Mid-year review: Goal met of $200k cash at 28. $400k+ net worth and Astrea bond V

Half a year gone.

I still have not gotten my keys to my new home and am still childless. Ok, TMI.

On financial front, I've been seeing a steady increase in my net worth. As at my last update in end 2018, my net worth was at $372k.

Half a year later, I've successfully crossed $200k cash savings (previously it dropped as I topped up my MA) and exceeded $400k in networth. I may be able to hit $450k by end year but will just need to carve out some money for renovation and home stuff.

Most gains came from employment. While I lament how sick I am of work, it is my main source of $. I've not added any stocks and can never not live off my portfolio for passive income. It is with salary crediting that I've received 1.85-2% interest on my DBS multiplier anyway.

I've been thinking if I'm making my money work hard enough. I occasionally browse the SGX hoping to see some stocks to purchase, but am not comfortable enough to make the move.

Since Jan till date, my transactions …

Income Tax

When you see this logo on your envelop, you know what it means ;)

I always thought that income tax is a good thing - you tax almost everyone and people who earns more get tax more. It's one way of seeking equity. 

I still think income tax is a good thing. But now that I've started worked and is contributing to the tax, I kinda feel the pinch...especially when my income tax jumped significantly.

Unlike my bf, I can't claim tax relief. My parents are both working and earning at least above $1k, no handicapped siblings (CHOY AH!), and the list goes on. Come to think of it, cannot claim tax relief also good la. My parents are working, and although their income is low, they get to socialise, earn their keeps (and spend it on us lol) and, worry less. Ever since my mom started work years ago after being a housewife for eons, she seems less bored. At work, she gets to banter with others and know more about what's going on in "life" versus staying at home doing housework and having no socialisation. Same for my dad. Although he sometimes complain about the stress at work, he does admit the benefits of working for an established employer - think the medical benefits you can enjoy, the CPF contributions and etc. Can't imagine him retiring - I think he will get more paranoid and think/stress himself out more. So, yay to both parents working!

Back to topic. 2 years ago, I had no income tax to pay. 1 year ago, I had $200+ income tax, forgot to pay it, and got charged a 5% penalty. Thankfully, it was waived as it was my first time. I immediately signed up for Giro for fear of a future 5% charged.

Today, I received my income tax statement. 

The tax of near $900 was deducted from my Giro.

The huge jump was due to a change in my income bracket. I'm a bit shocked by the big increase in tax I have to pay and feel a slight pinch, but am thinking of it positively.
1) It means that I'm earning more. Yay?
2) I trust that my tax money is put to good use.

Of course, the next thing that hits me is how I could reduce my income tax payable next year - by donating more, and contributing to my CPF SA. Understand that a lot of bloggers have blogged about how to reduce income tax but have not registered it in my brain.

Till then!


  1. Paying tax is a happy problem

  2. Hi Cherry,

    How I did mine.

    1) insurance and endowments.

    But u could do SRS too, I dun think u will donate a amount that is significant enough to be of meaningful savings.

    The most effective ??

    Give giving birth to children Muhahhaha

  3. Haha, it's easier to talk about income tax when you're paying little or nil LOL It's when your income rises and the tax increases proportionally, then we'll see if you walk the talk :)

    It's still okay lah, takes some getting used to. I'm having variable income, so some years i'm really paying very little tax. I know it's still better to pay more tax! haha

    I guess you should see it as paying for those policies that benefit the less privileged among us. It's for societal benefits. That way, you see your money being paid for something of a good cause, rather than some phantom uses. They should really revamp their income tax letter. I think a lot of us will feel better if they say like, out of $100 of what you paid as taxes, $30 goes to A, $20 goes to B and so on. It'll make us know where our money is spend on.


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