CJH Financial Planning

Recently I had a few calls coming in enquiring about medical expenses. As such I thought it would be useful to share this information with my readers. To start off, I'm sure you have seen someone who was hospitalised for a seemingly minor treatment, which still required a few thousand bucks? Or someone who had gone through a major surgery which set him back tens of thousands of dollars? 'Bill shocks' are common when it comes to medical bills as one would not know how much they would incur. And as one of my client said, you really do not know when you'll be making a visit to the hospital, as these things can hit you overnight. Fret not. With a well structured medical expenses protection plan, you can leave your bills to be paid by the insurer and not to worry yourself with unnecessary financial burden.

MEMBERS of Parliament yesterday pressed Manpower Minister Gan Kim Yong in Parliament on the adequacy of the Central Provident Fund (CPF) for old age.

Source: Wallstraits.com There is an old saying:  The rich get richer and the poor get poorer. It's true, and there's a logical explanation why it holds true in every capitalist society. Put simply: the rich understand the difference  between an asset and a liability, and the poor never quite get it. The rich work for investment capital, while the poor work for disposable income. The rich buy appreciating assets and allow returns to compound, while the poor buy depreciating assets and live paycheck to paycheck. The rich live a bit below their means until their compounding investment returns supply enough passive income to support a lavish lifestyle, while the poor live just at their means throughout their lives. I was reminded of the stark distinction between the haves and the have-nots when the Straits Times newspaper carried a cover story about the new Singapore Shares and featured a large color photo of a long line of poor and elderly waiting to cash i...

There are so many types of insurance plans and riders in the market. So how do you determine which types are the ones that are most important to your financial protection? Here are 5 of the most essential coverages that one must possess: Death Insurance If you have started your own family, you will definitely know the importance of this. Upon one’s demise, it is important to leave sufficient money behind to ensure that the surviving family members continue to enjoy the same standard of living, to have the future that they were supposed to have, and not to be laden with debts left by the deceased. You can be financially protected against death by purchasing a life insurance policy, and supplementing it with a term insurance policy. One’s assets (cash, investments, CPF funds) will also contribute to the deceased’s estate, which will help in alleviating the family’s financial needs.

FINANCIAL FREEDOM - such a big word. Desired by all, understood by few. So do you have your own definition of what financial freedom is, and what it means to you? Clarity is power, and the clearer our definition of financial freedom, the more likely it can be achieved. While I was reading Adam Khoo's Secrets of Self-Made Millionaires , I came across a well-defined explanation of what financial freedom is, along with the other different 3 levels of wealth. Level 1: Financial Stability This is achieved when one has enough liquid assets to cover his/her expenses for at least 6 months, and he/she has sufficient life and hospitalisation insurance to protect against permanent disability, inability to work, or sudden death.

(Abstract from T. Harv Eker's Blog - Going After What You Really Want) The purpose for having money is pretty well the most important element in having money. Everyone I know who has become rich did so for a reason as if they needed to become rich. Most of them don’t live all that happily because they needed to become rich in order to prove that they’re okay, or responding to some programming other than an intention that moved them from their inner core. So go for whatever you want. In the end, we’re all going for the same thing. What we’re really seeking is the feeling that the objects of our wants will bring. A new house can give us a sense of comfort. A new car can heighten a feeling of importance. Travel and toys can invoke excitement and stave off boredom. Launching the business dream job can satisfy our need to achieve and be recognized. But we need to be real careful about what it is we want. Sometimes people keep wanting things and getting them, only to find out they ...

Source: The Straits Times, Lorna Tan Funds held in the Central Provident Fund Investment Scheme (CPFIS) achieved average gains of 6.8 per cent in the three months ended in September, thanks to rallying global equity markets.

Channel NewsAsia - Govt introduces new measures to cool S'pore property market - channelnewsasia.com SINGAPORE: The government on Monday introduced more measures to cool the buoyant property market. These include raising the holding period for which a home seller must pay a stamp duty and reducing the maximum bank loan amount for existing home owners who want to buy another property.

Here are some of the common myths about insurance that I have heard over my years of consultation work with clients. Some are quite absurd. Some make you think twice. Below are 5 of them and this should help you understand life insurance better. 1. You only get the money when you die. Some folks think that there is little purpose in buying insurance, as the proceeds will only be paid out upon one's death. This is one huge myth, often said by the ignorant. There are various forms of insurance other than death insurance. For example, disability insurance pays out when the insured suffers from a total and permanent disability, impeding his or her ability to earn a living. Critical illness insurance pays out upon the insured being diagnosed with a life threatening disease. Hospitalization insurance pays out when the insured is hospitalized, or needs to undergo surgery. As you can see, there are many forms of 'living benefits' that are paid to the insured during his or ...

(News article extracted from MyPaper, 23 Aug 2010) SINGAPOREANS are not savvy enough when it comes to planning their long-term finances and are, thus, generally unprepared for retirement, a study by HSBC has revealed. The HSBC Future of Retirement (FoR) survey, which polled 15,000 respondents across 15 markets and about 1,000 Singaporeans aged 30-70, found that a staggering 91 per cent of locals do not have any idea what their retirement income will look like.