include:
• Knowledge - the more you know, the less mistakes
• Leverage on assets – refinance properties for extra capital to reinvest
• Joint-loans with family members
• Know your banker
• Look out for discounts and early bird specials from developers
• Find a group of people and negotiate for a “bulk" discount
Yee’s practical approach
Dr Peter Yee, a guest speaker at the convention, has benefited many times from property auctions. So far, he has purchased 14 properties, including terraced houses, bungalows and shop offices. Rental income and the sale of six properties have earned him profits of more than RM1million.
His straightforward candour and funny anecdotes during his sharing session were more than well received. He is perceived to be like a family’s funny uncle. His area of expertise is in the auction and secondary markets. He mentioned that he has paid tens of thousands in “tuition fee” – monies lost from bad purchases. As the years progressed, he stopped paying tuition fee, but instead made a tidy sum.
He also shared that it is important to know what’s going on. “See this shoplot. Beside the two lots owned by the same person. The owner of the two lots beside mine, did not know the next lot was going to be auctioned. I bought it and then the owner purchased it from me. I like people like this. Busy, hardworking people who don’t know what’s going on,” he said cheekily.
Yee also added that it is important to know an area well and adopt a wait-and-see approach. Look out for signboards at properties. If the owners are desperate, the prices will drop in time. Or if a piece of land is priced at a low value, due to the owner’s mistake, then it is to Yee’s benefit.
Doshi’s principles
Milan Doshi, a Singaporean residing in Malaysia and the convention’s second guest speaker, has been involved in investment property for more than 10 years. Currently, he has 19 properties, with one in Singapore. The loans amount to RM11million, with a positive cash flow of RM15,000 to RM20,000 per month.
“When I started working, my friends were driving second-hand cars. Two to three years later, they were driving new cars and I was still taking the bus and LRT. I knew something was not right,” Doshi shared.
“My first job was as a commodity trader. My boss told me that the sooner I learn that the four years in university is nothing but rubbish, the earlier you become useful to me,” he continued. It was years later that he found out what his boss meant because everything he learnt was theory, not real-world practical learning.
When he began investing in units in HDB flats in Singapore, he was doing well, until one friend told him to buy the most expensive property that he cannot afford. It made sense at the time, because the more the asset appreciates, the bigger the gain. But alas, as values can increase, it can also nosedive.
He has since moved on and has made many good purchases. To date, he has more than a handful of shoplots at Berjaya Times Square. Some of these lots are lesser than 1,000sq ft and were purchased for a price tag of more than RM1million each.
The six principles that he strongly advocates are:
• Learn as much as you can – from sales people, the market, entrepreneurs, experts
• Network – it’s who you know
• Earn as much as you can, as fast as you can
• Savings – invest in yourself e.g. save RM200 and spend RM200 on books, etc.
• Borrow – as much as you can and invest to gain returns that are more than interest rates
• Invest wisely, as much as you can
The gurus’ seminars
This property millionaire quartet conducts seminars and workshops throughout the year – individually and together with a few other speakers.
Tan, Chin, Yee and Ho Chin Soon (the maker of Malaysian maps that pinpoint the exact geographical location and information on properties) will be conducting a series of seminars titled “The Millionaire Start Up Programme”. Call 03-2283 1740 for details.
Property Intensive, a 3-hour seminar preview by Doshi, will be held on 9 and 10 April. For more information, call 1700 800 178.
The egg
Back to the egg. What was it all about? It was to represent a loved one and the reason one is striving financial independence for. In short, be grounded and remember loved ones and those in need even when one joins the millionaire club
It has been done over and over - making money out of property investment, but it is not without its share of peril. At a recent Property Millionaire Convention, four property millionaires shared their journey towards financial freedom.
The convention was organised by Paysolution Technologies Sdn Bhd. The company’s founder, Michael Tan, 34, channeled positive energy and vibes through a “motivational” approach by eliciting “I” from his questions. “Who wants to be a property millionaire?” and the crowd goes “I”. “Do you want to be financially free in five years?” And the crowd hollers, “I”. You get the picture.
The convention was also interspersed with stretching exercises and participants giving one another high fives. Additionally, each participant was given an egg to take care off. So right off the bat, it was an eye-opener for many participants.
Tan’s financial advice
Tan has been involved in property investment for approximately four years, with wealth accumulation of more than RM2.28 million. Through his mortgage broking firm, he has taught more than 220 students within 8 months and has helped them purchase properties worth more than RM8.07million.
He also advised all to find out how much one can borrow, to find out how much one is worth. “If you currently have rentals, then your income (level) goes up. For example, if your monthly pay is RM10,000 and rental income is RM2,000, the amount that the bank will calculate is based on RM12,000. Therefore the (borrowing) limit goes up,” Tan explains.
Tan also provided a few formulas. One included determining one’s Finish Line, which translates to determining how much you need to have in order to retire within your limits. Not surprising, all 150 participants’ figure ran up to the millions.
“Last time, to be a millionaire is a privilege. Now, it is becoming a necessity due to money inflation,” he explains.
Tan’s formula – calculate your required Pension Fund
Pension Fund (PF) is the amount you need when you arrive at your desired retirement age, in order to receive your Desired Monthly Income (passive income).
DI (Desired Income) = Ideal passive income monthly
CA (Current Age) = Current age, rounded down to closest 5 years (e.g. 48 becomes 45)
RA (Retirement Age) = Ideal retirement age, rounded up to 5 years (e.g. 48 becomes 50)
POA (Passing On Age) = Age of passing, rounded up to 5 years (e.g. 81 becomes 85)
PF = DI x (POA-RA) x 12 months
For example:
PF = RM10,000 x (75 – 45) x 12 months
= RM3,600,00
Which means, I would need to have RM3,600,000 in savings, so that I can retire by 45 years old and enjoy a passive income of RM10,000 per month (assuming that I pass on at age 75)!
Chin’s investment strategies
One of Tan’s convention co-sharer, Juanita Chin, 39, became a property millionaire in less than five years. She currently owns RM5.6million worth of properties comprising resort condos, shop offices and office suites. She cautioned would-be-investors to be rational and not emotional. It is all about money and sense.
All her properties are in Penang and her first property was with a low downpayment of RM5,000. The property was in Gurney Drive. Chin said, “It was a balance unit. On the 4th floor. Facing a graveyard. Leasehold.” After the chatter of amazement eased, she added that she did research and discovered that Japanese community favoured living in the area and preferred the lower floors. The first unit was rented out and fetched a positive cash flow of RM400. She has since purchased two more units and is getting a total of RM3,000 in rental from the three units.
Some of the strategies that she employs include:
• Knowledge - the more you know, the less mistakes
• Leverage on assets – refinance properties for extra capital to reinvest
• Joint-loans with family members
• Know your banker
• Look out for discounts and early bird specials from developers
• Find a group of people and negotiate for a “bulk" discount
Yee’s practical approach
Dr Peter Yee, a guest speaker at the convention, has benefited many times from property auctions. So far, he has purchased 14 properties, including terraced houses, bungalows and shop offices. Rental income and the sale of six properties have earned him profits of more than RM1million.
His straightforward candour and funny anecdotes during his sharing session were more than well received. He is perceived to be like a family’s funny uncle. His area of expertise is in the auction and secondary markets. He mentioned that he has paid tens of thousands in “tuition fee” – monies lost from bad purchases. As the years progressed, he stopped paying tuition fee, but instead made a tidy sum.
He also shared that it is important to know what’s going on. “See this shoplot. Beside the two lots owned by the same person. The owner of the two lots beside mine, did not know the next lot was going to be auctioned. I bought it and then the owner purchased it from me. I like people like this. Busy, hardworking people who don’t know what’s going on,” he said cheekily.
Yee also added that it is important to know an area well and adopt a wait-and-see approach. Look out for signboards at properties. If the owners are desperate, the prices will drop in time. Or if a piece of land is priced at a low value, due to the owner’s mistake, then it is to Yee’s benefit.
Doshi’s principles
Milan Doshi, a Singaporean residing in Malaysia and the convention’s second guest speaker, has been involved in investment property for more than 10 years. Currently, he has 19 properties, with one in Singapore. The loans amount to RM11million, with a positive cash flow of RM15,000 to RM20,000 per month.
“When I started working, my friends were driving second-hand cars. Two to three years later, they were driving new cars and I was still taking the bus and LRT. I knew something was not right,” Doshi shared.
“My first job was as a commodity trader. My boss told me that the sooner I learn that the four years in university is nothing but rubbish, the earlier you become useful to me,” he continued. It was years later that he found out what his boss meant because everything he learnt was theory, not real-world practical learning.
When he began investing in units in HDB flats in Singapore, he was doing well, until one friend told him to buy the most expensive property that he cannot afford. It made sense at the time, because the more the asset appreciates, the bigger the gain. But alas, as values can increase, it can also nosedive.
He has since moved on and has made many good purchases. To date, he has more than a handful of shoplots at Berjaya Times Square. Some of these lots are lesser than 1,000sq ft and were purchased for a price tag of more than RM1million each.
The six principles that he strongly advocates are:
• Learn as much as you can – from sales people, the market, entrepreneurs, experts
• Network – it’s who you know
• Earn as much as you can, as fast as you can
• Savings – invest in yourself e.g. save RM200 and spend RM200 on books, etc.
• Borrow – as much as you can and invest to gain returns that are more than interest rates
• Invest wisely, as much as you can
The gurus’ seminars
This property millionaire quartet conducts seminars and workshops throughout the year – individually and together with a few other speakers.
Tan, Chin, Yee and Ho Chin Soon (the maker of Malaysian maps that pinpoint the exact geographical location and information on properties) will be conducting a series of seminars titled “The Millionaire Start Up Programme”. Call 03-2283 1740 for details.
Property Intensive, a 3-hour seminar preview by Doshi, will be held on 9 and 10 April. For more information, call 1700 800 178.
The egg
Back to the egg. What was it all about? It was to represent a loved one and the reason one is striving financial independence for. In short, be grounded and remember loved ones and those in need even when one joins the millionaire club
What’s your money personality?
By: Milan Doshi
During my seminars and personal financial consultations, I have come across many people who have different attitudes towards money. All of us have unique personalities − some characteristics are inborn and some are learnt along life’s journey. Likewise, when it comes to money and real estate investments, we too possess various money personalities. They are:
1. Spenders / Shoppers
These personalities derive great emotional satisfaction from spending money. They need instant gratification and can't resist spending money. Spenders often shop to entertain themselves, even if the items they buy go unused. A sale is simply an excuse to spend money on the pretext of getting a good deal on things that they do not need at the moment.
A well-to-do good friend of mine was shocked to discover, during his house moving, that his wife owned more than 100 pairs of shoes and over 30 handbags! Like most guys, he couldn’t see the need for his wife to own so many pairs of shoes and handbags. As money was not an issue, he didn’t mind his wife buying more new shoes or handbags, provided that she gave her old ones away. He was concerned that his new house was quickly running out of closet space to store the things his wife bought.
Unfortunately, besides being a shopper, his wife was also a hoarder. She didn’t have the heart to give away things that are still fairly new and seldom used. This led to frequent quarrels and my friend decided that the only way out was to build more closet space in his current house and to move to a bigger house a few years later to accommodate his wife’s impulsive shopping habit. It was a small price that he could afford to pay to keep his wife happy.
Advice for Spenders/ Shoppers: Shop a lot less, save a lot more
If you love to spend, it's very likely that you are going to continue doing it. when shopping, try to seek long term value, not just short -term satisfaction. Before purchasing, ask yourself how much that purchase is going to mean in a year. If the answer is "not much",then forgo the purchase. This way, you can limit your spending to things that you'll actually use. If possible, set a monthly budget and stick to it. In case you over-spend in a month, make sure that you have the discipline to cut back the following month.
Another suggestion is to cut up any extra credit cards you may have and lower the credit limit on the ones you use regularly. Give standing instructions to auto-debit your bank account on the due date with the full amount for all your credit cards. This way you will not be tempted to overspend.
2. Debtors
Debtors are similar to Spenders/Shoppers. The only difference is that they are spending money that they don’t have and are living beyond their means. They are deeply in debt and often, are not in a position to do much investing. Debtors will typically live rich but die poor!
A newly married young couple in their late twenties came to see me for a personal financial consultation. They were keen on investing in properties and stocks. Their combined gross income was RM15,000 per month but their net worth was less than RM100,000! They had RM20,000 in credit card debts, less than RM5,000 in savings and they both drive brand new Japanese cars worth around RM70,000 each. Their logic of purchasing new cars was that they didn’t want any problems associated with buying cheaper second-hand cars.
In my opinion, both fell into the Debtor personality. While they were earning well for their age bracket, they were mismanaging their money by accumulating credit card debts and over-spending. Since both were desk-bound employees, there was no need for them to make a good impression by driving new cars. In fact, they could ill-afford to drive new cars at this stage of their lives, given their current financial situation.
In order to clear up the credit card debts and begin their investment journey, I strongly suggested that they sell off their two cars which were around a year old and downgrade to a three year old Proton or Perodua car which costs around RM35,000 each. Straight away, they would be able to settle their credit cards debts and have sufficient start-up capital of around RM50,000 to begin investing.
Unfortunately, it was easier said than done. Towards the end of our consultation, the husband blurted out that they had just placed a deposit for a new car for himself worth RM85,000 to lock-in the low interest rates. Since both had the Debtor personality, I really had a tough time convincing them to change their spending habits. If one of them had a different money personality, perhaps I would have an easier time to get one spouse to convince and force the other to change his/her ways. Finally, all I could do was wish them good luck. Personally, there is no way they will go far in life unless they make drastic changes to their behaviour
Advice for Debtors: Start saving, investing & don't spend money that you don't have!
If you are already in debt, you first need to get your debts sorted out before you can begin investing. If you are not be able to do it alone, get some professional financial help like what the couple did when they saw me.
Also, analyse what caused you to get into trouble. If it was easy access to credit cards, then the solution would be to cut up all "temptations" cards and sticks to debit cards. If spending was something that you used to compensate for other areas in your life that you feel were lacking, think about what these might be and work on changing them. If your house and cars were purchased because of the need to look good, then you may even need to downgrade your lifestyles by moving to a smaller house, drive an older car, etc.
Next, focus your efforts on saving money diligently. Pay yourself first by setting aside a certain portion of your take-home income that automatically goes into a special bank account that is used for investments. The money in this account can never be spend - it is your golden goose. Later, when you retire, you can only spend the eggs that your golden goose laid i.e whatever interest, dividend or rental incomethat your investments generated.
3. Savers
Savers are the exact opposite of Spenders/Shoppers and Debtors. They only shop when absolutely necessary and never accumulate credit cards debts. They generally have no debts and are often viewed as cheapskates. Savers are not concerned about keeping up with the Joneses or following the latest trends. They are happy with their 20-year-old cars and derive great satisfaction from seeing the interest earned on their bank statements. Due to their conservative nature, they don't take big risks with their investments. They prefer fixed deposits instead of other riskier investments where there is a possibility of a loss.
Extreme Savers unfortunately will live poor but die rich! Most of our parents who had lived through the Second World War and experienced hard times, where they didn’t have the luxury of three meals a day, will fall into this money personality type. I met many people who live in old houses that were last renovated 20 years ago and drive well-maintained cars that are more than 15 years old. These people are the ones who have more than RM5 million in fixed deposits! At the current fixed deposit rate of 2.5% p.a., their interest income alone is over RM10,000 per month which is more than sufficient to fund their no-frills lifestyle.
Advice for Savers: Practice moderation & take a little more investment risk
If you are a Saver, you should not let all the fun parts of life pass by just to save a few cents. To achieve some sort of balance, it's advisable that you allocate a small sum of "Play Money" where you can nourish your inner child by living like a King/Queen for a few hours every month. Spending a bit of money on having fun isn't going to make you bankrupt. Once you have tasted the good life, would you want more? The answer is a definite 'Yes'. In fact, you would be motivated to challenge yourself to make more money so that you can have more of the good life.
Instead of taking little or no investment risk by leaving all your money in fixed deposits, you need to learn to take a little more risk by investing a portion of your capital into higher return investments such as REITs, properties, bond funds, etc. After all, the key to investing success is to minimise risks while maximising returns. Avoiding investments risks completely will not get you far in the long run.
4. The Avoiders / Money Monks
These people are not comfortable with the subject of money due to their lack of interest or they feel that that are other more important issues. Often, they will try their level best to avoid the subject completely. Money Monks are happy-go-lucky types who strongly belief that God will take care of them. At the extreme end, they may not even know whether they are rich or broke.
If you are married to an Avoider or a Money Monk, you will have to shoulder the responsibility of managing money and investing for your family. The big advantage is that you will have little or no arguments on any money matters with them.
Advice for Avoiders/Money Monks: Make sure that you do not marry your own kind. Alternatively, find a trusted professional financial planner.
It's a sad fact that people typically will not change even when they know they need to. Hence, it is extremely tough to suggest to Avoiders and Money Monk that they should have an interest in knowing how money works. If you are an Avoider or Money Monk, an easier alternative is to make sure you don't marry their own kinds or you should seek professional help when it comes to managing your money.
5. Investors
Investors are consciously aware of how money works. They know where they are financially today and try to put as much of their money to work. All investors tend to seek a day when their passive income from their investments will provide sufficient income to cover all their expenses. Their actions are driven by careful decision making, and they are comfortable with the need to take a certain amount of risk in pursuit of their goals
Advice for Investors: Keep it up!
Congratulations! Financially speaking, you are on the right path and doing great! Keep doing what you are doing, and continue to educate yourself.
It’s extremely important to know which money personality you fall into as each has its own strengths and weaknesses. Understanding your unique money personality will help you shape your approach to spending, saving and investing. If you are married, it will also help you understand your spouse better as most marriages get into trouble because of money issues.
During my seminars and personal financial consultations, I have come across many people who have different attitudes towards money. All of us have unique personalities − some characteristics are inborn and some are learnt along life’s journey. Likewise, when it comes to money and real estate investments, we too possess various money personalities. They are:
1. Spenders / Shoppers
These personalities derive great emotional satisfaction from spending money. They need instant gratification and can't resist spending money. Spenders often shop to entertain themselves, even if the items they buy go unused. A sale is simply an excuse to spend money on the pretext of getting a good deal on things that they do not need at the moment.
A well-to-do good friend of mine was shocked to discover, during his house moving, that his wife owned more than 100 pairs of shoes and over 30 handbags! Like most guys, he couldn’t see the need for his wife to own so many pairs of shoes and handbags. As money was not an issue, he didn’t mind his wife buying more new shoes or handbags, provided that she gave her old ones away. He was concerned that his new house was quickly running out of closet space to store the things his wife bought.
Unfortunately, besides being a shopper, his wife was also a hoarder. She didn’t have the heart to give away things that are still fairly new and seldom used. This led to frequent quarrels and my friend decided that the only way out was to build more closet space in his current house and to move to a bigger house a few years later to accommodate his wife’s impulsive shopping habit. It was a small price that he could afford to pay to keep his wife happy.
Advice for Spenders/ Shoppers: Shop a lot less, save a lot more
If you love to spend, it's very likely that you are going to continue doing it. when shopping, try to seek long term value, not just short -term satisfaction. Before purchasing, ask yourself how much that purchase is going to mean in a year. If the answer is "not much",then forgo the purchase. This way, you can limit your spending to things that you'll actually use. If possible, set a monthly budget and stick to it. In case you over-spend in a month, make sure that you have the discipline to cut back the following month.
Another suggestion is to cut up any extra credit cards you may have and lower the credit limit on the ones you use regularly. Give standing instructions to auto-debit your bank account on the due date with the full amount for all your credit cards. This way you will not be tempted to overspend.
2. Debtors
Debtors are similar to Spenders/Shoppers. The only difference is that they are spending money that they don’t have and are living beyond their means. They are deeply in debt and often, are not in a position to do much investing. Debtors will typically live rich but die poor!
A newly married young couple in their late twenties came to see me for a personal financial consultation. They were keen on investing in properties and stocks. Their combined gross income was RM15,000 per month but their net worth was less than RM100,000! They had RM20,000 in credit card debts, less than RM5,000 in savings and they both drive brand new Japanese cars worth around RM70,000 each. Their logic of purchasing new cars was that they didn’t want any problems associated with buying cheaper second-hand cars.
In my opinion, both fell into the Debtor personality. While they were earning well for their age bracket, they were mismanaging their money by accumulating credit card debts and over-spending. Since both were desk-bound employees, there was no need for them to make a good impression by driving new cars. In fact, they could ill-afford to drive new cars at this stage of their lives, given their current financial situation.
In order to clear up the credit card debts and begin their investment journey, I strongly suggested that they sell off their two cars which were around a year old and downgrade to a three year old Proton or Perodua car which costs around RM35,000 each. Straight away, they would be able to settle their credit cards debts and have sufficient start-up capital of around RM50,000 to begin investing.
Unfortunately, it was easier said than done. Towards the end of our consultation, the husband blurted out that they had just placed a deposit for a new car for himself worth RM85,000 to lock-in the low interest rates. Since both had the Debtor personality, I really had a tough time convincing them to change their spending habits. If one of them had a different money personality, perhaps I would have an easier time to get one spouse to convince and force the other to change his/her ways. Finally, all I could do was wish them good luck. Personally, there is no way they will go far in life unless they make drastic changes to their behaviour
Advice for Debtors: Start saving, investing & don't spend money that you don't have!
If you are already in debt, you first need to get your debts sorted out before you can begin investing. If you are not be able to do it alone, get some professional financial help like what the couple did when they saw me.
Also, analyse what caused you to get into trouble. If it was easy access to credit cards, then the solution would be to cut up all "temptations" cards and sticks to debit cards. If spending was something that you used to compensate for other areas in your life that you feel were lacking, think about what these might be and work on changing them. If your house and cars were purchased because of the need to look good, then you may even need to downgrade your lifestyles by moving to a smaller house, drive an older car, etc.
Next, focus your efforts on saving money diligently. Pay yourself first by setting aside a certain portion of your take-home income that automatically goes into a special bank account that is used for investments. The money in this account can never be spend - it is your golden goose. Later, when you retire, you can only spend the eggs that your golden goose laid i.e whatever interest, dividend or rental incomethat your investments generated.
3. Savers
Savers are the exact opposite of Spenders/Shoppers and Debtors. They only shop when absolutely necessary and never accumulate credit cards debts. They generally have no debts and are often viewed as cheapskates. Savers are not concerned about keeping up with the Joneses or following the latest trends. They are happy with their 20-year-old cars and derive great satisfaction from seeing the interest earned on their bank statements. Due to their conservative nature, they don't take big risks with their investments. They prefer fixed deposits instead of other riskier investments where there is a possibility of a loss.
Extreme Savers unfortunately will live poor but die rich! Most of our parents who had lived through the Second World War and experienced hard times, where they didn’t have the luxury of three meals a day, will fall into this money personality type. I met many people who live in old houses that were last renovated 20 years ago and drive well-maintained cars that are more than 15 years old. These people are the ones who have more than RM5 million in fixed deposits! At the current fixed deposit rate of 2.5% p.a., their interest income alone is over RM10,000 per month which is more than sufficient to fund their no-frills lifestyle.
Advice for Savers: Practice moderation & take a little more investment risk
If you are a Saver, you should not let all the fun parts of life pass by just to save a few cents. To achieve some sort of balance, it's advisable that you allocate a small sum of "Play Money" where you can nourish your inner child by living like a King/Queen for a few hours every month. Spending a bit of money on having fun isn't going to make you bankrupt. Once you have tasted the good life, would you want more? The answer is a definite 'Yes'. In fact, you would be motivated to challenge yourself to make more money so that you can have more of the good life.
Instead of taking little or no investment risk by leaving all your money in fixed deposits, you need to learn to take a little more risk by investing a portion of your capital into higher return investments such as REITs, properties, bond funds, etc. After all, the key to investing success is to minimise risks while maximising returns. Avoiding investments risks completely will not get you far in the long run.
4. The Avoiders / Money Monks
These people are not comfortable with the subject of money due to their lack of interest or they feel that that are other more important issues. Often, they will try their level best to avoid the subject completely. Money Monks are happy-go-lucky types who strongly belief that God will take care of them. At the extreme end, they may not even know whether they are rich or broke.
If you are married to an Avoider or a Money Monk, you will have to shoulder the responsibility of managing money and investing for your family. The big advantage is that you will have little or no arguments on any money matters with them.
Advice for Avoiders/Money Monks: Make sure that you do not marry your own kind. Alternatively, find a trusted professional financial planner.
It's a sad fact that people typically will not change even when they know they need to. Hence, it is extremely tough to suggest to Avoiders and Money Monk that they should have an interest in knowing how money works. If you are an Avoider or Money Monk, an easier alternative is to make sure you don't marry their own kinds or you should seek professional help when it comes to managing your money.
5. Investors
Investors are consciously aware of how money works. They know where they are financially today and try to put as much of their money to work. All investors tend to seek a day when their passive income from their investments will provide sufficient income to cover all their expenses. Their actions are driven by careful decision making, and they are comfortable with the need to take a certain amount of risk in pursuit of their goals
Advice for Investors: Keep it up!
Congratulations! Financially speaking, you are on the right path and doing great! Keep doing what you are doing, and continue to educate yourself.
It’s extremely important to know which money personality you fall into as each has its own strengths and weaknesses. Understanding your unique money personality will help you shape your approach to spending, saving and investing. If you are married, it will also help you understand your spouse better as most marriages get into trouble because of money issues.
How to discover your passion and interests
By: Milan Doshi
The earlier you are able to identify your passions, the better it will be as you will be able find the right direction in life to move forward. This article will give you some ideas on how to discover your passion and interests.
1. Think back
a) Subjects or courses you were interested in
These are classes that you found interesting and those that you easily excelled in, while others may have found them difficult. These could also be topics that you read beyond your textbooks on your own initiative.
b) Extra-curricular activities
What were the activities that you loved to join, either as an organiser or participant, where you didn’t mind contributing your time, energy and effort? Find out the areas where you had a natural advantage over others, be it in extra-curricular activities or inter-school competitions.
c) Accolades from peers or school mates
For example, some people are naturally good at entertaining people. Some may be good at drawings (the next Lat in the making perhaps?), some good dancers, etc. These could be starting points for you to explore your passion further and take it to the next level.
d) Outside of school
What sort of activities held by organisations or local communities did you enjoy taking part?
2. Ask people close to you
Ask your parents, elder siblings, relatives or even your childhood buddies to recall the things that you love to do in your younger days, as you might have forgotten. Personally, I couldn’t remember what I loved to do when I was still young. When I asked my father many years ago, he told me that I used to love spending my time looking at pictures of beautiful houses in newspapers and magazines. Whenever I came across a picture of a house that I like, I would tear that page and keep it in my study table drawer. Perhaps that explains my keen passion for properties today! Likewise, my son who is 12 twelve years old now loves visiting the beautiful showhouses of developers. As his father, I will encourage him to find his passion in this area. Who knows, he might become a famous architect or an interior decorator.
3. Identify subjects or activities
Choose those that bring a smile to your face. You can easily discover this whenever you are talking to your friends, parents or relatives. For example, if you put together a group of strangers with a common passion for properties in a room, you will find that they will easily bond and connect with one another discussing and sharing their ideas on properties.
Take it from a veteran actor:
“Find that one particular thing that makes you smile when you do it. For me, that was acting”
- Samuel L. Jackson, Actor
4. Imagine that you won a lottery for RM10 million
What would you do next? If you dislike your job, mostly likely the first thing you would do is to fire your boss! After that, you would quite likely pamper yourself and your family by travelling around the world, purchasing a new house, a new car and so forth.
Would you go back to what you were doing previously? If no, what new things would you do to occupy your time and keep yourself busy? Whatever you have in mind is the answer you are looking for, as you would no longer be working for the money. You already have enough to last a lifetime assuming you invest the balance wisely. Whatever you would be doing in the future would be things you enjoy where your passion and interests are.
To succeed in property investments, your passion and interests in this area helps a great deal. Success comes easily when you love what you are doing. You would be ever willing and happy to give your 110%. The time and energy spent on property investments will eventually reward your hard work and sacrifices handsomely. By then, reaching your ultimate goal of being financial free is no longer a dream, but a reality.
The earlier you are able to identify your passions, the better it will be as you will be able find the right direction in life to move forward. This article will give you some ideas on how to discover your passion and interests.
1. Think back
a) Subjects or courses you were interested in
These are classes that you found interesting and those that you easily excelled in, while others may have found them difficult. These could also be topics that you read beyond your textbooks on your own initiative.
b) Extra-curricular activities
What were the activities that you loved to join, either as an organiser or participant, where you didn’t mind contributing your time, energy and effort? Find out the areas where you had a natural advantage over others, be it in extra-curricular activities or inter-school competitions.
c) Accolades from peers or school mates
For example, some people are naturally good at entertaining people. Some may be good at drawings (the next Lat in the making perhaps?), some good dancers, etc. These could be starting points for you to explore your passion further and take it to the next level.
d) Outside of school
What sort of activities held by organisations or local communities did you enjoy taking part?
2. Ask people close to you
Ask your parents, elder siblings, relatives or even your childhood buddies to recall the things that you love to do in your younger days, as you might have forgotten. Personally, I couldn’t remember what I loved to do when I was still young. When I asked my father many years ago, he told me that I used to love spending my time looking at pictures of beautiful houses in newspapers and magazines. Whenever I came across a picture of a house that I like, I would tear that page and keep it in my study table drawer. Perhaps that explains my keen passion for properties today! Likewise, my son who is 12 twelve years old now loves visiting the beautiful showhouses of developers. As his father, I will encourage him to find his passion in this area. Who knows, he might become a famous architect or an interior decorator.
3. Identify subjects or activities
Choose those that bring a smile to your face. You can easily discover this whenever you are talking to your friends, parents or relatives. For example, if you put together a group of strangers with a common passion for properties in a room, you will find that they will easily bond and connect with one another discussing and sharing their ideas on properties.
Take it from a veteran actor:
“Find that one particular thing that makes you smile when you do it. For me, that was acting”
- Samuel L. Jackson, Actor
4. Imagine that you won a lottery for RM10 million
What would you do next? If you dislike your job, mostly likely the first thing you would do is to fire your boss! After that, you would quite likely pamper yourself and your family by travelling around the world, purchasing a new house, a new car and so forth.
Would you go back to what you were doing previously? If no, what new things would you do to occupy your time and keep yourself busy? Whatever you have in mind is the answer you are looking for, as you would no longer be working for the money. You already have enough to last a lifetime assuming you invest the balance wisely. Whatever you would be doing in the future would be things you enjoy where your passion and interests are.
To succeed in property investments, your passion and interests in this area helps a great deal. Success comes easily when you love what you are doing. You would be ever willing and happy to give your 110%. The time and energy spent on property investments will eventually reward your hard work and sacrifices handsomely. By then, reaching your ultimate goal of being financial free is no longer a dream, but a reality.
Monday, December 13, 2010
My Birthday 2010 treat
My birthday treat from my hubby for this year was having a dinner at Cheng Ho restaurant which is belong to Amy Search. We order set 1 which was 4 dishes + rice + Chinese tea. For dishes, I ordered Tom Yam Seafood, Chicken Kung Po, Stir fried vegetable, Cheng Ho style Siakap. I did add 1 rice for another person and 3 drinks (fresh orange, fresh apple and lychee). All for RM86.90. My comment ..... maybe I put very high expectation especially when comes to celebrity. I used to eat Chinese food at 5 star hotel. Of course my boss treat us. He love Chinese food.
Service - I give 3 stars. No welcoming wishes. No smiling face at cashier counter. OK, I admit, we quiet early. We reached about 6.10pm. They open on 6.15pm. So we have to wait a few minute to be serve. So what customer always right. We bring money to their doorstep... Terukkan. But food serves every fast. Maybe we are the only customer at that time. I show a lot table been reserved. It's mean Amy's restaurant consider ok and that restaurant been almost 2 years. So hopefully, they can least longer.
Food - 3 stars. I have tease Chinese food much better than this restaurant. hihih. But overall quite nice. I like the tom yam one. I think they add santan. Well, so far I know, tom yam is not Chinese food. Maybe some customer asked for it so they add in menu or they want little different from others Chinese restaurant. Drinks - I like lychee, tease quite nice compare with fresh orange and apple. Tekak lain lain.
Cleanliness - 1 star. I think they can do much better. They open only during lunch and dinner time. And they closed between that time. I show a lot spider web at ceiling and each corner and fan covered with dusk. Like 2-3 months didn't swap. And floor, it's like stepping at mamak restaurant. The floor so dirty. They used homogeneous tile. So got dirty stick at tile. If mamak restaurant, I can understand, they opened 24 hours sure they don't have time to clean up. But this restaurant have a lot of time to do overhaul clean up to do.
Toilet. 3 stars. here much better
Surau - I didnt have opportunity to go surau because we finished early about 7.25pm. So rush to pray at our house.
Oh ya. During lunch time, my friend treat me at Musa Cafe, which is belongs to Ummi Nazira's brother. We had pan fried fish with creamy cause. We ordered lunch promotion, main course plus ice lemon tea cost RM13. Overall ok le. The fish got smelly tease and to oily. hihi. Drink.. ermm Mc Donald ice lemon tea still the best. We didn't went to their boutique due lack of time. But we enjoyed seat at outside with kerusi goyang. And some extra black pepper... my friend said, mean dust coz the restaurant next to main road - jln ampang. And plus cake from Secret Recipe - chocolate indulgence - my favorite
Service - I give 3 stars. No welcoming wishes. No smiling face at cashier counter. OK, I admit, we quiet early. We reached about 6.10pm. They open on 6.15pm. So we have to wait a few minute to be serve. So what customer always right. We bring money to their doorstep... Terukkan. But food serves every fast. Maybe we are the only customer at that time. I show a lot table been reserved. It's mean Amy's restaurant consider ok and that restaurant been almost 2 years. So hopefully, they can least longer.
Food - 3 stars. I have tease Chinese food much better than this restaurant. hihih. But overall quite nice. I like the tom yam one. I think they add santan. Well, so far I know, tom yam is not Chinese food. Maybe some customer asked for it so they add in menu or they want little different from others Chinese restaurant. Drinks - I like lychee, tease quite nice compare with fresh orange and apple. Tekak lain lain.
Cleanliness - 1 star. I think they can do much better. They open only during lunch and dinner time. And they closed between that time. I show a lot spider web at ceiling and each corner and fan covered with dusk. Like 2-3 months didn't swap. And floor, it's like stepping at mamak restaurant. The floor so dirty. They used homogeneous tile. So got dirty stick at tile. If mamak restaurant, I can understand, they opened 24 hours sure they don't have time to clean up. But this restaurant have a lot of time to do overhaul clean up to do.
Toilet. 3 stars. here much better
Surau - I didnt have opportunity to go surau because we finished early about 7.25pm. So rush to pray at our house.
Oh ya. During lunch time, my friend treat me at Musa Cafe, which is belongs to Ummi Nazira's brother. We had pan fried fish with creamy cause. We ordered lunch promotion, main course plus ice lemon tea cost RM13. Overall ok le. The fish got smelly tease and to oily. hihi. Drink.. ermm Mc Donald ice lemon tea still the best. We didn't went to their boutique due lack of time. But we enjoyed seat at outside with kerusi goyang. And some extra black pepper... my friend said, mean dust coz the restaurant next to main road - jln ampang. And plus cake from Secret Recipe - chocolate indulgence - my favorite
Sunday, November 7, 2010
6 Careers You Can Do From Home
by Claire Bradley (Yahoo)
Working from home can be a great career option for people with all skillsets and lifestyles. You can set your own hours and even work in your pajamas - a pretty appealing alternative to the old nine-to-five in a cubicle. Here are six careers you can do from home, and how you can get started.
1. Personal Chef
If cooking is your passion, becoming a personal chef may just be the job for you. This job can mean that you cook a week's worth of meals in a client's home, for instance, or you can look at delivering gourmet meals - the alternative to the old pizza delivery. With today's high-pressure jobs and families where both parents work full time, this type of service is becoming more desirable, particularly in urban areas. Be sure to understand local regulations regarding the kitchen you prepare the food in; many states require you to have a kitchen separate from your home, and may inspect for health code adhesion.
2. Birthday Party Planning
If you talk to any parent, they'll tell you: planning a birthday party is hard work, and a challenge when you're busy. Where there's a need, there's a job, and birthday party planning can be a great career if you're creative, like kids and can work weekends when parties are often held. You can also plan retirement parties, promotions - any event you think you can handle. For the best changes at earning a good income, make sure you research local rates and competition and understand your liability, particularly if you'll be working with little ones.
3. Home Staging
It's a tough real estate market out there. To sell your house in this buyer's market, it needs to look its best, and home staging can make all the difference. If you have an eye for design, home staging may just be the career for you; there are no education requirements, and although there are many courses and professional organizations for home stagers, they're not required to be successful in the field. Take some time to research rates in your area and practice staging your home or a friend's. Think about what services you'll want to offer, and the startup costs you'll incur. Networking with realtors can be very helpful in generating business.
4. Web Design
Are you computer savvy, and do you have an eye for detail? A career in web design may be for you. Even if you don't have the skills, consider going back to school to learn; there are many online courses, and current education tax benefits can make the bottom-line expense very low. Before you hunt for jobs, think whether you'll be starting your own business or work as a freelancer - the two are very different tax and legal-wise. Check with the IRS on tax obligations, and with your local small business chapter.
5. Virtual Assistant
With today's uncertain economy, more businesses are looking to hire temporary or per-project help, sometimes in the form of a virtual assistant. A virtual assistant can handle anything from receptionist duties to bookkeeping, depending on your expertise and the client's needs. For work in this field, look to online job boards. Tell your friends and family you're looking for administrative-type work to do from home, and check with any old business contacts you may have. Virtual assistants are still a fairly new concept, so expect to have to explain what you do a few times before generating business.
6. Tutoring Service
These days, problems are increasingly solved with use of the internet, including tutoring services. Work as a tutor can be helping a child with homework, or teaching adults how to use a computer - if you have a specific skill, you can become a tutor. You can find work on job boards, or at online colleges. If you have a college degree in your expertise (like math, or English), your chances at building a successful career as a tutor will be even better.
The Bottom Line
These six careers are just the tip of the iceberg when it comes to at-home careers. For the best chance at success, look at your previous career for a start - you may be able to work as a consultant. At-home careers are a great way to explore your passion and make a living too. Earnings can vary greatly, depending on your expertise and experience, so take time to research before setting your rates. Make sure you understand your tax obligation, and whether you might be best off starting a small business to protect yourself legally. Your local small business organization or SCORE chapter is great place to get some help. Whether you're designing web pages or starting a small business as a party planner, working from home can be a great way to forge own your career path - and avoid the cubicle doldrums, too.
Working from home can be a great career option for people with all skillsets and lifestyles. You can set your own hours and even work in your pajamas - a pretty appealing alternative to the old nine-to-five in a cubicle. Here are six careers you can do from home, and how you can get started.
1. Personal Chef
If cooking is your passion, becoming a personal chef may just be the job for you. This job can mean that you cook a week's worth of meals in a client's home, for instance, or you can look at delivering gourmet meals - the alternative to the old pizza delivery. With today's high-pressure jobs and families where both parents work full time, this type of service is becoming more desirable, particularly in urban areas. Be sure to understand local regulations regarding the kitchen you prepare the food in; many states require you to have a kitchen separate from your home, and may inspect for health code adhesion.
2. Birthday Party Planning
If you talk to any parent, they'll tell you: planning a birthday party is hard work, and a challenge when you're busy. Where there's a need, there's a job, and birthday party planning can be a great career if you're creative, like kids and can work weekends when parties are often held. You can also plan retirement parties, promotions - any event you think you can handle. For the best changes at earning a good income, make sure you research local rates and competition and understand your liability, particularly if you'll be working with little ones.
3. Home Staging
It's a tough real estate market out there. To sell your house in this buyer's market, it needs to look its best, and home staging can make all the difference. If you have an eye for design, home staging may just be the career for you; there are no education requirements, and although there are many courses and professional organizations for home stagers, they're not required to be successful in the field. Take some time to research rates in your area and practice staging your home or a friend's. Think about what services you'll want to offer, and the startup costs you'll incur. Networking with realtors can be very helpful in generating business.
4. Web Design
Are you computer savvy, and do you have an eye for detail? A career in web design may be for you. Even if you don't have the skills, consider going back to school to learn; there are many online courses, and current education tax benefits can make the bottom-line expense very low. Before you hunt for jobs, think whether you'll be starting your own business or work as a freelancer - the two are very different tax and legal-wise. Check with the IRS on tax obligations, and with your local small business chapter.
5. Virtual Assistant
With today's uncertain economy, more businesses are looking to hire temporary or per-project help, sometimes in the form of a virtual assistant. A virtual assistant can handle anything from receptionist duties to bookkeeping, depending on your expertise and the client's needs. For work in this field, look to online job boards. Tell your friends and family you're looking for administrative-type work to do from home, and check with any old business contacts you may have. Virtual assistants are still a fairly new concept, so expect to have to explain what you do a few times before generating business.
6. Tutoring Service
These days, problems are increasingly solved with use of the internet, including tutoring services. Work as a tutor can be helping a child with homework, or teaching adults how to use a computer - if you have a specific skill, you can become a tutor. You can find work on job boards, or at online colleges. If you have a college degree in your expertise (like math, or English), your chances at building a successful career as a tutor will be even better.
The Bottom Line
These six careers are just the tip of the iceberg when it comes to at-home careers. For the best chance at success, look at your previous career for a start - you may be able to work as a consultant. At-home careers are a great way to explore your passion and make a living too. Earnings can vary greatly, depending on your expertise and experience, so take time to research before setting your rates. Make sure you understand your tax obligation, and whether you might be best off starting a small business to protect yourself legally. Your local small business organization or SCORE chapter is great place to get some help. Whether you're designing web pages or starting a small business as a party planner, working from home can be a great way to forge own your career path - and avoid the cubicle doldrums, too.
Tuesday, October 26, 2010
Budget 2011 highlights
Source: NST
KUALA LUMPUR: Following are the highlights of 2011 Budget tabled by Prime Minister Datuk Seri Najib Tun Razak, who is also Finance Minister, at the Dewan Rakyat today:
* A mixed development project including affordable houses to be developed at a cost of RM10 billion in Sungai Buloh and is expected to be completed by 2025.
* Another landmark project "Warisan Merdeka" which includes a 100-storey tower, the tallest in Malaysia, at a cost of RM5 billion to be completed by 2015.
Do we need the tallest building again, after KLCC
* Development of large-scale integrated Aquaculture Zones in Pitas, Sungai Telaga and Sungai Padas in Sabah as well as Batang Ai and Tanjung Manis in Sarawak with an allocation of RM252 million.
* Allocation of RM135 million for basic infrastructure to encourage farmers participation in high value agriculture activities including swiftlet nests.
* Extension of income tax deduction incentive for investors and income tax exemption for companies undertaking food production activities until 2015.
* RM85 million to provide infrastructure facilities to facilitate construction of hotels and resorts in remote areas with the potential to attract tourists.
* RM50 million to construct several shaded walkways in the KLCC-Bukit Bintang vicinity.
Instead buillt shaded walkway cost RM50m, much better improve road
condition at Damansara Heights, Keramat, Setiawangsa, wangsa maju...a
lot of hole, and unsmooth road, man
* Development of world's first integrated eco-nature resort at a cost of RM3 billion by Nexus Karambunai in Sabah to commence next year.
* Abolishing of import duty on 300 goods preferred by tourists and locals, at 5 to 30 per cent, to promote Malaysia as a shopping heaven in Asia.
* RM119 million for the development of local content creation, hosting local content and unlocking new channels for content.
* Exemption of sales tax on all types of mobile phones.
* RM850 million for infrastructure support to accelerate corridor and regional development.
* RM411 million for research, development and commercialisation activity to be the platform for enhancing value-added activities across economic sectors.
* Establishment of a Special Innovation Unit (UNIK) under the Prime Minister's Department with an allocation of RM71 million for next year to commercialise R&D findings by universities and research institutions.
* RM200 million for the purchase of creative products such as high quality, locally-produced films, dramas and documentaries.
* Rate of service tax to be increased from five to six per cent.
* Service tax to be imposed on paid television broadcasting services.
* Strengthening the revenue collection system by increasing enforcement and audit as well as coverage on all parties that should be paying taxes.
* Restructuring and strengthening of education and training with the sum of RM29.3 billion allocated for Education Ministry, RM10.2 billion (Higher Education Ministry) and RM627 million (Human Resource Ministry).
* Establishment of Talent Corporation under the Prime Minister''s Office in early 2011 to develop an expert workforce database as well as collaborate closely with talent networks globally.
* For the Ministry of Education, a sum of RM6.4 billion is allocated for Development Expenditure to build and upgrade schools, hostels, facilities and equipment as well as uphold the status of the teaching profession.
* RM213 million is allocated to reward high performance schools as well as for the remuneration of Principals, Head Teachers and Excellent Teachers.
* The Government will increase pre-school enrolment rate to a targeted 72 per cent by end 2011 through additional 1,700 classes, strengthen the curriculum as well as appoint 800 pre-school graduate teachers.
* The Government also allocates RM111 million for PERMATA programme including the construction of the second phase of Sekolah PERMATA Pintar school complex, 32 PERMATA Children Centres (PAPN) and financing operations of 52 completed PAPNs.
hope its goes to the best result
* RM250 million allocated for Development Expenditure for religious schools, Chinese-type schools, Tamil national schools, missionary schools and Government-assisted schools nationwide.
* Recognising the importance of Islamic education, the Government will provide assistance per capita for primary and secondary rakyat religious schools with an allocation of RM95 million.
* To provide competent and quality teachers and instructors to better guide and educate students, the Government allocates RM576 million in the form of scholarships for those wishing to further their studies.
* RM213 million is allocated to enhance proficiency in Bahasa Malaysia, strengthen the English language as well as streamline the standard curriculum for primary schools.
* The Government will recruit 375 native-speaking teachers including from the United Kingdom and Australia to further enhance teaching of English.
i'm sure a lot of trained and talented local english teachers can do
much more better than spend a lot of money goes to non local
* The number of PhD qualified academic staff will be increased to 75 per cent in research universities and to 60 per cent in other public institutions of higher learning with an allocation of RM20 million.
* Excise duty exemption be increased from 50 per cent to 100 per cent on national vehicles purchased by the disable.
* Existing tax relief of up to a maximum of RM5,000 be extended to cover other expenses such as day care centre, cost incurred to employ caretakers for parents and other daily needs such as diapers.
* Stamp duty exemption of 50 per cent be given on loan agreement instruments to finance first-time purchase of houses.
* Full import duty and 50 per cent excise duty exemption was granted to franchise holders of hybrid cars.
* Implementation of 1Malaysia Training Programme by Community Colleges, National Youth Training Institutes, Giat Mara and Industrial Training Institutes to commence in January 2011 with an allocation of RM500 million.
* The establishment of National Wage Consultation Council as the main platform for wage determination.
* The establishment of 1Malaysia Youth Fund with an allocation of RM20 million.
* Monthly allowance for KAFA teachers will be increased to RM800 compared with RM500 currently.
* Increase in monthly allowance for the Chairman of JKKK and JKKP, Tok Batin, Chairman of JKKK Orang Asli and Chairman of Kampung Baru to RM800 compared with RM450 currently.
* Increase in meeting attending allowance to all comittee members from RM30 to RM50.
* Special Financial Assistance amounting to RM500 to be provided to all civil servants from Grade 54 and below, including contract officers and retirees.
* The abolishment of the Competency Level Assessment or PTK to be replaced with a more suitable evaluation system by June 2011.
* Extension of services of Pegawai Khidmat Singkat for an additional period of one year from December 2010.
* Raising the amount of loan from RM10,000 to RM20,000 for additional works on low-cost houses for Support Group Two.
* Raising the maximum loan eligibility to RM450,000 compared with RM360,000 currently, effective January 1, 2011.
* Increasing the rate for Funeral Arrangement Assistance to RM3,000.
* Allowing flexibility to self-determine fully-paid maternity leave not exceeding 90 days from the current 60 days subject to a total of 300 days of maternity leave throughout the tenure of service.
* Introduction of "Skim Rumah Pertamaku" which will provide a guarantee on down payment of 10 per cent for houses below RM220,000 for first-time house buyers.
* To assist estate workers to own low-cost houses through a scheme managed by BSN.
* Construction and repair of 12,000 houses nationwide particularly in Sabah and Sarawak with an allocation of RM300 million.
* Establishment of a "1Malaysia Smart Consumer" portal.
* Introduction of the Distribution of Essential Goods programme to standardise prices across areas.
* Introduction of the Retail Shop Transformation Programme, Automotive Workshop and Community Market projects.
* The launch of a Private Pension Fund in 2011.
* The launch of Bumiputera Property Trust Foundation with the size of RM1 billion and syariah-compliant.
* To assist children particularly those from the low-income group to excel academically, the 1MDB will provide multi-vitamins for primary school students.
* Rebate of electricity bill payment for monthly consumption of below RM20 will be continued.
* The toll rates in four highways owned by PLUS Expressway Berhad will not be raised for the next five years effective immediately.
* A review of the current minimum bankruptcy limit of RM30,000.
* The application for Permanent Resident status may be submitted after five years of residence.
* Providing four buses for Mobile Clinic.
* Formulating a new development model for Orang Asli.
* JHEOA will be restructured and strengthened as Jabatan Kemajuan Orang Asli.
Read more: Budget 2011 highlights http://www.nst.com.my/nst/articles/Budget2011highlights/Article/#ixzz13RmxD4i1
KUALA LUMPUR: Following are the highlights of 2011 Budget tabled by Prime Minister Datuk Seri Najib Tun Razak, who is also Finance Minister, at the Dewan Rakyat today:
* A mixed development project including affordable houses to be developed at a cost of RM10 billion in Sungai Buloh and is expected to be completed by 2025.
* Another landmark project "Warisan Merdeka" which includes a 100-storey tower, the tallest in Malaysia, at a cost of RM5 billion to be completed by 2015.
Do we need the tallest building again, after KLCC
* Development of large-scale integrated Aquaculture Zones in Pitas, Sungai Telaga and Sungai Padas in Sabah as well as Batang Ai and Tanjung Manis in Sarawak with an allocation of RM252 million.
* Allocation of RM135 million for basic infrastructure to encourage farmers participation in high value agriculture activities including swiftlet nests.
* Extension of income tax deduction incentive for investors and income tax exemption for companies undertaking food production activities until 2015.
* RM85 million to provide infrastructure facilities to facilitate construction of hotels and resorts in remote areas with the potential to attract tourists.
* RM50 million to construct several shaded walkways in the KLCC-Bukit Bintang vicinity.
Instead buillt shaded walkway cost RM50m, much better improve road
condition at Damansara Heights, Keramat, Setiawangsa, wangsa maju...a
lot of hole, and unsmooth road, man
* Development of world's first integrated eco-nature resort at a cost of RM3 billion by Nexus Karambunai in Sabah to commence next year.
* Abolishing of import duty on 300 goods preferred by tourists and locals, at 5 to 30 per cent, to promote Malaysia as a shopping heaven in Asia.
* RM119 million for the development of local content creation, hosting local content and unlocking new channels for content.
* Exemption of sales tax on all types of mobile phones.
* RM850 million for infrastructure support to accelerate corridor and regional development.
* RM411 million for research, development and commercialisation activity to be the platform for enhancing value-added activities across economic sectors.
* Establishment of a Special Innovation Unit (UNIK) under the Prime Minister's Department with an allocation of RM71 million for next year to commercialise R&D findings by universities and research institutions.
* RM200 million for the purchase of creative products such as high quality, locally-produced films, dramas and documentaries.
* Rate of service tax to be increased from five to six per cent.
* Service tax to be imposed on paid television broadcasting services.
* Strengthening the revenue collection system by increasing enforcement and audit as well as coverage on all parties that should be paying taxes.
* Restructuring and strengthening of education and training with the sum of RM29.3 billion allocated for Education Ministry, RM10.2 billion (Higher Education Ministry) and RM627 million (Human Resource Ministry).
* Establishment of Talent Corporation under the Prime Minister''s Office in early 2011 to develop an expert workforce database as well as collaborate closely with talent networks globally.
* For the Ministry of Education, a sum of RM6.4 billion is allocated for Development Expenditure to build and upgrade schools, hostels, facilities and equipment as well as uphold the status of the teaching profession.
* RM213 million is allocated to reward high performance schools as well as for the remuneration of Principals, Head Teachers and Excellent Teachers.
* The Government will increase pre-school enrolment rate to a targeted 72 per cent by end 2011 through additional 1,700 classes, strengthen the curriculum as well as appoint 800 pre-school graduate teachers.
* The Government also allocates RM111 million for PERMATA programme including the construction of the second phase of Sekolah PERMATA Pintar school complex, 32 PERMATA Children Centres (PAPN) and financing operations of 52 completed PAPNs.
hope its goes to the best result
* RM250 million allocated for Development Expenditure for religious schools, Chinese-type schools, Tamil national schools, missionary schools and Government-assisted schools nationwide.
* Recognising the importance of Islamic education, the Government will provide assistance per capita for primary and secondary rakyat religious schools with an allocation of RM95 million.
* To provide competent and quality teachers and instructors to better guide and educate students, the Government allocates RM576 million in the form of scholarships for those wishing to further their studies.
* RM213 million is allocated to enhance proficiency in Bahasa Malaysia, strengthen the English language as well as streamline the standard curriculum for primary schools.
* The Government will recruit 375 native-speaking teachers including from the United Kingdom and Australia to further enhance teaching of English.
i'm sure a lot of trained and talented local english teachers can do
much more better than spend a lot of money goes to non local
* The number of PhD qualified academic staff will be increased to 75 per cent in research universities and to 60 per cent in other public institutions of higher learning with an allocation of RM20 million.
* Excise duty exemption be increased from 50 per cent to 100 per cent on national vehicles purchased by the disable.
* Existing tax relief of up to a maximum of RM5,000 be extended to cover other expenses such as day care centre, cost incurred to employ caretakers for parents and other daily needs such as diapers.
* Stamp duty exemption of 50 per cent be given on loan agreement instruments to finance first-time purchase of houses.
* Full import duty and 50 per cent excise duty exemption was granted to franchise holders of hybrid cars.
* Implementation of 1Malaysia Training Programme by Community Colleges, National Youth Training Institutes, Giat Mara and Industrial Training Institutes to commence in January 2011 with an allocation of RM500 million.
* The establishment of National Wage Consultation Council as the main platform for wage determination.
* The establishment of 1Malaysia Youth Fund with an allocation of RM20 million.
* Monthly allowance for KAFA teachers will be increased to RM800 compared with RM500 currently.
* Increase in monthly allowance for the Chairman of JKKK and JKKP, Tok Batin, Chairman of JKKK Orang Asli and Chairman of Kampung Baru to RM800 compared with RM450 currently.
* Increase in meeting attending allowance to all comittee members from RM30 to RM50.
* Special Financial Assistance amounting to RM500 to be provided to all civil servants from Grade 54 and below, including contract officers and retirees.
* The abolishment of the Competency Level Assessment or PTK to be replaced with a more suitable evaluation system by June 2011.
* Extension of services of Pegawai Khidmat Singkat for an additional period of one year from December 2010.
* Raising the amount of loan from RM10,000 to RM20,000 for additional works on low-cost houses for Support Group Two.
* Raising the maximum loan eligibility to RM450,000 compared with RM360,000 currently, effective January 1, 2011.
* Increasing the rate for Funeral Arrangement Assistance to RM3,000.
* Allowing flexibility to self-determine fully-paid maternity leave not exceeding 90 days from the current 60 days subject to a total of 300 days of maternity leave throughout the tenure of service.
* Introduction of "Skim Rumah Pertamaku" which will provide a guarantee on down payment of 10 per cent for houses below RM220,000 for first-time house buyers.
* To assist estate workers to own low-cost houses through a scheme managed by BSN.
* Construction and repair of 12,000 houses nationwide particularly in Sabah and Sarawak with an allocation of RM300 million.
* Establishment of a "1Malaysia Smart Consumer" portal.
* Introduction of the Distribution of Essential Goods programme to standardise prices across areas.
* Introduction of the Retail Shop Transformation Programme, Automotive Workshop and Community Market projects.
* The launch of a Private Pension Fund in 2011.
* The launch of Bumiputera Property Trust Foundation with the size of RM1 billion and syariah-compliant.
* To assist children particularly those from the low-income group to excel academically, the 1MDB will provide multi-vitamins for primary school students.
* Rebate of electricity bill payment for monthly consumption of below RM20 will be continued.
* The toll rates in four highways owned by PLUS Expressway Berhad will not be raised for the next five years effective immediately.
* A review of the current minimum bankruptcy limit of RM30,000.
* The application for Permanent Resident status may be submitted after five years of residence.
* Providing four buses for Mobile Clinic.
* Formulating a new development model for Orang Asli.
* JHEOA will be restructured and strengthened as Jabatan Kemajuan Orang Asli.
Read more: Budget 2011 highlights http://www.nst.com.my/nst/articles/Budget2011highlights/Article/#ixzz13RmxD4i1
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