How to Not Break Your Bank in Singapore

Tipped to be one of Asia's business capitals, Singapore is also among the costlier nations that call this continent their home. Whether you are an entrepreneur starting your own business or an employee working a 9 to 5 job, managing your finances is crucial in an expensive landscape such as the Lion City. From spending less on daily needs to saving for an uncertain future, here are some tips for improving your financial outlook in Singapore.

1. Get Clear on Where Things Stand

The first step in managing your financial health in Singapore is assessing where things stand. It is necessary to review your current financial situation in order to make plans for the future and to implement changes to your strategy where needed. This is why a reality check is a must before any concrete steps towards stability can be taken. Take stock of your current debt situation, savings and income as well as credit card bills and the cost of utilities and daily expenses. Your insurance policies must also be assessed and there are online tools to help you crunch numbers and understand what you have, what you owe and what needs to change.

2. Cut Back

Austerity might sound like a dirty word thrown around by economists but it is an important first step for those who are financially out of control or in need of serious restraint when it comes to expenses. There are several digital apps that you can download to track your spending habits and to understand where your money is going every day, week or month. Using this information, it is best to create a strict budget for how much you are allowed to spend each month to meet your basic needs such as food, shelter, and health concerns. Cut out or cut back on non-essential expenses and lifestyle choices that are draining your income.

3. Upgrade Your Qualifications While Working

Having a secure professional occupation is a blessing in a country such as Singapore where the job market is highly competitive. But this does not mean that you can rest on your laurels and college degree. It is not uncommon for mass layoffs to occur in even the most successful companies due to stock exchange fluctuations or bad business decisions. This is why it is necessary to upgrade your qualifications and knowledge in your chosen field of employment. New opportunities are only accessible to those who are prepared to meet the demands of a potential employer and having worked in the same company for a decade is not enough.

4. Forgo Home Loans for a Co-Living Space

Homeownership and apartment rental costs are some of the biggest expenses on any Singaporean's balance sheet and there are ways to mitigate this big-ticket item. Those who are single or do not have any familial obligations can choose to live at lyf Farrer Park Singapore or any one of the other long stay apartments in Singapore. The concept of co-living is founded on the principle of providing housing solutions to those on a budget and sharing a home with other like-minded professionals can also be a boost to your own career expansion plans.

5. Protect and Increase Your Wealth

Singapore's economy is rife with investment opportunities and residents can use their savings or surplus funds to cash in on secure investments. It is important to remember that while investing does come with its own risks, allowing your surplus cash to gather dust in banks is not a proactive strategy. Creating a diversified investment portfolio also comes in handy as you are not putting all of your eggs in the same basket.