New Year Resolution 3: Finance
The aim is to be financially prudent or to quote my company’s expenses policy – “X is committed to ensuring that all expenditure incurred is prudent, reasonable and reflects sound judgement and decision making.” Do I need a cat butt tissue dispenser? No.
No, I haven’t purchased the cat butt dispenser in question.
Saving money does not come naturally to me. Spending without thinking does. I think part of it is because my parents financially supported me throughout my education life and they’ve never asked for anything in return. Not complaining about how fortunate I’ve been. All my income goes to my bank and I don’t have any mortgage or commitments to pay off (which also means I have zero asset…)
I’ve started becoming more financially prudent lately because I have a friend who is looking to buy a condominium in Singapore (she’s single, smart, around my age – PM me if you want to be introduced?) and I couldn’t imagine myself being able to afford the down payment of a condo here! I know I need to start saving up now rather than wait till I meet someone and save up together for a house. (Two is better than one when it comes to putting money in the bank).
So how have I been saving this year? I’ve saved up about 20% of my income. Not too bad, but I’m aiming to at least save up 30% for the next half year. I’ve not made any big purchases this year apart from travelling – but that’s reasonable.
An area of improvement is how I spend on fitness-related items. I have a gym membership now, so I should reduce how often I go to classes outside of the gym because that’s additional expense. I enjoy trying out new things but it makes more sense to utilise what I already have. Does that reflect sound judgment?
Also, I’m quite fickle when making decisions so I came up with a strategy to eliminate microdecision (Thanks to a colleague who brought this up). The idea is to have a constant answer to all my microdecision. For example, “Should I order food A or food B?” The answer is always go for the cheaper one. “Should I have coffee with my brunch?” Always no. Drink water because it’s less fattening or Chai Latte because it’s Chai Latte.
Sooo….Onward to a richer 2018!
P.S: I’m doing a mid year review of my New Year Resolution.