Year-end resolution – Preparation to start my next journey

 

The worldly affairs are not good. Wars and natural disaster. Earth seems to be facing a crisis. And it is frightening just to think about it. All we need is just one idiot to press the button to unleash nuclear war and the world we know now shall disappear. We all now stand on the brink of human extinction. 

Another year ending. A rather unhealthy year for me, many medical issues, guess that is part of aging journey. The health concern once more reminds me of the limits of mortality. How much time left for me to pursue the path I wanted to take before my life ends?

So, where do I stand now?

After reviewing my portfolio for the year 2023, it turns out to be better than I have predicated. I have carried out some adjustment to my portfolio many months back to consolidate my holdings, the aims are to establish a more sustainable portfolio which will provide a consistent return for long term. Not an easy choice, I took some losses and let go under-performed counters and diverted some to better performance counters. So, why do I suddenly decide to make such changes?

This year form my next resolution as I started to carry out preparations to exit the rat race. Yes, after almost 30 years in the employment sector I am considering leaving the workforce and start pursue my own life. There are many things I wish to do and accomplish. The limits of mortality remind me that I may not have enough time to finish the things I wanted to accomplish. This is exactly the motivation that pushed me to achieve financial independence. Now that I am coming to 50, soon I will be half a century old in this world.

So, how do I make my preparations?

 Apart from consolidating my portfolio, there are several things I need to prepare as well.

Firstly, the housing loan which had eating away my CPF are finally coming to an end. By January 2024, I will be able to clear my housing loan. That means I shall be debtless. Aye! No more debts!

Second – build up a strong reserve army. While the portfolio generates my income, my reserve army will fight any unforeseen events.

Third - Make sure I have enough insurance coverage. While I do have coverage, my family must rely on the basic MediShield for their health coverage. So, that means I would need to build up a strong reserve army. 

Fourth - Capped my CPF Saving account which will form part of my retirement funds in future.

Fifth – Plan my next 10 years journey. This is important. I have witnessed retirees after retiring from their employment suddenly find themselves nothing to do in their life, and they started to get sick from inaction. The truth is they have dedicated their life in a non-stop cycle of working life, but never have much goals for themselves. I shall not be in that situation. Naturally, I would not be staying home and play games, that is not healthy. LOL.

Still, after 30 years in the employment world. It is kind of scary to think about it, leaving a system that has been consistently paying me by trading my time for it. The decision is not easy to make, likely I can expect to face some criticism from conservative people for making such drastic move. And I know very well it will not be easy to start over in a new employment at my current age should things turns ugly, especially in Singapore.

There is an old saying ‘Fortune favors the brave ones who face the unknown,’ I wonder will I have the courage for it when the time comes. Well, let us see how it goes.

Happy NEW YEAR!!!

 

Christmas Orchard 2023

Massive crowd for this year. This year feature a new change. They closed part of Orchard Road and host a carnival and a performance stage.  

 

 

Monthly Financial Updates

This monthly report does not include any salaried income. The basis for this monthly financial review is to gauge the sustainability status of my financial independence based on the total amount of passive income received.

Ah,,,,,still not feeling well. A long recovery journey. :(. Well, nothing much I can say about it.

Dividend income amount to $991.45. Not much for the month of November. Rental income still helps maintain consistent monthly income.

Some changes in portfolio, market slide down for a bit and I took this opportunity to acquire some position in some stocks. This is a part of my plan to consolidate my portfolio to lessen my exposure to the Reits market.

 
 

Monthly Financial Updates

This monthly report does not include any salaried income. The basis for this monthly financial review is to gauge the sustainability status of my financial independence based on the total amount of passive income received.

OMG!! I have been sick for the entire month. Medical bills eating into my pockets and drain like water. Not good!!!! I hope it does not escalate into something major. :(.

The month of October was a cold month for dividend income amounted to $418.85. But I had positioned other sources as before to boast my monthly passive income. This in addition of the rental income brings the total passive income to $4,482.17. 

My approach is always focus on building sustainable income for long term. One way is I avoid putting everything into one basket, diversified into multiple platforms to generate different sources of income. With the world now in uncertainty, recession seem looming ahead. I intent to remain caution and continue to build my war chest. 

Portfolio remain unchanged. Although the STI Index has fallen by 300 points, much of my targeted counters remain strong. So, I guess it is still not time yet. Not yet! So.....i wait.... lol.

 

Monthly Financial Updates

This monthly report does not include any salaried income. The basis for this monthly financial review is to gauge the sustainability status of my financial independence based on the total amount of passive income received.

Tough month. Suddenly fall sick toward the end of month, mess up some of my plannings. Ouch!

Another big dividend month, total payout for the month of September was $5,786.76. This brings the total passive income for the 3rd quarter of the month to a total amount of $21,199.57. This is much more than my projected amount. Rising costs is still a major concerns, our household continue to learn to manage our expenses. 

 

The portfolio remains unchanged. But something unexpected happened. For the first time since I started building my portfolio, the dividend portfolio slide into negative value. As expected, majority of the value losses came from the REIT sector. This is what happens if the portfolio is overly exposed to certain sector. Some 50% of my portfolio were in REIT, so it took a huge punch from the market downturn. 

So, should I be panic? Nope. This is expected in the high interests environment. I have been looking for opportunities to divert more into blue chips counter and others for more stability. So, the works goes on.

Monthly Financial Updates

This monthly report does not include any salaried income. The basis for this monthly financial review is to gauge the sustainability status of my financial independence based on the total amount of passive income received.

A very busy month, takes a long time to crawl through. Why am I suddenly so busy? LOL.

Well, this month the dividend income was a big ones, total amount is $6,031.23. The banks gives out a bigger pies this year, added with Singtel Singapore biggest telecom giving out special bonus this year. A fat month, wish every month is like this. 

Rental income remains stable. This bring the month of August total passive to $8,426.63. That's 3 times more than our monthly expenses. Pretty................ well  hope this can maintain for long term. 

Inflation, consumers' goods and supplies continue to climb in Singapore. Many people complaining about the rising expenses, especially those with families and other forms of commitments. Those sandwiches class got the worse to handle since they are the group of people in the middle of nowhere. 

To be honest, it is something to be expected. The human history has been a long journey of repeating cycles, no generation has ever been spared of facing problems of their time. We are now in sort of transition stage, the old systems and order started to become overloaded and difficulties to handle new challenges. The question now is how will the existing established order handle the changing time. 

In my views, rather than expect the others to do for me, I rather do it myself to find a way through. There are no such things as goodies gives to us on a silver tray, not to ordinary people anyway. It is our life, if we cannot find a way out, no one will.

Portfolio remains unchanged with cash holdings continue to build up. Boring isn't it? The waiting game is always boring when nothing interesting is happening.

Monthly Financial Updates

This monthly report does not include any salaried income. The basis for this monthly financial review is to gauge the sustainability status of my financial independence based on the total amount of passive income received.

A busy month, exploring some new stuffs. LOL.

Dividends income amounted to $913.04. Other investments comes in together as well making this start of the 3rd quarter fatter than usual. Total amount plus the rental income = $4958.68. A good start. Things are looking well. Somehow.......

Portfolio remains unchanged. Nothing interesting happening in the market. So, hold and wait. Zzzzzzzzzzzzzz

This monthly report does not include any salaried income. The basis for this monthly financial review is to gauge the sustainability status of my financial independence based on the total amount of passive income received. 

Things appear to be moving toward chaos!!!! Ahem. Just kidding. :). The global situation still remains unclear, and no signs of economic recovery. In fact, the way I see. It is just holding on on itself from collapsing. There seem to be no good news nowadays. Gloomy period isn't it? Well, life still goes on. At least, at individual level we have to try to get things moving toward our direction. If we let everything be, and ended lead by nose by others. We will may lose the direction. 

Passive income for June was $6,368.17 which was much more than I thought. The portfolio review which I have done previously appeared to have pay off well, leading to a more consistent returns, This is the element which I wanted to achieve for my portfolio. Sustainability leading to consistency in monthly returns which may one day replace my salary.  

Would that be enough for retirement? It depends. Adjustments will comes naturally when you become aware that you are no longer relying on fixed income salary, and earning lesser than before. This is the mindset which all should cultivate before pressing the 'THAT'S IT' button. LOL.

Portfolio remains unchanged, with gradual increase in cash holdings. The wait goes on.................zzzz

Monthly Financial Updates

This monthly report does not include any of the salaried income. The basis for this monthly financial review is to gauge the sustainability status of my financial independence based on the total amount of passive income received. 

Almost half of the year has gone. So far, our passive income has been quite consistent and remains positive. Income > expense. As our cash holdings continue to grow, we are looking to put some of the excess into more stable platforms, ahem  still exploring.

Dividend income for the month of May amounted to $4,658.45. This brings our total passive income amounted to $6,875.66. That is almost 3x of our expense. The 2nd quarter is looking good.

Portfolio change little. More cash holdings. Waiting for opportunities...,,.....zz.z.z

Monthly Financial Updates

This monthly sustainability report does not include any of the salaried income. The basis for this monthly financial review is to gauge the sustainability status of my financial independence based on the total amount of passive income received.

A troublesome, many domestic affairs to take care. Ah..... I am exhausted. Well, still going on.

After a fat dividend payout in March, April reduced to an amount to $1876.80. But the month of April was boasted by some of the investment returns from the unit-trust. A good start for the second quarter. 

This month saw the big changes in the property policies in Singapore. Now a Singapore citizen who wish to purchase a 2nd residential property will need to pay an additional 20% stamp fee!!!! A dramatic raise from 17% to 20%. This sort of crash the dream of many middle income group people who may have hope to acquired a 2nd property for investments. 

 

This also promote a growth in rental increase across the industry. But we decided not to increase the rental for time being. Why? More money is good? Perhaps, but our orientation is different. Stability and consistency are what we are looking for in a second property.

That modest small old HDB property which has been generating stable rental income for our household may not hold a candle compare to those private apartment. But, it is still a passive income which form a part of our monthly household income. And over the years, we have reinvested the rental income into other form of investments which brought in additional passive income. So, we are not heavily depends on raising rental income to cover the rising inflation cost.

Well, for this year anyway. Next year when the tenancy ends, we will see how it goes. 

Portfolio changes little, cash holdings continued to build up as I awaits the chance to enter the market. If the downturn ever comes. Yawn.................a dead market. Well, for Singapore SGX anyway.

 

 

Monthly Financial Updates

This monthly sustainability report does not include any of the salaried income. The basis for this monthly financial review is to gauge the sustainability status of my financial independence based on the total amount of passive income received.

Ouch, a fat dividend month. They choose to one shot dump all into this month and left me cold for past 2 months. Good thing I still got other source of income to cover my expenses. LOL. Dividend amounted to a total of $8934.02. 

Added together with others, total passive income received for the 1st quarter amounted to $16520.40. Well, that is about an average of $5506 per month. Ah... still good, just a bit lack of consistency in each month.

Portfolio got some adjustment. One counter was sold after holding it for many years. It is not performing and gradually losing its value. So, I took the losses and run!!! Ah well, a bad choice made in the past, can't be right at all time.

Monthly Financial Updates

This monthly sustainability report does not include any of the salaried income. The basis for this monthly financial review is to gauge the sustainability status of my financial independence based on the total amount of passive income received.

Wow. some of the things did not occur according to plans. The consistency of dividend income has changed, and it would appeared it would stay unpredictable for much longer period than expected. Well, at least I got some back-up sources to compensate for the lack of predictable passive income from the dividend platforms. Others sources which I have diversified in the past and lately, rental and investment funds has remained stable. Not too inspiring....well let's see the future progress. 

 

Portfolio changed little, although I increase some investment in unit trust for some long term consistent dividend returns. 

Monthly Financial Updates

This monthly sustainability report does not include any of the salaried income. The basis for this monthly financial review is to gauge the sustainability status of my financial independence based on the total amount of passive income received.

A new month of the year starts with............zero dividend payout for the month of January!!!! Ah.... does that make me panic? Not really. I did position other forms of passive to cover those cold dividend months. A good positioning helps to keep the portfolio to pay out consistently without the need to dig into our saving funds. That's one of the key features I strive to achieve when building a sustainable portfolio that will keep paying us consistently.

Rental income remain stable. Half of the passive income were contributed from our Unit-trust dividend investment fund. which amounted to $1000.35. Not bad for a small diversification. 

Portfolio remains unchanged as the market continued to move a little bit uptrend. Still watching.....

 

Monthly Financial Updates

This monthly sustainability report does not include any of the salaried income. The basis for this monthly financial review is to gauge the sustainability status of my financial independence based on the total amount of passive income received.

A new beginning. The passive income in month of December turns out to be more than I thought. Dividend income amounted to $4980.89, this concluded the year of 2022. 

Added with other passive income, overall amounted to $12949.63 for 4th quarter, average $4200 per month. Not bad, still on the positive side. Let's hope this keeps up.

Portfolio changed a bit as I diverted some resources into another investment fund which is expected to start paying me starting in January 2023. Well, still looking good.