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Achieving $300k cash before the clock hits 30

When I first started blogging (cue the first blog post), I set myself a goal to save $100k by 28.
$100k cash, excluding CPF.
I achieved this at 25.

I even thought my $100k would drop downwards after paying for flat, reno, kids. But who would have known that my chance to get a flat would only happen at 27, and my savings grew and grew?

$200k at 28
At 28, I hit $200k cash savings. It took me 3 years to grow another $100k. 
If not for the fact that I've been topping up $14k annually to mum and my CPF RA/SA, spendings on wedding, house related stuff and frequent holidays, I would have much more cash on hand. But, that can't be real, that's not living - those money have to be spent.

If not for the fact that I've pumped $80k over the past 7 years into stocks, of which the paper value is now only at $60k+, I'd been $80k "richer". The converse could be said if I've great investment capabilities to grow $80k to $100k πŸ™ƒ

Anyway...
As I edge closer to 30 ⏰, I've ano…

Thoughts on HDB housing loan and 4th year topping up CPF SA

Each day passing is one step towards old age.

Unknowingly, we are in mid 2019.

Top-up to CPF SA

Anyway, with my bonuses in, I decided to park $7k into my CPF SA for tax relief purposes.

I've always been saying that I should do the $7k voluntary top-up at start of the year to gain extra interest, but have never done so hahaha

Got my hubby to do the same as well...not without some nagging and me taking control of the transfer πŸ€¦‍♀️

Hubby wasn't super keen as he preferred to keep the cash to pay off our housing loan ASAP.

His thoughts on our housing loan

  • For context, our balance to pay is at $500k+ πŸ™ƒWe are paying equal amounts for the home.
  • Wipe out our CPF, leaving $20k in OA
  • Pay $100k cash upfront (or even more if we can afford) - he feels our investments does not beat 2.6% interest charged by HDB for loan. This is true given majority of our money in savings accounts, SSBs, FDs which gives at best 2% interest?
  • For the remaining amount, to get a 25 years loan
  • Try to pay our loan with full cash each month and not touch our CPF 😲
  • Pay off housing loan ASAP using bonuses to reduce loan πŸ’Έ
And finally, to sell off our HDB after 5 years for profit which I object since I want to stay in there forever πŸ˜›That's another topic for next time!

What are your thoughts to this? For those who has been there done that, how did you pay off your loan?

Comments

  1. Hey thanks for this amazing post. Would love to read more of such blogs. You can also have a look at housing loan for more information.

    ReplyDelete

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