You Need 1.4k per old person to meet basic living standard

[Sosaria]

The biggest monthly expenditure is on kids followed by car. Car loan plus parking plus fuel charges plus depreciation already will hit four figures. As for kids, even if you live a frugal lifestyle, once the kids start schooling, enrichment class will set you back some more.

Edited May 23, 2019 by Sosaria

[Ct3833]

I've helped out at these one room rental homes, where some of these elderly live.. and they may get $280 per month from the government..

It's a hard life.. not a lot of spare cash for little luxuries in life..

 

And at such an age, they do wonder if life is worth living just getting by..

 

Anyways, I gather my friends and we take these folks out for dinner - that old Chinese saying, it's simple to add another pair of chopsticks at the dinner table is true. Many of us don't bat an eyelid spending $280 per meal..

 

So bring a senior out, cheap meals are fine. Just let him enjoy a moment of companionship and let him talk... it means a lot to them.. trust me.

Very nice of you my friend. $280 per month is at the extreme long tail of the poverty, I believe these are minority, and I hope I am correct.

[13177]

My wife, kid and I spend less than this amount right now. 

 

What's in the list of items they are talking about?

This survey say one person needs $1.4k, but you three persons spend less than $1.4k? Really?

[Kopites]

Very nice of you my friend. $280 per month is at the extreme long tail of the poverty, I believe these are minority, and I hope I am correct.

I never have more than $50 inside my wallet per week.

 

so $200 per month still manageable for me.

[Ct3833]

Good to share what this $1.3k being spent on. Utilities, mobile line, strictly hawker food, no entertainment, no friends birthday, wedding, wake, etc. What kind of housing? Shoes, apparels, household barangs, nothing?

I would think at this age housing is settled, only monthly utility fees. Food wise should be ntuc and home cook most of the time, healthy, quality and cheap. Most of the rest are stretchable. This is for people who could afford the basic plus some decent stuff occasionally. No car of course.

Kind soul bro therock mentioned $280 per month type is the other end of lower population.

 

I personally think "comfortable"(not excessive) retirement spending should be about $5k to $6k per month per couple from age 65 to 75 with car and house fully paid. This is the time one could walk, tour, meet up with friends, still can taste food and wine, once a week some decent wine or so. After 75 , one would slow down in everything, that is when spending will also go down but make sure there is medical coverage. What I think is doable but one need to start his financial planning younger.

I never have more than $50 inside my wallet per week.

 

so $200 per month still manageable for me.

You are another millionaire in the making. I have to highlight that money is not yours if you do not spend it, and remember you cannot bring it along with you. Haha. But salute to you on your prudence spending! Edited May 23, 2019 by Ct3833

[Ody_2004]

 

I personally think "comfortable"(not excessive) retirement spending should be about $5k to $6k per month per couple from age 65 to 75 with car and house fully paid. 

 

 

Die liao.. my family combine income now oso no smell this amount..

 

to spend $5k/$6k in future must earn how much now?

[RadX]

I never have more than $50 inside my wallet per week.

 

so $200 per month still manageable for me.

 

 

same here...

[Evillusion]

This survey say one person needs $1.4k, but you three persons spend less than $1.4k? Really?

dont trust survey 100%.....its skewed to a certain objective for the targetted audience and most prob its done among the middle income targetted for fear-mongering for the lower income. $1600-$1800 would be the basic minimum (inclusive of bills and daily necessities) for an old couple to live on assuming the home is fully-paid for. Other than that the rest would be a luxury...

We should be prepared for an increase in our cpf withdawal age as the current one is only at around $1050 for the full retirement sum.......

Edited May 23, 2019 by Evillusion

[13177]

I never have more than $50 inside my wallet per week.

 

so $200 per month still manageable for me.

Your $200 per month consists what expenses ah?

[therock]

same here...

Maybe you guys are using cards only ;)

[Kusje]

This survey say one person needs $1.4k, but you three persons spend less than $1.4k? Really?

 

Just a rough guide to my average mthly expenditure:

 

1. Transport: 150 *2pax = 300

2. Food + groceries: 10*2.5 pax*30 days= 750

3. Utilities: 110

4. Telecommication: 25 (mobile)*1 pax (other one company pays) + 30 (internet) = 55

5. Childcare (aft subsidy): abt 600 

6. Misc(clothes, household appliance replacement, etc) : 200 

 

Oops, okay la. slightly exceeded as I forgot to account for childcare in my initial estimate. Very expensive these days. 

 

Also doesn't include housing which is under CPF (is that even my money?)

Edited May 23, 2019 by Kusje

[Kusje]

Very disciplined in spending, you will retire rich but remember to spend and enjoy while you are younger.

 

I am not a disciplined spender. Just have very low needs.

 

Give me a free restaurant meal or my favorite hawker food, will choose my favorite food every time.

I never have more than $50 inside my wallet per week.

 

so $200 per month still manageable for me.

 

I also as mostly use cards and digital payment except for food. When I go to atm, I prefer to withdraw 40 or 90$ to have some $10 notes in my wallet 

Die liao.. my family combine income now oso no smell this amount..

 

to spend $5k/$6k in future must earn how much now?

 

Some people can be comfortable on $5k and some on $1k. I don't even like wine so definitely don't need it to be comfortable.

[13177]

Just a rough guide to my average mthly expenditure:

 

1. Transport: 150 *2pax = 300

2. Food + groceries: 10*2.5 pax*30 days= 750

3. Utilities: 110

4. Telecommication: 25 (mobile)*1 pax (other one company pays) + 30 (internet) = 55

5. Childcare (aft subsidy): abt 600 

6. Misc(clothes, household appliance replacement, etc) : 200 

 

Oops, okay la. slightly exceeded as I forgot to account for childcare in my initial estimate. Very expensive these days. 

 

Also doesn't include housing which is under CPF (is that even my money?)

Got include insurance? This one should also includes in your expenses le.

[Carbon82]

Pap will says fakenews

 

You will be surprised that our government will use these figures to justify higher min. sum...

 

 

 

Wow... that's a lot

 

https://www.straitstimes.com/singapore/study-finds-1379-a-month-needed-to-meet-basic-living-standard-for-single-elderly

 

 

 

Well, from a research point of view, this report lacks a lot of details and the 100 participants might not be a good representation of average Singaporean... And sorry, I sense some level of propaganda with the report.

 

 

The team of researchers, led by assistant professor Ng Kok Hoe from the LKYSPP, conducted focus group discussions involving over 100 participants from various backgrounds. Using a consensus-based methodology known as Minimum Income Standards (MIS), the groups came to agreement on how ordinary Singaporeans think about basic needs, and determined the household budgets necessary for older people to meet those needs.

 

Participants generated lists of items and services related to housing and utilities, things needed in a two-room HDB flat, personal care items and clothing, food, transport, leisure and cultural activities, as well as healthcare. Each item or service was included only if participants came to a consensus that it was a basic need, and could explain their reasons for its inclusion. 

 

Based on the lists of items and services, the household budgets necessary to meet basic needs were: S$1,379 per month for single elderly households, S$2,351 per month for coupled elderly households, and S$1,721 per month for single persons aged 55-64, the study showed.

 

Generally, participants agreed that basic needs must go beyond subsistence to include one's quality of life. They also emphasised the importance of independence and autonomy, which means not being a burden to loved ones, and being able to exercise one's choice and preferences. 

 

"A basic standard of living in Singapore is about, but more than just, housing, food and clothing. It is about having opportunities to education, employment and work-life balance, as well as access to healthcare," the report stated. 

 

"This study reveals that ordinary members of society are able to come to consensus about what a basic standard of living in contemporary Singapore means. What they said about dignity, respect, social belonging and choice, as well as the items and budget they came up with, reveal norms and values held by people in our society today."

 

In the focus group discussions, participants also highlighted frequently that health and healthcare costs are very important to them. Nonetheless, the researchers noted that such costs may vary widely for different health conditions, and are difficult to capture accurately in a single study.

 

Therefore, the study focused on establishing a baseline that presumes no chronic health conditions, with the researchers noting that this presumption likely underestimates healthcare costs.

 

Moreover, the report suggested that the overall picture in Singapore is one of heavy dependence on family contributions, with limited support from the state. In particular, the most common income source is adult children (78 per cent of elderly people reported such income in 2011), followed by wage work (21 per cent), and the CPF or other annuities (13 per cent). 

 

This raises a few policy concerns, the researchers said. "Due to rapid socio-economic development, current cohorts of older people have steep educational and skill disadvantages compared to younger workers. When work incomes and wage interventions fall short, some older people either do not have the means to ever retire or will be permanently dependent on public and informal transfers.

 

[Datsun366]

Thats why i say generous figure.

 

Acherli not that high.

 

1.5k enough for two with hawker meals on the side.

 

1. Cable tv.

2. Three mobile plans.

2a electric and water and other utilities.

3. 3 home meals.

4. Go shopping for small stuff.

 

Extras out of children pocket.

 

5. Tour Asia Oceania only.

6. Urut kaki x 2 times a month for both.

7. Hotel makan.

8. No more driving as dun wan up pavement ala Lentor walk or wet market langgah.

[Mkl22]

Got include insurance? This one should also includes in your expenses le.

 

give parents money too.

 

misc. go see doctor, etc. all these bits here and there add up.

[pi3142]

$1,379/month per old person to meet basic living standard (including a holiday of $500/year).

Works out to around $1,330/month for expenses without holiday.

If old persons forfeit retirement and work as cleaners instead, they are paid a basic pay starting at $1,120/month.

Even with the adjustments of Progressive Wage Model, it goes up to $1,200 in July 2019 and $1,273 in 2021.

So If the figures are put side buy side, then is the $1,379 basic living standard too high or is the $1,200 pay too little?

Edited May 23, 2019 by pi3142

[Kusje]

Got include insurance? This one should also includes in your expenses le.

 

No, it doesn't include insurance. 

 

For insurance, I am on Mindeath Aviva plan. pretty cheap. And also the top plan for medishield (whatever that is these days). 

 

But do take note, we are talking about insurance and not those investments being sold by insurance companies as insurance right?

give parents money too.

 

misc. go see doctor, etc. all these bits here and there add up.

 

Frankly I don't give parents any money but I wouldn't consider this as part of ordinary expenditure for calculation.

 

Healthcare wise, am covered for the company for now. But different company will have different benefits.