Are you fresh out of secondary school? Looking to grow your funds and keep it for the future for your benefits? Well, you should apparently only 25% of Malaysians save their income and around 40 percent save for retirement. That number drops even further if you don’t include the compulsory EPF savings required by every employer for every employee. That’s right, here retirement savings are mandatory if you’re working for someone. So how can you save RM100,000 by the time you’re 25 and if you think it’s impossible, that’s not true. Let us change your minds. Note that this only applies to you if your university tuition fees are covered.
First of all, you should start to get a job right out of school. Know that sweet spot right after SPM, where your deadbeat doing nothing for 3 months? Yeah, get a job. If you want to achieve RM100,000 anyways. You could start working part time in convenience stores or even at receptionist desks. They’ll pay you below minimum wage but it’ll be good enough to start with. Don’t spend your money away when you get your way. Stop buying RM10 lattes or RM20 McDonald’s. If an adult asks you to ‘belanja’ for them, politely decline because you need it more than them.
Next, after the 3 months is up and if you have to go to college, we’ll advise you to look for any flexible jobs or any weekend jobs. Universities are usually filled with people working part-time jobs and that’s just how life is. You could also take some of your money and invest it in the best forex broker Malaysia to grow your money out. If you are worried, that’s fine because there are safer options. You could open an ASNB account and put your money there for it to grow as well. This way, you’ll be making passive income while you’re sleeping which is a great step.
After all that, you can also save the pocket money your parents gave you to invest it. It might be tempting for you to start using your money when you’ve reached 10K but don’t. This is when you invest it for your future. You can go to any banks and ask for their subsidiary unit trusts to invest in. These banks usually offer a 8-10% returns each year which is a good amount compared to other types of investment. Unit trusts also give good returns for a low-risk investment fund. By doing so, you can increase your worth ever so slightly.
Finally, to make the big jump you should turn to buying shares. Buying shares is the only way for you to increase your net worth fast. Buying shares makes the company go up in value and when they do they’ll go up in price as well. This means if you invest in a company offering RM1 per share and they go up by RM2 in a week. It means you’ve doubled your income. You could pull out of your investment now if you want to as well but there is a risk that the company might go on to increase more and more in value and you might have lost on that.
Saving RM100,000 is an excellent goal for each young adult to have. Having financial goals and setting up for them shows maturity and preparedness for the future. We can’t wait to see you hit your first RM100,000.
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