Malaysia’s Financial Blogger | Financial Freedom Ideas | imDavidLee.Com

Can You Survive With Salary RM3,000 If You Have Family?

Do you think that you can survive with salary RM3,000 in Malaysia nowadays. Based on my personal survey, I noticed that in Malaysia, the average family income is RM3,000 per month. But, I do understand that there are still many families whose monthly income does not reach RM3,000.

In order to make calculation simple, let’s take RM3,000 as the figure:

Electricity bill: RM40 (Assume no air-con, no water heater)

Water bill: RM10

Phone bill: RM100

Family meal: RM900 (3 meals on RM30/day)

Car repayment: RM450 (A Perodua Myvi, 5 years repayment)

Petrol fees: RM150-200

House repayment: RM550 (Assume living in low medium cost apartment)

Personal insurance: RM400 (combination of you and your wife)

Total monthly expenses: RM2,650

All the above calculation have not taken into account when you have own children. Besides, the EPF and income tax haven’t deducted. So, do you think family with salary RM3,000 enough to survive? Obviously, you will say cannot, am I right?

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Why Malaysian Employee Prefer Working In Singapore?

Recently, my closest friend of secondary school had shared with me that nearly 5 of his classmates are in Singapore now. I’d say the biggest reason for most of the people work there is due to the currency. Meanwhile, my fellow blogger also have had the same mentality like me.

Honestly, I’m one of those Malaysian who love Singapore too! Though I knew working in Singapore is much more stressful and tough compared to Malaysia, but I think that’s what really challenging about it and eventually we’ll be exposed to more useful working experiences. I believe Singapore provides a better foundation for solid working experiences, especially in multi-national company.

Based on my personal experiences, Singapore is very safe too! I can feel that there will be lower crime rate. In addition, Malaysians working in Singapore has a better deal than Singaporeans because they don’t have to do national service.

Hence they move higher and faster than Singaporean, what do you think? Singapore is a good place to work in due to everybody is treated equal. Although I am not like about Singapore living expenses but I believe that there’s great place for you to get the job satisfaction.

How Singaporean Employers View A Malaysian Employee?

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Malaysia Car Price Reasonable or Not?

For those who bought foreign car like Nissan Sentra, Toyota Vios, Honda City, Toyota Altis, Honda Civic etc, they would pay higher car prices due to our high import duties on foreign cars. Besides that, they would also pay for higher petrol price sooner (Start from 1st May 2010). Do you think this is ridiculous?

Another situation: Let say the car price increased due to the raw materials cost increased, or it costs more to ship the parts to Malaysia for assembling but it still maintains the car price, means there will have lower quality control. Do you feel satisfy with that? I feel that most of the car company will make use of this tactic, just end user do not know!

Buying cars is probably the heaviest expense for middle class people over the long term. Most families will buy a house only once but a car may be changed every 8-10 years. This will end up buying at least 2 cars.

Unfortunately, our government has become addicted to impose high taxes on foreign cars and so lifting protection for Proton. Sadly, I don’t see any political can try to start this process to bring our car prices down to world market level. Malaysians will continue to pay unreasonably prices for cars in the future.

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Malaysia’s Labor Law: Retrenchment

It’s good to know your rights especially when you are being retrenched. As an employee, you should know about the lay off benefits and how much employer should pay you back.

Under the Malaysia Labor Law: Employee Act 1055 or Industrial Relation Act 1967, this is the minimum amount of money the employer should pay the employee if they decide to retrench. If you have been working for a company:

*Between 1 to 2 years, you should get minimum of 10 days salary for each year of your employment under a continuous contract of service with the employer.

*Between 2 to 5 years, you should get minimum of 15 days salary for each year of your your employment under a continuous contract of service with the employer.

*Above 5 years, you should get minimum of 20 days salary for each year of your your employment under a continuous contract of service with the employer.

How about if you work for 1.5 years, 2.2 years, 2.5 years, 3.4 year? Let say, if you work for 1.5 years, then the retrenchment compensation will be calculated like this:

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What Do You Think About Malaysia Fuel Price by Car Size?

Started from 1st May 2010, certain group of Malaysians who drive higher capacity engine and non-citizens will have to pay different fuel prices as they will not be eligible for subsidized petrol anymore. As I known, our government currently subsidized RM0.30 for RON 95. The original price of RON 95 is RM2.10.

Do You Think New Fuel Subsidy System Workable?

Our government has never fail to invent new system. But, most of the time all those new system that implemented never satisfies us as we have already adopted ourselves in the “comfort zone” of cheap. For me, it’s better to do some feasibility study and set the concrete rules and procedures before making any final judgment.

Secondly, it’s not fair enough to implement petrol price with accordance to engine capacity! This is because there are still a lot of rich people driving old and small cars. So, this may not prevent rich people from enjoying the subsidy too.

Thirdly, it is totally ridiculous to implement this new fuel subsidy system. How are they going to determine who is the rich and who is the poor. What about the middle class people who are earning RM2,500 monthly, paying taxes yearly but driving a 2000cc car?

Fourthly, there may have smart people who will drive a low engine capacity car like perodua kancil to fill up their fuel and go back to transfer it to their higher engine capacity car like BMW via a hose. So, could you imagine how danger of it and it may increase the number of fire accident cases by just saving their fuel cost.

We as a Malaysian citizen cannot do anything if government still insists public to follow their decision. So, as a pre-preparation, people should try to find alternative to improve their income and not just blame this and that.

My Suggestion Over The New Fuel Subsidy System

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Malaysia’s Sugar Price Increased?

Since 1st of January, Malaysia sugar price increased from RM1.45 to RM1.65 per kilo in Peninsular Malaysia and RM1.75 in East Malaysia. As I known, our government was still maintaining a subsidy of RM0.80 per kilo. However, I heard many people said that one day our government would remove the sugar subsidy in order to minimize the amount of sugar intake and meanwhile reduce the diabetic cases in our country.

I am sure that this hike in sugar price will cause the price of every sugar made product to be increased. So, do you think who is suffering in the end? For me, the rise in diabetic cases is just an excuse to work out the plan. Eating less sugar is absolutely good for health but not at the expenses of putting burden onto the public.

My Point of Views: Sugar Subsidy Removed

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Minimum Salary for Indonesian Maid?

Do you know the Indonesian maid salary in different country? Based on what I’ve known, the Indonesian maid in Hong Kong and Taiwan need to go through intensive training and well prepared to carry out the household task whereas Indonesian maid head to Malaysia were not properly trained.

Standard Rate for Indonesian Maid Salary In Different Country

The Indonesian maid in Singapore and Taiwan will have more higher salary which is around RM2,400 per month while basic salary for Indonesian maid in Hong Kong is around RM1,700. So it is no surprise that more quality Indonesian maids are flocking to other places, while the remaining stay in Malaysia and among of them will have very low educated or even low morale value in themselves.

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